88.39 USD
-0.67 (-0.75%)
88.39 USD
0 (0%)
Overall OKTA gets a fundamental rating of 5 out of 10. We evaluated OKTA against 88 industry peers in the IT Services industry. Both the profitability and the financial health of OKTA get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, OKTA is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
OKTA had positive earnings in the past year.
OKTA had a positive operating cash flow in the past year.
In the past 5 years OKTA reported 4 times negative net income.
OKTA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.11%, OKTA perfoms like the industry average, outperforming 52.27% of the companies in the same industry.
OKTA has a Return On Equity of 2.83%. This is comparable to the rest of the industry: OKTA outperforms 55.68% of its industry peers.
OKTA has a Return On Invested Capital (1.05%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 2.83% | ||
| ROIC | 1.05% |
ROA(3y)-4.14%
ROA(5y)-5.94%
ROE(3y)-6.83%
ROE(5y)-14.64%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
OKTA's Profit Margin of 6.87% is fine compared to the rest of the industry. OKTA outperforms 68.18% of its industry peers.
OKTA's Operating Margin of 4.30% is in line compared to the rest of the industry. OKTA outperforms 55.68% of its industry peers.
OKTA has a better Gross Margin (77.08%) than 95.45% of its industry peers.
OKTA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.3% | ||
| PM (TTM) | 6.87% | ||
| GM | 77.08% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.16%
GM growth 5Y0.95%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so OKTA is destroying value.
Compared to 1 year ago, OKTA has more shares outstanding
Compared to 5 years ago, OKTA has more shares outstanding
OKTA has a better debt/assets ratio than last year.
2.2 Solvency
OKTA has an Altman-Z score of 4.14. This indicates that OKTA is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.14, OKTA is in the better half of the industry, outperforming 64.77% of the companies in the same industry.
There is no outstanding debt for OKTA. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.39 | ||
| Altman-Z | 4.14 |
ROIC/WACC0.12
WACC8.73%
2.3 Liquidity
A Current Ratio of 1.47 indicates that OKTA should not have too much problems paying its short term obligations.
The Current ratio of OKTA (1.47) is comparable to the rest of the industry.
OKTA has a Quick Ratio of 1.47. This is a normal value and indicates that OKTA is financially healthy and should not expect problems in meeting its short term obligations.
OKTA has a Quick ratio (1.47) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.22% over the past year.
The Revenue has grown by 12.12% in the past year. This is quite good.
Measured over the past years, OKTA shows a very strong growth in Revenue. The Revenue has been growing by 34.81% on average per year.
EPS 1Y (TTM)26.22%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%22.39%
Revenue 1Y (TTM)12.12%
Revenue growth 3Y26.15%
Revenue growth 5Y34.81%
Sales Q2Q%11.58%
3.2 Future
OKTA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.95% yearly.
The Revenue is expected to grow by 9.81% on average over the next years. This is quite good.
EPS Next Y21.68%
EPS Next 2Y14.74%
EPS Next 3Y13.92%
EPS Next 5Y12.95%
Revenue Next Year11.1%
Revenue Next 2Y10.22%
Revenue Next 3Y10.2%
Revenue Next 5Y9.81%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.23, OKTA can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as OKTA.
Compared to an average S&P500 Price/Earnings ratio of 26.50, OKTA is valued at the same level.
A Price/Forward Earnings ratio of 23.81 indicates a rather expensive valuation of OKTA.
The rest of the industry has a similar Price/Forward Earnings ratio as OKTA.
OKTA is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.93, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 23.81 |
4.2 Price Multiples
OKTA's Enterprise Value to EBITDA ratio is in line with the industry average.
OKTA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. OKTA is cheaper than 65.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.5 | ||
| EV/EBITDA | 54.37 |
4.3 Compensation for Growth
OKTA's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
OKTA's earnings are expected to grow with 13.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.21
PEG (5Y)N/A
EPS Next 2Y14.74%
EPS Next 3Y13.92%
5. Dividend
5.1 Amount
No dividends for OKTA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
88.39
-0.67 (-0.75%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners92.22%
Inst Owner Change-1.96%
Ins Owners0.17%
Ins Owner Change2.11%
Market Cap15.67B
Revenue(TTM)2.84B
Net Income(TTM)195.00M
Analysts76.86
Price TargetN/A
Short Float %3.8%
Short Ratio2.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.38%
Min EPS beat(2)6.36%
Max EPS beat(2)6.39%
EPS beat(4)4
Avg EPS beat(4)6.5%
Min EPS beat(4)3.91%
Max EPS beat(4)9.35%
EPS beat(8)8
Avg EPS beat(8)11.68%
EPS beat(12)12
Avg EPS beat(12)38.87%
EPS beat(16)16
Avg EPS beat(16)42.76%
Revenue beat(2)1
Avg Revenue beat(2)-0.06%
Min Revenue beat(2)-0.4%
Max Revenue beat(2)0.27%
Revenue beat(4)1
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-0.84%
Max Revenue beat(4)0.27%
Revenue beat(8)5
Avg Revenue beat(8)0.07%
Revenue beat(12)8
Avg Revenue beat(12)0.49%
Revenue beat(16)12
Avg Revenue beat(16)1.2%
PT rev (1m)-6.55%
PT rev (3m)-7.39%
EPS NQ rev (1m)1.66%
EPS NQ rev (3m)1.76%
EPS NY rev (1m)-0.01%
EPS NY rev (3m)2.46%
Revenue NQ rev (1m)1.45%
Revenue NQ rev (3m)1.46%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.23 | ||
| Fwd PE | 23.81 | ||
| P/S | 5.52 | ||
| P/FCF | 17.5 | ||
| P/OCF | 17.18 | ||
| P/B | 2.27 | ||
| P/tB | 12.05 | ||
| EV/EBITDA | 54.37 |
EPS(TTM)3.37
EY3.81%
EPS(NY)3.71
Fwd EY4.2%
FCF(TTM)5.05
FCFY5.71%
OCF(TTM)5.15
OCFY5.82%
SpS16.02
BVpS38.89
TBVpS7.34
PEG (NY)1.21
PEG (5Y)N/A
Graham Number54.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 2.83% | ||
| ROCE | 1.73% | ||
| ROIC | 1.05% | ||
| ROICexc | 1.62% | ||
| ROICexgc | N/A | ||
| OM | 4.3% | ||
| PM (TTM) | 6.87% | ||
| GM | 77.08% | ||
| FCFM | 31.51% |
ROA(3y)-4.14%
ROA(5y)-5.94%
ROE(3y)-6.83%
ROE(5y)-14.64%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.16%
GM growth 5Y0.95%
F-Score8
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.39 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 17.71% | ||
| Cap/Sales | 0.6% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 418.35% | ||
| Profit Quality | 458.97% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 4.14 |
F-Score8
WACC8.73%
ROIC/WACC0.12
Cap/Depr(3y)23.82%
Cap/Depr(5y)26.85%
Cap/Sales(3y)1.02%
Cap/Sales(5y)1.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.22%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%22.39%
EPS Next Y21.68%
EPS Next 2Y14.74%
EPS Next 3Y13.92%
EPS Next 5Y12.95%
Revenue 1Y (TTM)12.12%
Revenue growth 3Y26.15%
Revenue growth 5Y34.81%
Sales Q2Q%11.58%
Revenue Next Year11.1%
Revenue Next 2Y10.22%
Revenue Next 3Y10.2%
Revenue Next 5Y9.81%
EBIT growth 1Y189.05%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year40.57%
EBIT Next 3Y20.83%
EBIT Next 5Y10.38%
FCF growth 1Y126.65%
FCF growth 3Y102.97%
FCF growth 5Y92.38%
OCF growth 1Y120.16%
OCF growth 3Y93.14%
OCF growth 5Y68.27%
OKTA INC / OKTA FAQ
What is the fundamental rating for OKTA stock?
ChartMill assigns a fundamental rating of 5 / 10 to OKTA.
Can you provide the valuation status for OKTA INC?
ChartMill assigns a valuation rating of 3 / 10 to OKTA INC (OKTA). This can be considered as Overvalued.
How profitable is OKTA INC (OKTA) stock?
OKTA INC (OKTA) has a profitability rating of 4 / 10.
What is the valuation of OKTA INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for OKTA INC (OKTA) is 26.23 and the Price/Book (PB) ratio is 2.27.
What is the expected EPS growth for OKTA INC (OKTA) stock?
The Earnings per Share (EPS) of OKTA INC (OKTA) is expected to grow by 21.68% in the next year.