Okta topped Wall Street's third-quarter estimates and issued an upbeat outlook, but shares fell as investors had high hopes for AI demand.
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Okta
on Tuesday topped Wall Street's third-quarter estimates and issued an upbeat outlook, but shares fell despite the outperformance as investors had high hopes for AI demand.
Shares of the identity management provider fell more than 3% in after-hours trading on Tuesday.
Here's how the company did versus LSEG estimates:
Okta's stock has dropped this year as investors fret over AI replacing cybersecurity
One of Okta's partners, Palo Alto Networks, recently announced an agreement to buy Okta competitor CyberArk.
BMO Capital Markets sees shares of Okta rising 22% from here.
Okta may have upside if it integrates AI agents into its identity security systems, the bank says.
The cloud computing giant's revenue miss renews questions about its financial health
Oracle reported better-than-expected results for the latest quarter on Wednesday.
