Okta stock popped on Tuesday after the cybersecurity firm reported fourth-quarter earnings and revenue that handily beat consensus estimates. Updated fiscal 2026 revenue guidance for Okta stock came in well above views.
Reported after the market close, Okta earnings were 78 cents per share on an adjusted basis for the quarter ending Jan. 31, up 24% from a year earlier. San Francisco-based Okta said revenue climbed 13% to $682 million.
Analysts had expected Okta earnings of 74 cents per share on revenue of $669 million.
A key financial metric — current remaining performance obligations — known as CRPO bookings, topped views. In Q4, CRPO rose 15% to $2.248 billion vs. estimates of $2.138 billion. CRPO bookings are an aggregate of deferred revenue and order backlog.
For fiscal 2026, which starts with the current quarter ending in April, Okta predicted revenue in a range of $2.85 billion to 2.86 billion, topping estimates of $2.79 billion.
"Okta delivered a strong quarter and outperformed expectations on all metrics, with CRPO accelerating nicely and fiscal 2026 guidance being raised from the first look given in Q3 and above consensus expectations," said RBC Capital analyst Matthew Hedberg in a research note.
Okta Stock Technical Ratings
On the stock market today, Okta stock popped more than 12% to near 98 in early trading. OKTA had advanced 15% in 2025 prior to the earnings report.
The company's security software monitors and manages privileged accounts. Hackers often target employees or management with administrative access to company computer systems.
"The company is further specializing go-to-market efforts between Okta and Auth0, a reversal from previous efforts to drive integration," said Raymond James analyst Adam Tindle in a report.
"Okta also reduced headcount in February with the intention to reallocate resources toward growth initiatives. As a result, management expects to incur an $11 million cash charge in Q1."
Heading into the earnings report, Okta owned a Relative Strength Rating of 78 out of a best-possible 99, according to IBD Stock Checkup.
Growing competition from Microsoft is one headwind for Okta stock.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.
