Okta - Stock Chatter
Elliott Wave Analysis | OKTA CMP: 77.5 | Dt 12/1
2nd order effects of Cloud proliferation - A startup now serves 2/3rd of America’s Corporate Giants
Digital Identity in a Multi-Cloud World gave birth to a $6Bn company
1. What does Okta do?
Okta, Inc., founded in 2009 by Todd McKinnon and Frederic Kerrest, is a leading provider of cloud-based identity and access management solutions, enabling organizations to securely manage user authentication across various applications and devices. Okta
2. Claim to fame
Pioneering Identity-as-a-Service: Okta introduced a cloud-native platform that transformed how businesses handle digital identities, setting industry standards.
Trusted by Industry Leaders: Serving two-thirds of the Fortune 100, Okta is integral to the security infrastructure of major corporations.
Innovative Leadership: Under CEO Todd McKinnon's guidance, Okta has achieved significant milestones, including a successful IPO and strategic acquisitions.
3. Revenue, Profitability, and Market Cap
Revenue (2023): $2.26 billion.
Gross Profit: $1.7 Bn
Net Income: -$355Mn
Operating Margin: Non-GAAP operating margin of 17% and a non-GAAP free cash flow margin of at least 19%.
Market Capitalization (November 2024): Approximately $13 billion.
Source: Trading View - Financials | Market Watch | Okta Investors
4. Elliott Wave Prophecy
Long term view - Primary Count
Okta has been undergoing an ABC correction since 2021. Our primary wave count suggests that this correction is still in progress.
According to this count, Wave C is currently playing out, which should lead to prices dropping to $52 or lower.
If prices rise above $116, the odds will shift in favor of the alternate count provided in the next section below.
Long term view - Alternate Count
According to our alternate count, the ABC correction ended in November 2022, and a new impulse wave began at that point.
Wave 1 of this impulse wave concluded earlier this year, and Wave 2 retracement is currently underway.
