In a report released yesterday, Adam Borg from Stifel Nicolaus maintained a Buy rating on Okta (OKTA – Research Report), with a price target of $130.00.
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Adam Borg’s rating is based on a combination of factors that highlight Okta’s potential for future growth despite recent challenges. Although the company has faced mixed sentiment and uneven stock performance, Borg believes that Okta’s focus on identity security and its expanding portfolio in Workforce and Customer Identity positions it well for growth. The company’s early success with new offerings and improving go-to-market productivity further support this positive outlook.
Moreover, Borg sees the potential for Okta to re-accelerate its current RPO and revenue growth, which could lead to operating margin and free cash flow expansion in the coming years. He also notes that the risk/reward profile is favorable, suggesting that Okta’s shares could experience multiple expansion as these growth drivers materialize. Overall, Borg’s analysis indicates that Okta has several opportunities to enhance its market position and financial performance, justifying the Buy rating.
In another report released on June 9, Robert W. Baird also maintained a Buy rating on the stock with a $148.00 price target.