Core Insights - Okta (OKTA) is enhancing its security offerings with the introduction of Cross App Access, aimed at securing AI agents and improving integration for enterprise customers [1][9] - The company is focusing on protecting non-human identities (NHIs) and providing tools for developers to create secure AI applications [2][3] Product and Service Expansion - The new Cross App Access protocol allows better connectivity between AI tools and other applications, streamlining authorization processes for enhanced security and compliance [1] - Okta's product suite includes Okta AI, which integrates AI capabilities across various products to improve user experience and defend against cyber threats [4] Financial Performance - As of the end of Q1 fiscal 2026, Okta has approximately 20,000 customers and $4.084 billion in remaining performance obligations (RPOs), indicating strong growth potential in subscription revenues [5][9] - The number of customers with over $100,000 in Annual Contract Value increased by 70 sequentially to 4,870, showcasing robust demand for Okta's services [5] Market Position and Partnerships - Okta has established a strong partner ecosystem, including major companies like Amazon Web Services, Microsoft, and Salesforce, with over 7,000 integrations across various platforms [6] - The innovative portfolio and extensive partnerships have contributed to a 25.2% increase in Okta's stock price year-to-date, outperforming the broader technology sector [7] Guidance and Earnings Outlook - For fiscal 2026, Okta anticipates revenues between $2.85 billion and $2.86 billion, reflecting a growth rate of 9-10% compared to fiscal 2025 [14] - The company expects non-GAAP earnings per share to be between $3.23 and $3.28, indicating a 16.73% increase from the previous fiscal year [15] Valuation and Investment Potential - Okta shares are currently trading at a premium, with a forward Price/Cash Flow ratio of 23.23X, compared to the sector average of 20.13X [18] - Despite macroeconomic challenges, Okta's innovative offerings and growing customer base present a strong investment opportunity, supported by a Zacks Rank 2 (Buy) and a Growth Score of A [21]

Company Overview - Cribl has appointed Mike Kourey as the audit committee chair on its board of directors, bringing over 30 years of financial leadership experience in the technology industry [1][3] - The company has surpassed $200 million in annual recurring revenue (ARR), achieving a year-over-year growth of over 70% [2] - Cribl's valuation reached over $3.5 billion following a $319 million oversubscribed Series E funding round in August 2024 [2] Market Position and Recognition - Cribl's products are utilized by 50% of Fortune 100 companies, indicating strong market adoption and relevance [2] - The company has received multiple industry accolades, including recognition in the Wing Venture Capital Enterprise Tech 30, Forbes Cloud 100, and Fortune Cyber 60 [4] Product and Service Offerings - Cribl provides vendor-agnostic solutions for analyzing, collecting, processing, and routing IT and security data, which are essential for modern data strategies [5] - The product suite includes Cribl Stream, Cribl Edge, Cribl Search, and Cribl Lake, designed to address telemetry data challenges [5] Leadership Insights - Clint Sharp, co-founder and CEO, emphasized the importance of Kourey's financial expertise in steering Cribl's strategic growth initiatives [3] - Mike Kourey highlighted Cribl's customer-first mindset and operational discipline as key factors driving the company's value [3]

Core Insights - Okta (OKTA) is experiencing strong growth driven by its innovative product offerings, particularly among large-cap clients including Global 2000 companies and government agencies [1][2][3] Group 1: Customer Growth and Adoption - Okta's customer base with annual contract values exceeding $1 million grew by 20% year-over-year, indicating robust enterprise adoption [2][8] - Significant demand is noted from critical sectors such as energy, telecom, and insurance, with clients seeking solutions for employee identity security and API protection [2] - The public sector is contributing to this growth, with four of Okta's top ten deals in Q1 fiscal 2026 coming from U.S. government entities utilizing FedRAMP-compliant solutions [3][8] Group 2: Product Innovations - In response to complex client needs, Okta has launched new solutions including Identity Governance (OIG), Identity Threat Protection (ITP), and Privileged Access (OPA) [2][8] - The Customer Identity Cloud (Auth0) is gaining traction, with notable implementations by a Global 2000 energy company and a major tech reseller switching from Microsoft to Auth0 for enhanced scalability [4] Group 3: Competitive Landscape - CyberArk Software is a key competitor, known for its comprehensive identity security platform and strong margins, bolstered by recent acquisitions [5] - SailPoint is another competitor, recognized for its Identity Governance & Administration capabilities and extensive partner ecosystem, offering low-code/no-code workflows and AI-driven access recommendations [6] Group 4: Financial Performance and Estimates - Okta's shares have appreciated by 26.1% year-to-date, outperforming the Zacks Security industry's return of 20.2% [7] - The Zacks Consensus Estimate for Okta's 2026 revenues is $2.86 billion, reflecting a year-over-year growth of 9.44%, with earnings expected to reach $3.28 per share, indicating a growth of 16.73% from fiscal 2025 [10]

Industry Overview - The cybersecurity market is projected to witness a CAGR of 12.63% from 2025 to 2030, driven by the rise of complex attacks such as credential theft and social engineering [2]. Company Analysis: CrowdStrike (CRWD) - CrowdStrike specializes in endpoint protection and extended detection and response (XDR) through its Falcon platform, which is recognized as the industry's first multi-tenant, cloud-native, intelligent security solution [4]. - The Falcon platform offers 29 cloud modules via a SaaS subscription model, with subscription-based sales increasing from 72% in fiscal 2017 to 95% in fiscal 2025 [5]. - Despite strong growth, CrowdStrike faces challenges due to negative customer sentiment following a global IT outage in July 2024, leading to a Customer Commitment Package that compresses profitability [6]. - The Zacks Consensus Estimate indicates a year-over-year decline of 10.94% in CrowdStrike's fiscal 2026 earnings, with current estimates showing earnings of $3.50 per share for the current year [7][8]. Company Analysis: Okta (OKTA) - Okta focuses on identity and access management, providing cloud-based solutions that enhance user data security, and reported strong growth with $4.08 billion in remaining performance obligations and 4,870 customers with over $100K in Annual Contract Value, a 7% increase year-over-year [10][12]. - The company is well-positioned in identity security, leveraging a broad portfolio that includes solutions for identity governance and privileged access, which are increasingly important due to the rise of non-human identities driven by AI [11][13]. - Okta's revenue and earnings for fiscal 2026 are projected to grow by 9.44% and 16.73%, respectively, indicating a strong growth trajectory compared to CrowdStrike [14]. Valuation and Performance Comparison - Year-to-date, CrowdStrike shares have appreciated by 39.2%, while Okta shares have surged by 26.2% [16]. - Okta is trading at a forward sales multiple of 5.87X, significantly below the industry average of 14.51X, while CrowdStrike's forward sales multiple is 22.93X, suggesting overvaluation [20]. Conclusion - Given the current challenges faced by CrowdStrike, including reputational damage and profitability pressures, Okta's focus on identity solutions and stronger earnings growth potential make it a more attractive investment option in the cybersecurity space [23].

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Okta (OKTA) .Okta currently has an average brokerage recommendati ...

A downtrend has been apparent in Okta (OKTA) lately with too much selling pressure. The stock has declined 20.1% over the past four weeks. However, given the fact that it is now in oversold territory and Wall Street analysts are majorly in agreement about the company's ability to report better earnings than they predicted earlier, the stock could be due for a turnaround.We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is ...

Group 1: Artificial Intelligence Market Overview - AI adoption among U.S. companies has reached 9.2%, doubling from the previous year [1] - Morgan Stanley projects AI software revenues to grow by 580% over the next three years, exceeding $400 billion by 2028 [2] Group 2: MongoDB - MongoDB's document database effectively manages both structured and unstructured data, making it suitable for various applications, including AI [5][6] - The company has positioned itself well in the AI space by acquiring Voyage AI to enhance application accuracy [6][7] - MongoDB's adjusted earnings increased by 96% in the most recent quarter, with shares trading at 49 times adjusted earnings and 7.4 times sales, below historical averages [8] Group 3: Okta - Okta specializes in identity and access management (IAM) software, utilizing AI to enhance security measures [9][10] - The introduction of Identity Threat Protection allows continuous risk assessment during user sessions, improving security [10] - Okta's adjusted earnings rose by 32% in the last quarter, with shares trading at 33 times adjusted earnings and 6.6 times sales, aligning with historical averages [12]

Market Overview - The AI-driven bull run of 2023 and 2024 faced significant challenges in 2025 due to the Fed's uncertainty regarding rate cuts, recession fears, and competition from a low-cost Chinese AI platform [1] - The technology sector has recently regained momentum, supported by expectations of a U.S.-China trade deal and delays in tariff impositions by the Trump administration [2] Company Highlights Amphenol Corp. (APH) - Amphenol is ranked 1 by Zacks and specializes in AI and machine learning connectivity solutions, including high-density connectors and cables [6][10] - The company benefits from a diversified business model, with strong demand in defense, commercial air, and industrial sectors, contributing to a projected revenue growth rate of 32.3% and earnings growth of 40.7% for the current year [7][10] - The acquisition of Andrew is expected to add approximately $0.09 to earnings in 2025, enhancing its cash flow generation capabilities [8] Intuit Inc. (INTU) - Intuit holds a Zacks Rank of 1, driven by steady revenues from its Online Ecosystem and Desktop segments, particularly through its cloud-based services [11][12] - The company's generative AI tool, "Intuit Assist," aims to provide personalized financial insights, enhancing its product offerings [13] - Expected revenue and earnings growth rates for the next year are 12.1% and 18.4%, respectively, with a recent 4.2% improvement in earnings estimates [14] Okta Inc. (OKTA) - Okta is ranked 2 by Zacks and provides identity management solutions, including Single Sign-On and Adaptive Multi-Factor Authentication [15][16] - The company anticipates revenue and earnings growth rates of 9.4% and 16.7% for the current year, with a 2.8% increase in earnings estimates over the last 30 days [17] Lam Research Corp. (LRCX) - Lam Research, ranked 2, is focused on advanced packaging and memory technologies, benefiting from increased spending in the semiconductor sector [18][19] - The company expects a revenue growth rate of 1.6% and a slight decline in earnings of -0.5% for the next year, with a 0.5% improvement in earnings estimates recently [20] KLA Corp. (KLAC) - KLA is ranked 1 and is experiencing strong demand in the semiconductor industry, particularly in advanced packaging, which is projected to exceed $850 million in 2025 [21][22] - The company has expected revenue and earnings growth rates of 2.5% and 2%, respectively, for the next year, with a recent 0.5% improvement in earnings estimates [23]

Industry Overview - Cybersecurity is a critical industry that remains resilient during economic downturns, as companies prioritize cybersecurity budgets over other expenses [1] - The industry is large and multifaceted, leading many companies to engage multiple vendors for comprehensive cybersecurity solutions [2] Company Analysis: SentinelOne - SentinelOne provides AI-driven endpoint protection software, safeguarding devices that access company networks [4] - The company is competitively priced with a price-to-sales (P/S) ratio of 6.7, which is considered low for software stocks [8] - In fiscal Q1 2026, SentinelOne's revenue increased by 23% year over year to $229 million, with annual recurring revenue (ARR) rising by 24% to $948 million [9] - Despite being less profitable than its larger competitor CrowdStrike, SentinelOne is focused on revenue growth, which could lead to improved profitability in the future [12] Company Analysis: Okta - Okta specializes in identity and access management, ensuring legitimate user access to systems and monitoring for unusual activity [13][14] - The company has a P/S ratio of 6.7 and reported a 12% year-over-year revenue growth in Q1, with a 21% increase in remaining performance obligations [15] - Okta has transitioned from unprofitability to generating positive net income over the past three years, indicating strong potential for future profitability [15] - The company has the potential to achieve profit margins of 20% to 30%, which could significantly enhance its stock value given its current low valuation [17]

Core Insights - Okta's Remaining Performance Obligations (RPO) surged to $4.084 billion in Q1 FY2026, a 21% year-over-year increase, with current RPO at $2.23 billion, reflecting strong revenue visibility for the next 12 months [1][8] - The company is experiencing robust demand for its identity security solutions, particularly in areas like Identity Governance and Privileged Access, as enterprises prioritize secure access [2][8] - For Q2 FY2026, Okta projects current RPO growth of 10% to 11%, indicating resilient demand despite macroeconomic challenges [3][8] Competitive Landscape - Okta faces significant competition from CyberArk and Microsoft in the identity and access management sector [4] - CyberArk is enhancing its offerings in Privileged Access Management and expanding into automated Identity Governance through its acquisition of Zilla Security [5] - Microsoft's Entra ID presents a formidable challenge with its comprehensive Identity and Access Management solutions [6] Financial Performance - Okta's stock has appreciated 27.7% year-to-date, outperforming the Zacks Security industry's return of 19.9% [7] - The Zacks Consensus Estimate for Okta's FY2026 revenues is $2.86 billion, reflecting a 9.44% year-over-year growth, with earnings estimated at $3.28 per share, indicating a 16.73% growth from FY2025 [10] - Okta currently trades at a forward Price/Cash Flow ratio of 23.83, higher than the broader Zacks Computer & Technology sector's 20.4X, with a Value Score of D [9]