Cantor Fitzgerald maintains Okta stock Overweight with $130 target

On Wednesday, Cantor Fitzgerald reaffirmed its positive stance on Okta, Inc (NASDAQ: NASDAQ:OKTA), maintaining an Overweight rating and a $130.00 price target. The endorsement follows Okta’s first-quarter performance for fiscal year 2026, which surpassed FactSet consensus estimates in several key financial metrics. The company outperformed expectations in revenue, calculated remaining performance obligations (cRPO), operating margin, and earnings per share (EPS). According to InvestingPro data, Okta’s stock has surged over 64% in the past six months, now trading near its 52-week high of $127.57, reflecting strong investor confidence in the company’s trajectory.

The analyst noted Okta’s solid quarterly results as a sign of a demand turnaround, bolstered by the company’s strategic investments and recruitment efforts. The company maintains impressive gross profit margins of 76.32% and has demonstrated robust revenue growth of 15.33% over the last twelve months. While a cautious cRPO guidance for the coming quarter was issued, falling short of consensus, which the analyst attributed to macroeconomic caution and an increasing reliance on larger deals.

Okta’s emerging product areas, such as Identity Governance, Privileged Access, and Identity Threat Protection, along with the robust growth of its Customer Identity Cloud, were highlighted as potential drivers for the company’s performance throughout the fiscal year. These areas are expected to play a crucial role in sustaining Okta’s momentum. InvestingPro analysis reveals the company maintains a strong financial health score, with analysts expecting continued profit growth this year. For deeper insights into Okta’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

In addition to the positive quarterly results, Okta has raised its fiscal year 2026 guidance for operating income, EPS, and free cash flow. This upward revision indicates management’s confidence in the company’s financial health and business strategy. Despite the positive adjustments, the firm has chosen to reaffirm its revenue outlook without change, reflecting ongoing macroeconomic uncertainty.

Okta’s recent performance and the subsequent reaffirmation of its rating and price target by Cantor Fitzgerald signal a strong outlook for the company, as it navigates through the current economic landscape and aims to capitalize on its product innovations and market position.

In other recent news, Okta, Inc. reported first-quarter earnings that surpassed expectations, with revenue slightly exceeding consensus estimates. Despite the strong performance, the company reiterated its fiscal year 2026 guidance, citing economic uncertainties as a reason for maintaining a cautious outlook. Analysts from Goldman Sachs maintained a Buy rating with a $137 price target, highlighting Okta’s ability to stabilize growth despite current challenges. Similarly, DA Davidson kept a Buy rating, lowering the price target to $140, while noting Okta’s robust 14% year-over-year growth in calculated remaining performance obligations.

Evercore ISI adjusted its price target to $130 and maintained an Outperform rating, acknowledging Okta’s solid quarterly performance but noting that subscription revenue growth fell short of targets. TD Cowen raised its price target to $115, maintaining a Hold rating, and emphasized Okta’s market potential but expressed caution due to macroeconomic uncertainties. Truist Securities also kept a Hold rating with a $100 price target, recognizing Okta’s progress and customer expansion despite the conservative financial outlook.

These developments reflect a mixed sentiment among analysts, with several firms acknowledging Okta’s strengths but remaining cautious due to economic factors. The company’s strategic initiatives, such as the introduction of new products and specialization efforts, are viewed positively but are tempered by concerns about the broader economic environment. Overall, Okta’s recent performance and guidance have led to varied analyst perspectives, each reflecting a nuanced view of the company’s prospects.

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