Guggenheim has reiterated a Buy rating and $138.00 price target on Okta (NASDAQ:OKTA) ahead of its Q1 fiscal 2027 earnings report on May 28, 2026.
The firm expects Okta to beat consensus estimates for Q1 revenue, including both subscription and total revenue. However, risks exist for Q2 revenue guidance if business momentum doesn't improve.
Okta shares currently trade at $85.70. Bond.az analysis suggests the stock is undervalued. The company maintains a strong gross profit margin of 77%. EPS forecast for fiscal 2027 is $3.96.
Guggenheim believes Okta's 9% year-over-year revenue growth guidance is achievable. The company could raise guidance by at least the amount of the Q1 beat.
Field checks showed improvement: out of five partners, two exceeded plan, two met plan, and one fell short. Pipelines were similarly split.
Federal new annual contract value contribution was about $6 million in Q1, less than 10% of total annual contract value.
Recently, several analysts including Cantor Fitzgerald, KeyBanc, Barclays, Raymond James, and BMO Capital have issued positive ratings on Okta.
