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Okta (OKTA) Dips More Than Broader Markets: What You Should Know

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Okta (OKTA - Free Report) closed the most recent trading day at $67.67, moving -1.34% from the previous trading session. This change lagged the S&P 500's daily loss of 0.76%. At the same time, the Dow lost 0.76%, and the tech-heavy Nasdaq lost 10.92%.

Coming into today, shares of the cloud identity management company had gained 0.96% in the past month. In that same time, the Computer and Technology sector gained 2.92%, while the S&P 500 gained 2.18%.

Investors will be hoping for strength from Okta as it approaches its next earnings release. On that day, Okta is projected to report earnings of $0.10 per share, which would represent year-over-year growth of 155.56%. Our most recent consensus estimate is calling for quarterly revenue of $488.99 million, up 27.67% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.27 per share and revenue of $1.84 billion, which would represent changes of +41.3% and +41.28%, respectively, from the prior year.

Any recent changes to analyst estimates for Okta should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Within the past 30 days, our consensus EPS projection has moved 2.24% higher. Okta is currently sporting a Zacks Rank of #1 (Strong Buy).

The Internet - Software and Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 33, putting it in the top 14% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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