Cantor Fitzgerald raised its price target on Okta (NASDAQ:OKTA) to $110 from $100, maintaining an Overweight rating. The stock currently trades at $93.81, implying roughly 17% upside potential.
The firm increased its 12-month price target ahead of Okta's first-quarter fiscal 2027 earnings report, due on May 28 after market close. Channel checks showed 79% of partners reporting results in line or above plan, down from 92% in the prior quarter.
Workforce identity was identified as the dominant growth driver. Cantor expects first-quarter cRPO growth in the 10-11% range. A print at 11% or above would sustain the recent stock move.
Okta for AI Agents reached general availability in April, but pipeline conversion and pricing remain unproven. Management has called this a fiscal 2028-2029 story.
The stock trades at about 4.5 times estimated fiscal 2027 sales versus peers at 8.9 times. Okta's gross profit margin of 77% and revenue growth of nearly 12% support its operational efficiency despite the valuation discount.
