Okta Inc. (NASDAQ:OKTA) is one of the best growth stocks to buy and hold for 3 years. On July 24, Jefferies analyst Joseph Gallo lowered the firm’s price target on Okta to $105 from $130, while maintaining a Hold rating on the shares. The adjustment came despite Jefferies’ belief that cybersecurity spending will constitute a steady percentage of software budgets in the coming years.
In FQ1 2026, the company reported total revenue of $688 million, which was an increase of 12% year-over-year, with subscription revenue also growing 12% to $673 million. Net cash provided by operations was $241 million, and free cash flow was $238 million. As of April 30, cash, cash equivalents, and short-term investments totaled $2.725 billion.
The company added 70 customers with $100,000+ in Annual Contract Value/ACV, bringing the total to 4,870, which was over 80% of the total ACV. Customers with over $1 million in ACV grew 20% to 480. Okta is actively innovating with new products such as Identity Security Posture Management and Okta Privileged Access, designed to address evolving cyber threats. The company is also well-positioned in the US public sector.
Okta Inc. is a global identity partner. It offers Okta’s suite of products and services used to manage and secure identities, such as Single Sign-On, Adaptive Multi-Factor Authentication, API Access Management, Access Gateway, Workforce Identity Cloud, and Okta Device Access.
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This article is originally published at Insider Monkey.
