Okta up after J.P. Morgan upgrades stock to 'overweight'

Okta

16/12/2024 16:15

** Shares of digital identity verification firm Okta
 OKTA.O  up as much as 4% at $85.32
    ** Brokerage J.P. Morgan upgrades stock to "overweight" from
"neutral"
    ** Says co reset expectations with conservative initial look
at FY26 revenue growth this quarter and now the risk-to-reward
ratio is attractive; Sees Identity sector moving up the priority
stack
    ** Sees potential for meaningful improvement in fundamental
performance and multiple-expansion with execution for co
    ** Says OKTA is well-positioned for top-line reacceleration,
sees signs that recent investment is beginning to support better
growth into next year
    ** Names large enterprise momentum, co's ability to sell new
products, and international penetration as the growth drivers
    ** Twenty of 41 brokerages rate the stock "buy" or higher,
20 "hold" and one "sell"; with a median PT of $101 - LSEG data
    ** Including session moves, stock has fallen ~7% YTD

 (Reporting by Neil J Kanatt in Bengaluru)
 ((Neil.JKanatt@thomsonreuters.com;))