Back to top

Image: Bigstock

Okta (OKTA) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Okta (OKTA - Free Report) closed the most recent trading day at $242.57, moving -1.23% from the previous trading session. This change lagged the S&P 500's daily gain of 0.82%.

Coming into today, shares of the cloud identity management company had gained 1.25% in the past month. In that same time, the Computer and Technology sector gained 1.98%, while the S&P 500 gained 0.89%.

Investors will be hoping for strength from OKTA as it approaches its next earnings release, which is expected to be September 1, 2021. The company is expected to report EPS of -$0.35, down 600% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $295.12 million, up 47.23% from the year-ago period.

OKTA's full-year Zacks Consensus Estimates are calling for earnings of -$1.12 per share and revenue of $1.21 billion. These results would represent year-over-year changes of -1118.18% and +44.95%, respectively.

Any recent changes to analyst estimates for OKTA should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.08% higher. OKTA is holding a Zacks Rank of #4 (Sell) right now.

The Internet - Software and Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 243, putting it in the bottom 5% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Okta, Inc. (OKTA) - free report >>

Published in