In the latest trading session, Okta (OKTA) closed at $206, marking a +0.18% move from the previous day. The stock lagged the S&P 500's daily gain of 0.74%. Meanwhile, the Dow gained 0.43%, and the Nasdaq, a tech-heavy index, added 1.67%.
Coming into today, shares of the cloud identity management company had gained 0.7% in the past month. In that same time, the Computer and Technology sector gained 4.01%, while the S&P 500 gained 5.51%.
Investors will be hoping for strength from OKTA as it approaches its next earnings release. In that report, analysts expect OKTA to post earnings of -$0.02 per share. This would mark year-over-year growth of 60%. Our most recent consensus estimate is calling for quarterly revenue of $190.56 million, up 35.65% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.19 per share and revenue of $791.61 million, which would represent changes of +38.71% and +35.07%, respectively, from the prior year.
Any recent changes to analyst estimates for OKTA should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 remained stagnant. OKTA is currently sporting a Zacks Rank of #3 (Hold).
The Internet - Software and Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 190, which puts it in the bottom 26% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow OKTA in the coming trading sessions, be sure to utilize Zacks.com.
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