Followers | 689 |
Posts | 143817 |
Boards Moderated | 35 |
Alias Born | 03/10/2004 |
Monday, May 10, 2021 8:32:49 AM
By: Zacks Investment Research | May 10, 2021
Okta Inc (OKTA) beat earnings back at the start of March and the stock has moved all over the place. The question becomes if this stock has bottomed out here in the low $240 range or is it primed for a rebound? Let’s take a deeper look in this Bear of the Day article.
Description
Okta, Inc. provides identity management platform for enterprises, small and medium-sized businesses, universities, non-profits, and government agencies in the United States and internationally. Okta, Inc. sells its products directly to customers through sales force, as well as through channel partners. The company was formerly known as Saasure, Inc. Okta, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.
Earnings History
The first thing I do when I look at stock is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has been able to communicate to the market. A stock that consistently beats is one that has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
In the case of OKTA, I see four straight beats of the Zacks Consensus Estimate. So you might wonder, why is this stock the Bear of the Day?
Well the Zacks Rank does care about the earnings history, but it is much more heavily influenced by the movement of earnings estimates.
Earnings Estimates
The Zacks Rank tells us which stocks are seeing earnings estimates move higher or in this case lower. For OKTA, I see estimates moving lower across the board.
This quarter has moved from a loss of 8 cents to a loss of 20 cents.
Next quarter has seen a similar decrease from -10 cents to -13 cents.
The Zacks Rank is more heavily influenced by the move in the annual numbers, and the movement is also negative for those numbers.
I see 2021 moving from a loss of $0.45 to -$0.50 over the last 60 days.
The 2022 number has moved from a loss of $0.05 to -$0.10 over the same time horizon.
Negative movement in earnings estimates like that are the reason that this stock is a Zacks Rank #5 (Strong Sell).
Valuation
I am partial to growth, so when I see this stock posting 40% topline growth in the more recent quarter I want think that most of the bad news is baked into the stock. The analysts that cover OKTA are suggesting there will be 31% topline growth this year and 29% next year, so fairly consistent growth on top. The forward earnings multiple is NA as the company is going to be running at a loss for the next year and a half or so. The price to book at 44x is absurdly high… but this is an asset slim business. Price to sales is also very high at 37x.
Chart
Okta, Inc. Price and Consensus
Read Full Story »»»
DiscoverGold
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Caveat emptor!
• DiscoverGold
Recent OKTA News
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 09/20/2024 08:20:16 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:43:04 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:32:55 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:30:57 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:30:05 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:29:07 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/17/2024 09:27:49 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 09/16/2024 08:34:24 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/29/2024 08:03:45 PM
- Okta to Present at Upcoming Investor Conferences • Business Wire • 08/29/2024 08:02:00 PM
- Nvidia, HP, Okta, Pure Storage Drop Post-Earnings; Salesforce, Nutanix, Affirm Surge • IH Market News • 08/29/2024 10:09:21 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/28/2024 08:02:24 PM
- Okta Announces Second Quarter Fiscal Year 2025 Financial Results • Business Wire • 08/28/2024 08:01:00 PM
- U.S. Futures Edge Up as Nvidia Earnings Loom, Oil Prices Slide • IH Market News • 08/28/2024 09:52:22 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/21/2024 09:07:28 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/15/2024 09:04:13 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/13/2024 08:13:59 PM
- Okta to Announce Second Quarter Fiscal Year 2025 Financial Results on August 28, 2024 • Business Wire • 08/01/2024 12:00:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/23/2024 09:04:10 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/19/2024 08:59:42 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/18/2024 09:15:24 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/18/2024 09:14:10 PM
- Okta Announces SaaS Startup Competition to Build New Identity Security Applications • Business Wire • 07/17/2024 05:24:00 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/16/2024 08:09:57 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/09/2024 09:33:13 PM
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM
Dear Cashmere Group Holding Co. AKA Swifty Global Signs Binding Letter of Intent to be Acquired by Signing Day Sports • DRCR • Sep 19, 2024 10:26 AM
HealthLynked Launches Virtual Urgent Care Through Partnership with Lyric Health. • HLYK • Sep 19, 2024 8:00 AM
Element79 Gold Corp. Appoints Kevin Arias as Advisor to the Board of Directors, Strengthening Strategic Leadership • ELMGF • Sep 18, 2024 10:29 AM
Mawson Finland Limited Further Expands the Known Mineralized Zones at Rajapalot: Palokas step-out drills 7 metres @ 9.1 g/t gold & 706 ppm cobalt • MFL • Sep 17, 2024 9:02 AM
PickleJar Announces Integration With OptCulture to Deliver Holistic Fan Experiences at Venue Point of Sale • PKLE • Sep 17, 2024 8:00 AM