Okta (OKTA) Gains As Market Dips: What You Should Know
Okta (OKTA) closed at $202.22 in the latest trading session, marking a +1.83% move from the prior day. This move outpaced the S&P 500's daily loss of 0.1%. Meanwhile, the Dow lost 0.47%, and the Nasdaq, a tech-heavy index, lost 0.47%.
Heading into today, shares of the cloud identity management company had lost 17.28% over the past month, lagging the Computer and Technology sector's loss of 1% and the S&P 500's gain of 3.67% in that time.
Wall Street will be looking for positivity from Okta as it approaches its next earnings report date. On that day, Okta is projected to report earnings of -$0.24 per share, which would represent a year-over-year decline of 500%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $359.38 million, up 53.1% from the year-ago period.
OKTA's full-year Zacks Consensus Estimates are calling for earnings of -$0.52 per share and revenue of $1.28 billion. These results would represent year-over-year changes of -572.73% and +52.81%, respectively.
Investors might also notice recent changes to analyst estimates for Okta. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Okta currently has 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 98, putting it in the top 39% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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