OKTA Stock Analysis: Okta | NASDAQ
Software - Infrastructure | NASDAQ, USA | Market Cap: 24.580m USD | 12M Return: 50.7% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 412M
EPS Trend: 88.3%
Qual. Beats: 16
Rev. Trend: 99.4%
Qual. Beats: 16
Warnings
Tailwinds
Seasonality 9.2 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Okta, Inc. (NASDAQ: OKTA) is a U.S.-based identity management software company that provides cloud-delivered solutions for securing and managing user, application, and device access. Its platform spans Single Sign-On, Adaptive Multi-Factor Authentication, API Access Management, Universal Directory, and privileged access and identity governance tools, with offerings extended to securing AI agents and machine-to-machine identities. Okta generates revenue primarily through a subscription-based, Software-as-a-Service (SaaS) model, which is typical within the identity-as-a-service (IDaaS) segment of the broader cybersecurity market.
The company sells to enterprise and mid-market customers across both workforce identity (employees, contractors, and internal systems) and customer identity (external users and applications), serving organizations that operate hybrid cloud and on-premises IT environments. Oktas products are largely modular and sold on a per-user subscription basis, allowing customers to expand usage as identity and access requirements grow. The company was originally incorporated in 2009 as Saasure, Inc., is headquartered in San Francisco, California, and has been listed on NASDAQ since its April 2017 IPO.
- Subscription revenue growth accelerates with enterprise customer additions
- Microsoft Entra competition pressures identity market share gains
- Operating leverage expands margins on the path to profitability
- AI agent identity products open new addressable market
| Net Income: 247.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.10 > 0.02 and ΔFCF/TA 1.59 > 1.0 |
| NWC/Revenue: 30.24% < 20% (prev 39.87%; Δ -9.63% < -1%) |
| CFO/TA 0.10 > 3% & CFO 920.0m > Net Income 247.0m |
| Net Debt (-2.12b) to EBITDA (360.0m): -5.88 < 3 |
| Current Ratio: 1.39 > 1.5 & < 3 |
| Outstanding Shares: last quarter (177.7m) vs 12m ago -2.23% < -2% |
| Gross Margin: 77.44% > 18% (prev 76.69%; Δ 0.75% > 0.5%) |
| Asset Turnover: 32.02% > 50% (prev 28.63%; Δ 3.39% > 0%) |
| Interest Coverage Ratio: 67.25 > 6 (EBIT TTM 269.0m / Interest Expense TTM 4.00m) |
| A: 0.10 (Total Current Assets 3.22b - Total Current Liabilities 2.31b) / Total Assets 9.35b |
| B: -0.27 (Retained Earnings -2.49b / Total Assets 9.35b) |
| C: 0.03 (EBIT TTM 269.0m / Avg Total Assets 9.36b) |
| D: 2.82 (Book Value of Equity 6.90b / Total Liabilities 2.45b) |
| Altman-Z'' = 2.92 = A |
| DSRI: 1.00 (Receivables 386.0m/345.0m, Revenue 3.00b/2.68b) |
| GMI: 0.99 (GM 76.69% / 77.44%) |
| AQI: 1.03 (AQ_t 0.65 / AQ_t-1 0.63) |
| SGI: 1.12 (Revenue 3.00b / 2.68b) |
| TATA: -0.07 (NI 247.0m - CFO 920.0m) / TA 9.35b) |
| Beneish M = -2.94 (Cap -4..+1) = A |
As of July 13, 2026, the stock is trading at USD 138.63 with a total of 3,357,898 shares traded. Over the past week, the price has changed by -1.97%, over one month by +19.21%, over three months by +111.78% and over the past year by +50.73%.
Current recommended Stop Loss: 130.50 (which is 5.9% or 1.2 ATR below the current price).
Okta has received a consensus analysts rating of 3.96. Therefore, it is recommended to buy OKTA.
- StrongBuy: 18
- Buy: 8
- Hold: 18
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 121.2 | -12.6% |
P/E Trailing = 101.741
P/E Forward = 36.63
P/S = 8.2769
P/B = 3.5386
P/EG = 1.3336
Revenue TTM = 3.00b USD
EBIT TTM = 269.0m USD
EBITDA TTM = 360.0m USD
Long Term Debt = 61.0m USD (estimated: total debt 411.0m - short term 350.0m)
Short Term Debt = 350.0m USD (from shortTermDebt, last quarter)
Debt = 472.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 61.0m
Net Debt = -2.12b USD (calculated: Debt 472.0m - CCE 2.59b)
Enterprise Value = 22.5b USD (24.6b + Debt 472.0m - CCE 2.59b)
Interest Coverage Ratio = 67.25 (Ebit TTM 269.0m / Interest Expense TTM 4.00m)
EV/FCF = 24.93x (Enterprise Value 22.5b / FCF TTM 901.0m)
FCF Yield = 4.01% (FCF TTM 901.0m / Enterprise Value 22.5b)
FCF Margin = 30.07% (FCF TTM 901.0m / Revenue TTM 3.00b)
Net Margin = 8.24% (Net Income TTM 247.0m / Revenue TTM 3.00b)
Gross Margin = 77.44% ((Revenue TTM 3.00b - Cost of Revenue TTM 676.0m) / Revenue TTM)
Gross Margin QoQ = 77.78% (prev 77.92%)
Tobins Q-Ratio = 2.40 (Enterprise Value 22.5b / Total Assets 9.35b)
Interest Expense / Debt = 0.85% (Interest Expense 4.00m / Debt 472.0m)
Taxrate = 6.79% (18.0m / 265.0m)
NOPAT = 250.7m (EBIT 269.0m * (1 - 6.79%))
Current Ratio = 1.39 (Total Current Assets 3.22b / Total Current Liabilities 2.31b)
Debt / Equity = 0.07 (Debt 472.0m / totalStockholderEquity, last quarter 6.90b)
Debt / EBITDA = -5.88 (Net Debt -2.12b / EBITDA 360.0m)
Debt / FCF = -2.35 (Net Debt -2.12b / FCF TTM 901.0m)
Total Stockholder Equity = 6.89b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.64% (Net Income 247.0m / Total Assets 9.35b)
RoE = 3.59% (Net Income TTM 247.0m / Total Stockholder Equity 6.89b)
RoCE = 3.87% (EBIT 269.0m / Capital Employed (Equity 6.89b + L.T.Debt 61.0m))
RoIC = 3.47% (NOPAT 250.7m / Invested Capital 7.24b)
WACC = 9.74% (E(24.6b)/V(25.1b) * Re(9.91%) + D(472.0m)/V(25.1b) * Rd(0.85%) * (1-Tc(0.07)))
Discount Rate = 9.91% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 55.56 | Cagr: 3.07%
[DCF] Terminal Value 73.61% ; FCFF base≈842.2m ; Y1≈965.4m ; Y5≈1.42b
[DCF] Fair Price = 116.1 (EV 17.2b - Net Debt -2.12b = Equity 19.3b / Shares 166.1m; r=9.74% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 88.29 | EPS CAGR: 57.71% | SUE: 3.77 | # QB: 16
Revenue Correlation: 99.45 | Revenue CAGR: 14.12% | SUE: 4.0 | # QB: 16
EPS current Quarter (2026-07-31): EPS=0.96 | Chg30d=+0.06% | Revisions=+26% | Analysts=41
EPS next Quarter (2026-10-31): EPS=0.94 | Chg30d=+0.10% | Revisions=+8% | Analysts=41
EPS current Year (2027-01-31): EPS=3.84 | Chg30d=+0.12% | Revisions=+93% | GrowthEPS=+9.8% | GrowthRev=+9.6%
EPS next Year (2028-01-31): EPS=4.28 | Chg30d=+0.15% | Revisions=+59% | GrowthEPS=+11.4% | GrowthRev=+9.5%
[Analyst] Revisions Ratio: +52% (up=113, down=35)