Okta (OKTA, $133.17) beats Q2 earnings & sales estimates; but issues lower-than-expected guidance
Okta beat analysts’ expectations on earnings and revenue for the second quarter. However, the company’s guidance for the October quarter fell behind the Street’s estimates.
The cloud-based identity and access management company reported a quarterly loss of -5 cents per share, faring better than analysts’ estimate of a loss of -11 cents a share. The losses were also narrower from the year-ago period’s -15 cents loss.
Revenue for the quarter surged +49% year-over-year to $140.5 million, topping the $131.2 million expected by analysts.
Looking ahead, Okta projected a loss of -12 cents to -13 cents a share for the quarter ending October, compared to analysts' estimate of -9 cents loss per share.
The company’s revenue forecast of $143.5 million for the third quarter is below the $140.5 million that the Street had predicted.
In recent times, Okta has been apparently focused on adding very large enterprise customers. According to the company, it had a total of 1,222 customers with annual contract value above $100,000 as of last quarter.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
OKTA's MACD Histogram just turned positive
The Moving Average Convergence Divergence (MACD) for OKTA turned positive on August 27, 2026. Looking at past instances where OKTA's MACD turned positive, the stock continued to rise in of 46 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on August 27, 2026. You may want to consider a long position or call options on OKTA as a result. In of 100 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
OKTA moved above its 50-day moving average on August 27, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where OKTA advanced for three days, in of 306 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 153 cases where OKTA Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for OKTA moved out of overbought territory on September 01, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 30 similar instances where the indicator moved out of overbought territory. In of the 30 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 6 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where OKTA declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
OKTA broke above its upper Bollinger Band on August 27, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. OKTA’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.331) is normal, around the industry mean (19.960). P/E Ratio (104.060) is within average values for comparable stocks, (115.730). Projected Growth (PEG Ratio) (1.428) is also within normal values, averaging (1.984). OKTA has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.019). P/S Ratio (9.990) is also within normal values, averaging (109.071).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. OKTA’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock worse than average.
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General Information
a provider of an enterprise-grade identity management services
Industry ComputerCommunications
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