Okta (OKTA) Outpaces Stock Market Gains: What You Should Know
Okta (OKTA) closed the most recent trading day at $71.38, moving +1.99% from the previous trading session. This change outpaced the S&P 500's 0.25% gain on the day. At the same time, the Dow added 0.08%, and the tech-heavy Nasdaq gained 7.26%.
Prior to today's trading, shares of the cloud identity management company had gained 2.37% over the past month. This has lagged the Computer and Technology sector's gain of 12.65% and the S&P 500's gain of 5.73% in that time.
Investors will be hoping for strength from Okta as it approaches its next earnings release. On that day, Okta is projected to report earnings of $0.10 per share, which would represent year-over-year growth of 155.56%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $488.99 million, up 27.67% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.27 per share and revenue of $1.84 billion. These totals would mark changes of +41.3% and +41.28%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Okta. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.24% higher. Okta is currently sporting a Zacks Rank of #2 (Buy).
The Internet - Software and Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 53, putting it in the top 22% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow OKTA in the coming trading sessions, be sure to utilize Zacks.com.
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