Okta Stock Jumps After Truist Upgrade Ahead of Earnings

San Francisco, California — Shares of Okta Inc. rose nearly 3% on Monday morning after Truist upgraded the stock from ‘Hold’ to ‘Buy’, just days before the company is set to release its second-quarter earnings report. Analysts at Truist have raised the price target for Okta to $125, up from $100, citing that the company is nearing a crucial turning point as market pressures ease.

Truist analyst Junaid Siddiqui noted that Okta’s identity platform is gaining traction, with anticipated growth in identity governance and administration (IGA) and privileged access management (PAM). He expressed optimism about potential benefits from Agentic AI. Siddiqui highlighted that Okta’s seat count is stabilizing, which is benefiting the company’s outlook for the latter half of fiscal year 2026.

According to Stocktwits data, Okta is expected to report earnings of $0.84 per share on revenue of $711.18 million. The company has a strong history of outperforming Wall Street estimates, having exceeded expectations for the past four quarters. Despite a 15% increase in stock value this year, Okta has experienced a nearly 7% decline over the last 12 months.

While Truist holds a bullish view on the stock, rival firm Jefferies lowered its price target for Okta to $100 from $105 and maintained a ‘Hold’ rating on the shares. Jefferies analysts have expressed concerns about potential lowered earnings guidance for the third quarter, which may prompt questions regarding Okta’s revenue growth trajectory for fiscal year 2027.

Investors are closely watching Okta’s Q2 earnings, as the Wall Street consensus shows a year-over-year growth expectation of 16.7% in earnings per share, alongside a projected revenue increase of 10.1%. The market remains attentive to any updates that could affect Okta’s performance and future forecasts.