Okta reverses course; cybersecurity co poised to replace Tylenol maker Kenvue in S&P 500

CrowdStrike Holdings

02/11/2026 17:30

Updates, adds context
** Shares of digital identity verification co Okta OKTA.O surrender premarket gains, and last down 5.2% to $197.44 on Mon as it's set to join S&P 500 index .SPX this week
** OKTA migrating from S&P MidCap 400 .IDX to replace Kenvue KVUE.N in SPX effective Weds, Nov 4, S&P Dow Jones Indices announced late Fri
** Kimberly-Clark KMB.O is acquiring Tylenol maker KVUE in roughly $40 bln deal expected to close soon
** OKTA's stock and those of cybersecurity peers, including CrowdStrike CRWD.O and Zscaler ZS.O, adding to recent losses on Mon after Fortinet FTNT.O last week flagged slower growth
** On Mon, Israel-based Check Point Software Technologies' CHKP.O shares sliding 4% after cybersecurity firm trims 2026 estimates
** Passive funds will need to purchase ~9.5 mln OKTA shares, implying 3 days of buying demand, Stephens analyst Melissa Roberts outlined in note to clients
** San Francisco, California-based OKTA has ~174.8 mln shares outstanding for about $36.4 bln market cap as of Fri
** Despite the decline, OKTA stock up ~128% YTD
** 36 of 45 analysts rate the stock "strong buy" or "buy", 9 "hold"; median PT $225, per LSEG data
** In turn, medtech co Glaukos GKOS.N moving from S&P SmallCap 600 .SPCY to replace OKTA in the IDX, while business-to-business rental firm McGrath RentCorp MGRC.O to enter the SPCY on Weds

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))