NASDAQ · Technology

Okta, Inc.

OKTA · Software - Infrastructure

$77.38

▲ 1.6 (2.11%)

Data cached · refreshes every 10 min

Mr. Market is currently offering Okta, Inc. at $77.38.

The business passes only 2 of 7 of Graham's defensive criteria — well below his required standard.

Overall Grade

Defensive

Enterprising

Profitability C

Gross Profit Margin 77.4%

Operating Margin 5.2%

Net Income Margin 8.1%

Fin. Health A

Years to Pay Off Debt 1.8 yrs

Working Capital $1.1B

Valuation F

Margin of Safety 0.0%

Price-to-Book 1.87x

Cash Flow A

Free Cash Flow $863M

CapEx % of Net Income 8.9%

Owner Earnings $352M

2/7

Graham Score

Speculative

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $13.7B

Enterprise Value $11.3B

P/E (TTM) 59.07

Dividend Yield N/A

Exchange NASDAQ

Key Margins

Gross Profit 77.4%

Operating Margin 5.2%

Net Margin 8.1%

Company Info

Sector Technology

Industry Software - Infrastructure

Employees 6366

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Okta, Inc. at $77.38.

The business passes only 2 of 7 of Graham's defensive criteria — well below his required standard.

At $77.38, the stock trades at a 122% premium to its Graham Number of $34.92. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Trading at 14.0x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

About Okta, Inc.

Okta, Inc. operates as an identity partner in the United States and internationally. It offers Single Sign-on to secure access to cloud and on-premises applications from any device; Adaptive MFA for a risk-based layer of security for an organization's cloud, mobile, and web applications; API Access Management, which enables organizations to secure APIs as systems; Access Gateway, which extends the Okta platform to hybrid IT environments; Okta Device Access, which extends Okta platform's secure access management to the device login experience; Universal Directory for a cloud-based system of record. The company also provides Identity Threat Protection; Identity Security Posture Management for security measures and safeguards digital assets; Okta for AI Agents to discover, register, authenticate, govern, and manage AI Agents; Identity Governance and Administration products, including Lifecycle Management, Okta Workflows, Okta Identity Governance, and Cross App Access; Advanced Server Access for continuous and contextual access management to secure cloud infrastructure; and Okta Privileged Access to reduce risk with unified access and governance management. In addition, it provides Universal Login, a standards-based login infrastructure; Attack Protection Suite to minimize risks associated with identity-targeted attacks; Adaptive MFA; Passwordless, which enables users to login without a password; Machine-to-Machine Tokens for authentication and authorization with NHIs; Private Cloud, a deployment option; Organizations, which support a large number of partners or customers; Extensibility, which enables customers to build customized identity flows; Fine Grained Authorization, which manages complex authorization scenarios; and Auth0 for AI Agents to secure and scale agentic applications. The company was formerly known as Saasure, Inc. Okta, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

Showing Key Metrics

Income Highlights

Metric	2026	2025	2024	2023	2022
Gross Profit %	77.4% ▲	76.3%	74.3%	70.6%	N/A
Operating Margin %	5.2% ▲	-2.4%	-20.3%	-42.1%	N/A
Net Income %	8.1% ▲	1.1%	-15.7%	-43.9%	N/A
Diluted EPS	1.31 ▲	0.06	-2.17	-5.16	N/A

Balance Sheet Highlights

Metric	2026	2025	2024	2023	2022
Total Assets	$9.7B	$9.4B	$9.0B	$9.3B	N/A
Total Debt	$422M ↓	$952M	$1.3B	$2.4B	N/A
Working Capital	$1.1B ▲	$893M	$1.2B	$1.8B	N/A
Years to Pay Debt	1.80	34.00	-3.57	-2.90	N/A

Cash Flow Highlights

Metric	2026	2025	2024	2023	2022
Free Cash Flow	$863M ▲	$730M	$488M	$63M	N/A
Owner Earnings	$352M	$146M	-$232M	-$678M	N/A
CapEx % of Net Income	8.9%	71.4%	N/A	N/A	N/A

Income Statement

	2026	2025	2024	2023	2022
Tax Effect Of Unusual Items	-316	3,120	10,500	-6,090
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	359,000	141,000	-280,000	-647,000
Total Unusual Items	-4,000	8,000	50,000	-29,000
Total Unusual Items Excluding Goodwill	-4,000	8,000	50,000	-29,000
Net Income From Continuing Operation Net Minority Interest	235,000	28,000	-355,000	-815,000
Reconciled Depreciation	96,000	98,000	99,000	114,000
Reconciled Cost Of Revenue	661,000	618,000	581,000	546,000
EBITDA	355,000	149,000	-230,000	-676,000
EBIT	259,000	51,000	-329,000	-790,000
Net Interest Income	106,000	101,000	73,000	11,000
Interest Expense	4,000	5,000	8,000	11,000
Interest Income	110,000	106,000	81,000	22,000
Normalized Income	238,684	23,120	-394,500	-792,090
Net Income From Continuing And Discontinued Operation	235,000	28,000	-355,000	-815,000
Total Expenses	2,766,000	2,673,000	2,723,000	2,641,000
Total Operating Income As Reported	149,000	-74,000	-516,000	-812,000
Diluted Average Shares	179,290	175,086	163,634	158,023
Basic Average Shares	175,882	169,569	163,634	158,023
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	235,000	28,000	-355,000	-815,000
Net Income Common Stockholders	235,000	28,000	-355,000	-815,000
Net Income	235,000	28,000	-355,000	-815,000
Net Income Including Noncontrolling Interests	235,000	28,000	-355,000	-815,000
Net Income Continuous Operations	235,000	28,000	-355,000	-815,000
Tax Provision	20,000	18,000	18,000	14,000
Pretax Income	255,000	46,000	-337,000	-801,000
Other Income Expense	-4,000	8,000	50,000	-29,000
Special Income Charges	-4,000	8,000	50,000	-29,000
Other Special Charges		-19,000	-106,000		179
Impairment Of Capital Assets			28,000	14,000
Restructuring And Mergern Acquisition	4,000	11,000	56,000	29,000
Net Non Operating Interest Income Expense	106,000	101,000	73,000	11,000
Interest Expense Non Operating	4,000	5,000	8,000	11,000
Interest Income Non Operating	110,000	106,000	81,000	22,000
Operating Income	153,000	-63,000	-460,000	-783,000
Operating Expense	2,105,000	2,055,000	2,142,000	2,095,000
Research And Development	639,000	642,000	656,000	620,000
Selling General And Administration	1,466,000	1,413,000	1,486,000	1,475,000
Selling And Marketing Expense	1,018,000	965,000	1,036,000	1,066,000
General And Administrative Expense	448,000	448,000	450,000	409,000
Other Gand A	448,000	448,000	450,000	409,000
Gross Profit	2,258,000	1,992,000	1,682,000	1,312,000
Cost Of Revenue	661,000	618,000	581,000	546,000
Total Revenue	2,919,000	2,610,000	2,263,000	1,858,000
Operating Revenue	2,919,000	2,610,000	2,263,000	1,858,000

Balance Sheet

	2026	2025	2024	2023	2022
Ordinary Shares Number	177,357	173,459	167,126	161,309
Share Issued	177,357	173,459	167,126	161,309
Net Debt		449,000	820,000	1,929,000	1,572,000
Total Debt	422,000	952,000	1,266,000	2,367,000
Tangible Book Value	1,421,000	819,000	300,000	-175,000
Invested Capital	7,349,000	7,263,000	7,042,000	7,659,000
Working Capital	1,090,000	893,000	1,198,000	1,764,000
Net Tangible Assets	1,421,000	819,000	300,000	-175,000
Capital Lease Obligations	72,000	94,000	112,000	174,000
Common Stock Equity	6,999,000	6,405,000	5,888,000	5,466,000
Total Capitalization	6,999,000	6,754,000	7,042,000	7,659,000
Total Equity Gross Minority Interest	6,999,000	6,405,000	5,888,000	5,466,000
Stockholders Equity	6,999,000	6,405,000	5,888,000	5,466,000
Gains Losses Not Affecting Retained Earnings	13,000	-12,000	-6,000	-33,000
Other Equity Adjustments	13,000	-12,000	-6,000	-33,000
Retained Earnings	-2,567,000	-2,802,000	-2,830,000	-2,475,000
Additional Paid In Capital	9,553,000	9,219,000	8,724,000	7,974,000
Total Liabilities Net Minority Interest	2,711,000	3,032,000	3,101,000	3,841,000
Total Non Current Liabilities Net Minority Interest	157,000	509,000	1,319,000	2,376,000
Other Non Current Liabilities	55,000	39,000	30,000	11,000
Non Current Deferred Liabilities	30,000	27,000	23,000	30,000
Non Current Deferred Revenue	30,000	27,000	23,000	18,000
Non Current Deferred Taxes Liabilities			16,000	12,000	9,000
Long Term Debt And Capital Lease Obligation	72,000	443,000	1,266,000	2,335,000
Long Term Capital Lease Obligation	72,000	94,000	112,000	142,000
Long Term Debt		349,000	1,154,000	2,193,000	1,816,000
Current Liabilities	2,554,000	2,523,000	1,782,000	1,465,000
Other Current Liabilities			8,000	8,000	8,000
Current Deferred Liabilities	1,875,000	1,691,000	1,488,000	1,242,000
Current Deferred Revenue	1,875,000	1,691,000	1,488,000	1,242,000
Current Debt And Capital Lease Obligation	350,000	509,000	31,000	32,000
Current Capital Lease Obligation			31,000	32,000	27,000
Current Debt	350,000	509,000			16,000
Other Current Borrowings	350,000	509,000			16,000
Pensionand Other Post Retirement Benefit Plans Current	213,000	207,000	167,000	99,000
Payables And Accrued Expenses	116,000	116,000	127,000	84,000
Current Accrued Expenses	104,000	103,000	115,000	67,000
Payables	12,000	13,000	12,000	17,000
Total Tax Payable			4,000	5,000	7,000
Accounts Payable	12,000	13,000	12,000	12,000
Total Assets	9,710,000	9,437,000	8,989,000	9,307,000
Total Non Current Assets	6,066,000	6,021,000	6,009,000	6,078,000
Other Non Current Assets	53,000	51,000	48,000	46,000
Non Current Deferred Assets	332,000	267,000	242,000	210,000
Goodwill And Other Intangible Assets	5,578,000	5,586,000	5,588,000	5,641,000
Other Intangible Assets	91,000	138,000	182,000	241,000
Goodwill	5,487,000	5,448,000	5,406,000	5,400,000
Net PPE	103,000	117,000	131,000	181,000
Accumulated Depreciation	-70,000	-56,000	-62,000	-48,000
Gross PPE	173,000	173,000	193,000	229,000
Leases	90,000	84,000	92,000	88,000
Machinery Furniture Equipment	18,000	15,000	18,000	19,000
Buildings And Improvements	65,000	74,000	83,000	122,000
Current Assets	3,644,000	3,416,000	2,980,000	3,229,000
Other Current Assets	209,000	132,000	106,000	76,000
Current Deferred Assets	171,000	140,000	113,000	92,000
Prepaid Assets					66,605
Receivables	711,000	621,000	559,000	481,000
Accrued Interest Receivable	24,000
Accounts Receivable	687,000	621,000	559,000	481,000
Allowance For Doubtful Accounts Receivable		-4,000	-6,000	-8,000	-4,000
Gross Accounts Receivable		625,000	565,000	489,000	402,000
Cash Cash Equivalents And Short Term Investments	2,553,000	2,523,000	2,202,000	2,580,000
Other Short Term Investments	1,695,000	2,114,000	1,868,000	2,316,000
Cash And Cash Equivalents	858,000	409,000	334,000	264,000
Cash Equivalents	670,000	248,000	151,000	133,000
Cash Financial	188,000	161,000	183,000	131,000

Cash Flow

	2026	2025	2024	2023	2022
Free Cash Flow	863,000	730,000	488,000	63,000
Repurchase Of Capital Stock	-73,000	0	0
Repayment Of Debt	-510,000	-280,000	-937,000	0
Capital Expenditure	-21,000	-20,000	-24,000	-23,000
Interest Paid Supplemental Data		3,000	5,000	6,000	6,000
Income Tax Paid Supplemental Data		19,000	14,000	8,000	3,000
End Cash Position	864,000	415,000	342,000	271,000
Beginning Cash Position	415,000	342,000	271,000	273,000
Effect Of Exchange Rate Changes	14,000	-4,000	1,000	-6,000
Changes In Cash	435,000	77,000	70,000	4,000
Financing Cash Flow	-720,000	-359,000	-883,000	48,000
Cash Flow From Continuing Financing Activities	-720,000	-359,000	-883,000	48,000
Net Other Financing Charges	-190,000	-148,000	-7,000		2
Proceeds From Stock Option Exercised	53,000	69,000	54,000	48,000
Net Common Stock Issuance	-73,000	0	0
Common Stock Payments	-73,000	0	0
Net Issuance Payments Of Debt	-510,000	-280,000	-937,000	0
Net Long Term Debt Issuance	-510,000	-280,000	-937,000	0
Long Term Debt Payments	-510,000	-280,000	-937,000	0
Investing Cash Flow	271,000	-314,000	441,000	-130,000
Cash Flow From Continuing Investing Activities	271,000	-314,000	441,000	-130,000
Net Investment Purchase And Sale	348,000	-238,000	487,000	-103,000
Sale Of Investment	1,853,000	1,574,000	2,196,000	1,308,000
Purchase Of Investment	-1,505,000	-1,812,000	-1,709,000	-1,411,000
Net Business Purchase And Sale	-56,000	-56,000	-22,000	-4,000
Purchase Of Business	-56,000	-56,000	-22,000	-4,000
Net Intangibles Purchase And Sale	0	0	-1,000	-2,000
Purchase Of Intangibles	0	0	-1,000	-2,000
Net PPE Purchase And Sale	-9,000	-8,000	-8,000	-12,000
Purchase Of PPE	-9,000	-8,000	-8,000	-12,000
Capital Expenditure Reported	-12,000	-12,000	-15,000	-9,000
Operating Cash Flow	884,000	750,000	512,000	86,000
Cash Flow From Continuing Operating Activities	884,000	750,000	512,000	86,000
Change In Working Capital	-173,000	-53,000	54,000	-7,000
Change In Other Working Capital	-58,000	21,000	92,000	142,000
Change In Other Current Liabilities	-30,000	-33,000	-39,000	-34,000
Change In Other Current Assets	18,000	20,000	23,000	27,000
Change In Payables And Accrued Expense	0	39,000	89,000	-42,000
Change In Accrued Expense	2,000	38,000	89,000	-36,000
Change In Payable	-2,000	1,000		-6,000	7,000
Change In Account Payable	-2,000	1,000	0	-6,000
Change In Prepaid Assets	-33,000	-37,000	-32,000	-13,000
Change In Receivables	-70,000	-63,000	-79,000	-87,000
Changes In Account Receivables	-70,000	-63,000	-79,000	-87,000
Other Non Cash Items	169,000	129,000	102,000	96,000
Stock Based Compensation	544,000	565,000	684,000	677,000
Asset Impairment Charge	0	0	28,000	14,000
Deferred Tax	13,000	2,000	6,000	7,000
Deferred Income Tax	13,000	2,000	6,000	7,000
Depreciation Amortization Depletion	96,000	98,000	99,000	114,000
Depreciation And Amortization	96,000	98,000	99,000	114,000
Amortization Cash Flow	83,000	85,000
Amortization Of Intangibles	83,000	85,000
Depreciation	13,000	12,000	84,000	114,000
Operating Gains Losses		-19,000	-106,000	-1,000	-8,000
Gain Loss On Investment Securities				-1,000	-8,000
Net Income From Continuing Operations	235,000	28,000	-355,000	-815,000

These metrics estimate what Okta, Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$34.92

Margin of Safety

Market Cap ÷ Company Value

1.00

P/B Ratio

1.87

Warren's Owner Earnings

$352M

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

2/7 — Speculative Investor

✅ Adequate Size

$2.9B

vs > $1.5B revenue

❌ Strong Financial Condition

1.43x

vs Current Ratio > 2.0x

❌ Earnings Stability

2 loss years (4 yrs data)

vs No negative EPS years

❌ Dividend Record

No dividend

vs Uninterrupted dividends

✅ Earnings Growth

+2083.3% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

59.1x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

1.87x P/B (P/E×P/B: 110.5)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$5.51

Trading at 14.0x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$10.05

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2026	2025	2024	2023	2022
Capital Expenditure % of Net Income	8.9%	71.4%	N/A	N/A	N/A
Repurchase of Capital Stock	-$73M	$0M	$0M	N/A	N/A
Free Cash Flow	$863M ▲	$730M ▲	$488M ▲	$63M •	N/A •
Warren's Owner Earnings	$352M	$146M	-$232M	-$678M	N/A

Peers & Industry

No auto-detected peers for Software - Infrastructure. You can manually compare OKTA against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.63%

Low — management has little skin in the game

Return on Equity (ROE)

3.4%

Weak — poor returns on equity

Return on Assets (ROA)

2.4%

Fair — average asset utilization

Share Buybacks (Latest Year)

$73M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-55.7% YoY

Debt is declining — management is deleveraging

Leadership Team

Todd McKinnon

Co-Founder, Chairman & CEO

Age 53

Pay: $488,752

0.208% of net income

Jacques Frederic Kerrest

Co-Founder & Executive Vice Chairman

Age 47

Pay: $21,495

0.009% of net income

Brett Tighe

Chief Financial Officer

Age 44

Pay: $781,406

0.333% of net income

Eric Kelleher

President & COO

Age 53

Dave Gennarelli

Senior Vice President of Investor Relations

Top Institutional Holders

Institution	% Owned	Shares
Blackrock Inc.	10.99%	18,593,533
Vanguard Group Inc	10.67%	18,051,250
FMR, LLC	5.92%	10,008,795
First Trust Advisors LP	3.56%	6,030,090
State Street Corporation	3.54%	5,991,407
Massachusetts Financial Services Co.	2.51%	4,249,834
Geode Capital Management, LLC	1.93%	3,261,303
Ameriprise Financial, Inc.	1.90%	3,219,811

Risk Analysis

Beta (Market Risk)

0.59

Low volatility — more stable than the market

Short Interest

5.3% of float

Moderate short interest

Debt-to-Equity

0.06x

Conservative balance sheet — low financial risk

Current Ratio