Okta Stock Declines Even As KeyBanc Hikes Price Target On Strong Q4 Checks, But Retail’s Not Buying It

Shares of Okta Inc. (OKTA) declined by over 0.5% in late morning trade on Tuesday, even as analysts at KeyBanc hiked their price target for the stock, citing strong channel checks during the fourth quarter.

According to TheFly, KeyBanc now has a price target of $125, up from $115, implying an upside of nearly 29% from current levels. The brokerage maintained its ‘Overweight’ rating on the stock.

Okta is a San Francisco-based identity and access management service provider.

Underscoring its bull thesis for Okta, KeyBanc said in its latest note that the company’s fourth-quarter checks were strong and displayed an improvement from prior quarters.

The brokerage has a neutral take on Okta appointing Eric Kelleher as its president and COO, noting that while consistency will matter for the company, investors would have welcomed an outside perspective.

Kelleher joined Okta in 2016 and was previously the president of the company’s customer experience and communications division.

Okta is scheduled to report its fourth-quarter and fiscal year 2024 earnings on March 3. According to Stocktwits data, Wall Street expects Okta to post earnings per share (EPS) of $0.74 and revenue of $668.9 million.

Okta has beaten earnings and revenue expectations consecutively for the past four quarters.

On Stocktwits, retail sentiment about the Okta stock worsened slightly, straying into ‘bearish’ (38/100) territory at the time of writing.

Okta’s share price has increased by a little over 5% in the past six months, while its one-year performance is slightly better, with gains of 12.7%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Also See: DuPont Stock Surges Pre-Market On Q4 Earnings Beat, Raises 2025 Profit Forecast Ahead Of Electronics Business Spin-Off: Retail Sentiment Soars