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Fly News Breaks for March 8, 2019
OKTA
Mar 8, 2019 | 06:30 EDT
JPMorgan analyst Sterling Auty says that while Okta reported "strong" revenue in Q4, investments weighed on the company's margin outlook. The stock's valuation is one of the premiums in all of software, Auty tells investors in a post-earnings research note. So while the 8.5% beat in subscription revenue was a little higher than the 8.1% since the initial public offering, the margin guide, even without the acquisition, is below street expectations and has the potential to hit shares, adds the analyst. However, Auty continues to like Okta's competitive position and opportunity to lead the identity space into the future. He keeps an Overweight rating on the name with an $88 price target.