Okta, Inc. (OKTA) reported a Remaining Performance Obligations (RPO) of $4.084 billion in Q1 FY2026, a 21% increase year-over-year, with current RPO rising 14% to $2.23 billion. This surge underscores strong demand for its identity security solutions amid complex IT environments. The company anticipates a 10% to 11% growth in current RPO for Q2 FY2026, reflecting resilient demand despite macroeconomic challenges.
Okta faces competition primarily from CyberArk Software (CYBR) and Microsoft (MSFT), with CyberArk leading in Privileged Access Management and expanding into automated Identity Governance. Microsoft’s Entra ID presents a significant challenge as it offers a fully integrated identity and access management solution.
Year-to-date, Okta shares have appreciated 27.7%, outperforming the Zacks Security industry at 19.9%. The consensus estimates for FY2026 revenues stand at $2.86 billion, a 9.44% year-over-year growth, with earnings projected at $3.28 per share, indicating a 16.73% growth over FY2025.
