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Okta (NASDAQ:OKTA) just delivered a blowout quarter, sending its stock soaring nearly 19% at 10.35am today, as investors cheered stronger-than-expected earnings. The identity security giant posted EPS of 78 cents on $682 million in revenue, easily beating Wall Street estimates of 74 cents and $669 million. CEO Todd McKinnon called it a breakout quarter, highlighting strength across the board. Okta also raised its full-year revenue outlook to as high as $2.86 billion, signaling confidence in its momentum. Despite an uncertain macro backdrop, the company's positioning in AI-driven security solutions continues to fuel optimism.
Beyond the numbers, Okta hit a major milestonecrossing $1 billion in sales on AWS Marketplace since first listing its identity solutions in 2020. That growth is set to accelerate under a new strategic collaboration with Amazon Web Services, which aims to expand secure identity adoption globally. Okta is also embedding AI deeper into its products, leveraging Amazon Bedrock for its customer identity platform and serving as an identity provider for Amazon's generative AI assistant, Amazon Q. These moves put Okta at the center of AI-driven security innovation, a space that's rapidly becoming mission-critical for enterprises.
With demand for digital identity security surging, Okta's strong execution and deepening ties with AWS make it a standout in the space. The company's expansion into AI-powered threat detection and cloud security integrations is setting the stage for long-term growth. Investors are taking notice, its latest results suggest there's plenty of runway ahead.
This article first appeared on GuruFocus.