Latest news with #CyberArk
Business Wire
6 hours ago
- Business
- Business Wire
CyberArk Software Ltd. Announces Proposed Private Offering of $750 million of 0.00% Convertible Senior Notes due 2030
NEWTON, Mass. & PETACH TIKVA, Israel--(BUSINESS WIRE)--CyberArk Software Ltd. (Nasdaq: CYBR) ('CyberArk'), the global leader in identity security, today announced its intention to offer, subject to market conditions and other factors, $750 million aggregate principal amount of 0.00% Convertible Senior Notes due 2030 (the 'Notes') in a private offering (the 'Offering') to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the 'Securities Act'). In connection with the Offering, CyberArk expects to grant the initial purchasers of the Notes a 13-day option to purchase up to an additional $125.0 million aggregate principal amount of the Notes. The final terms of the Notes, including the initial conversion price and certain other terms, will be determined at the time of pricing of the Offering. When issued, the Notes will be senior, unsecured obligations of CyberArk. The Notes will not bear regular interest, and the principal amount of the Notes will not accrete. The Notes will mature on June 15, 2030, unless earlier repurchased, redeemed or converted in accordance with their terms prior to such date. Prior to February 15, 2030, the Notes will be convertible at the option of holders only upon satisfaction of certain conditions and during certain periods. Thereafter, the Notes will be convertible at any time until the close of business on the second scheduled trading day immediately prior to the maturity date. The Notes will be convertible into cash, ordinary shares of CyberArk or a combination thereof, with the form of consideration determined at CyberArk's election. CyberArk may redeem for cash (1) all of the Notes at any time on or prior to the 31 st scheduled trading day immediately preceding the maturity date if certain tax-related events occur and (2) all or any portion (subject to certain limitations) of the Notes, at any time, and from time to time, on or after June 20, 2028, and on or before the 31 st scheduled trading day immediately before the maturity date, at its option at any time and from time to time, if the last reported sale price per share of CyberArk's ordinary shares exceeds 130% of the conversion price for a specified period of time and certain other conditions are satisfied. The redemption price will be equal to the principal amount of the Notes to be redeemed, plus accrued and unpaid special interest, if any, to, but excluding, the redemption date. If certain corporate events that constitute a 'fundamental change' occur, then, subject to a limited exception, noteholders may require CyberArk to repurchase their Notes for cash. The repurchase price will be equal to the principal amount of the Notes to be repurchased, plus accrued and unpaid special interest, if any, up to, but excluding, the applicable repurchase date. In connection with the pricing of the Notes, CyberArk expects to enter into privately negotiated capped call transactions with one or more of the initial purchasers of the Offering and/or their respective affiliates and/or other financial institutions (in this capacity, the 'Option Counterparties'). The capped call transactions are expected to cover, subject to anti-dilution adjustments substantially similar to those applicable to the Notes, up to the number of shares of CyberArk's ordinary shares that will initially underlie the Notes. If the initial purchasers exercise their option to purchase additional Notes, then CyberArk expects to enter into additional capped call transactions with the Option Counterparties. The capped call transactions are expected to generally reduce the potential dilution to the ordinary shares of CyberArk upon any conversion of Notes and/or to offset any cash payments CyberArk is required to make in excess of the principal amount of the converted Notes, as the case may be, in the event that the market price per share of CyberArk's ordinary shares, as measured under the terms of the capped call transactions, is greater than the strike price of the capped call transactions, with such reduction of potential dilution and/or offset of cash payments subject to a cap. CyberArk has been advised that, in connection with establishing their initial hedges of the capped call transactions, the Option Counterparties or their respective affiliates expect to enter into various derivative transactions with respect to the ordinary shares of CyberArk concurrently with or shortly after the pricing of the Notes. This activity could have the effect of increasing (or reducing the size of any decrease in) the market price of the ordinary shares or the Notes at that time. In addition, the Option Counterparties or their respective affiliates may modify their hedge positions by entering into or unwinding various derivatives with respect to the ordinary shares and/or by purchasing or selling ordinary shares or other securities of CyberArk in secondary market transactions following the pricing of the Notes and prior to the maturity of the Notes (and are likely to do so following any conversion, repurchase or redemption of the Notes, in each case, if CyberArk exercises the relevant election under the capped call transactions and in connection with any negotiated unwind or modification of the capped call transactions). This activity could also cause an increase or avoid a decrease in the market price of the ordinary shares of CyberArk or the Notes, which could affect the ability of holders of Notes to convert the Notes and, to the extent the activity occurs during any observation period related to a conversion of the Notes, it could affect the number of ordinary shares, if any, and value of the consideration that holders of Notes will receive upon conversion of the Notes. CyberArk intends to use a portion of the net proceeds from the Offering to pay the cost of the capped call transactions, and the remaining net proceeds for working capital or other general corporate purposes. CyberArk may also use a portion of the net proceeds to make acquisitions or investments. However, CyberArk has not entered into any agreements or commitments for any specific acquisition or investment at this time. If the initial purchasers exercise their option to purchase additional Notes, CyberArk expects to use a portion of the net proceeds from the sale of the additional Notes to enter into additional capped call transactions with the Option Counterparties and the remaining net proceeds for general corporate purposes. Pending these uses, CyberArk intends to invest the net proceeds in high-quality, short-term fixed income instruments which include corporate, financial institution, federal agency or U.S. government obligations. The Notes will be offered only to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act. The offer and sale of the Notes and the ordinary shares of CyberArk issuable upon conversion of the Notes, if any, have not been, and will not be, registered under the Securities Act or the securities laws of any other jurisdiction, and unless so registered, the Notes and such ordinary shares, if any, may not be offered or sold in the United States except pursuant to an applicable exemption from such registration requirements. This press release does not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any offer or sale of, the Notes (or any ordinary shares of CyberArk issuable upon conversion of the Notes) in any state or jurisdiction in which the offer, solicitation, or sale would be unlawful prior to the registration or qualification thereof under the securities laws of any such state or jurisdiction. About CyberArk CyberArk (Nasdaq: CYBR) is the global leader in identity security, trusted by organizations around the world to secure human and machine identities in the modern enterprise. CyberArk's AI-powered Identity Security Platform applies intelligent privilege controls to every identity with continuous threat prevention, detection and response across the identity lifecycle. With CyberArk, organizations can reduce operational and security risks by enabling zero trust and least privilege with complete visibility, empowering all users and identities, including workforce, IT, developers and machines, to securely access any resource, located anywhere, from everywhere. Forward-Looking Statements This press release contains forward-looking statements, including, among other things, about whether CyberArk will be able to consummate the Offering, the terms of the Offering and the capped call transactions, and expectations regarding actions of the Option Counterparties and their respective affiliates. In some cases, forward-looking statements may be identified by terminology such as 'believe,' 'may,' 'estimate,' 'continue,' 'anticipate,' 'intend,' 'should,' 'plan,' 'expect,' 'predict,' 'potential,' or the negative of these terms or other similar expressions. Such statements involve a number of known and unknown risks and uncertainties that could cause CyberArk's future results, levels of activity, performance or achievements to differ materially from the results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. The outcome of the events described in these forward-looking statements is subject to known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially, including (i) changes as a result of market conditions or for other reasons, (ii) the risk that the Offering will not be consummated, (iii) the risk that the capped call transactions will not become effective, and (iv) the impact of general economic, industry or political conditions in the United States or internationally. The forward-looking statements contained in this press release are also subject to additional risks, uncertainties, and factors, including those more fully described in CyberArk's filings with the Securities and Exchange Commission (the 'SEC'), including its annual report on Form 20-F filed with the SEC on March 12, 2025. Forward-looking statements in this press release are made pursuant to the safe harbor provisions contained in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are made only as of the date hereof, and CyberArk undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.
Globe and Mail
16 hours ago
- Business
- Globe and Mail
Bull of the Day: Trend Micro (TMICY)
Trend Micro TMICY has joined the growing number of cybersecurity stocks that have gained traction, including CrowdStrike CRWD, CyberArk Software CYBR, Palo Alto Networks PANW, and Zscaler ZS. Outside of Zscaler, Trend Micro has outperformed most of its popular cybersecurity peers this year and is sitting on gains of over +40%. Offering endpoint, messaging, and web security software, what further separates Trend Micro is its more reasonable valuation, although the growth of these popular cybersecurity firms is starting to justify their premiums to the broader market. That said, Trend Micro's strong financial results and strategic growth initiatives are very compelling, with TMICY sporting a Zacks Rank #1 (Strong Buy) and landing the Bull of the Day. Vision One Expansion At the forefront of Trend Micro's expansion is its Vision One unified cybersecurity platform, which is designed to provide advanced threat detection, risk management, and security automation across multiple environments for the enterprise. Simplifying security operations for businesses while providing proactive risk management, Trend Micro serves over 10,000 large enterprise customers worldwide, with Vision One being widely adopted by financial institutions, healthcare organizations, and government agencies. Highlighted as a leading XDR platform (Extended Detection and Response), enterprises have flocked to Trend Vision One because of the platform's ability to adapt to AI-driven threats, using machine learning to detect and respond to sophisticated cyberattacks. It's also noteworthy that Vision One protects cloud-native applications and digital workloads, putting Trend Micro in a prime position to compete with Palo Alto Networks, Zscaler, and other cloud security leaders. Trend Micro's Strategic Partnerships Also contributing to Trend Micro's expansion is that it has multiple partnerships across various industries, including with cloud providers, other cybersecurity firms, and managed service providers: Microsoft MSFT – Integrates Trend Micro's security solutions with Azure for enhanced cloud protection. Amazon's AMZN AWS – Collaborates on cloud security and threat intelligence for AWS customers. Alphabet's GOOGL Google Cloud – Works together on AI-driven cybersecurity and cloud-native security solutions. Cisco Systems CSCO – Partners on network security and endpoint protection. VMware – Provides virtualization security for VMware environments. Consumer Business Expansion & Sales Growth Outside of traditional cybersecurity for the enterprise, Trend Micro's Scam Check Tool had 16,000 active users during Q1, boosting its consumer revenue by 14% from the prior year quarter. Based on Zacks' estimates, Trend Micro's total sales are expected to be up 10% in fiscal 2025 and are projected to rise another 6% in FY26 to $2.11 billion. Notably, FY26 sales projections would represent 22% growth over the last five years, with Trend Micro's top line more than doubling over the last decade in correlation with the need to combat the rising number of cyber threats. Positive EPS Revisions & Reasonable Valuation Most suggestive of more upside in Trend Micro stock is that FY25 and FY26 EPS estimates are up over 3% and 7% in the last 30 days, respectively. Trend Micro's annual earnings are now expected to spike 30% this year to $2.05 per share, versus EPS of $1.57 in 2024. Plus, FY26 EPS is projected to rise another 16%. Making the positive EPS revisions very enticing is that TMICY trades at 37.4X forward earnings, with the next cheapest P/E valuation among its afore-noted cybersecurity peers being Zscaler at 95.5X. In terms of price to sales, Trend Micro also stands out with a forward P/S ratio of 5.4X, which is near the S&P 500 with CrowdStrike, CyberArk, Palo Alto, and Zscaler all trading at a least 14X or more. Bottom Line While many cybersecurity stocks are intriguing at the moment, investors who may be keeping their risk tolerance in mind could be more comfortable selecting Trend Micro. With its consumer business expansion supporting the growth of the popular Trend Vision One platform, more upside for TMICY looks justified at current levels when considering the premium investors are paying for cybersecurity stocks. 5 Stocks Set to Double Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%. Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. Today, See These 5 Potential Home Runs >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Trend Micro Inc. (TMICY): Free Stock Analysis Report Inc. (AMZN): Free Stock Analysis Report Microsoft Corporation (MSFT): Free Stock Analysis Report Cisco Systems, Inc. (CSCO): Free Stock Analysis Report Palo Alto Networks, Inc. (PANW): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report CyberArk Software Ltd. (CYBR): Free Stock Analysis Report Zscaler, Inc. (ZS): Free Stock Analysis Report CrowdStrike (CRWD): Free Stock Analysis Report
Globe and Mail
2 days ago
- Business
- Globe and Mail
Should You Buy, Sell or Hold ZS Stock After a 46% Rise in 3 Months?
Zscaler, Inc. ZS shares have climbed 46% in the past three months, outperforming the Zacks Security industry's return of 10.7%. ZS stock has also outperformed its industry peers, including CyberArk Software CYBR, Palo Alto Networks PANW and CrowdStrike CRWD. Shares of CyberArk, Palo Alto Networks and CrowdStrike have risen 8.3%, 4.8% and 23.2%, respectively, over the past three months. With Zscaler's massive rise in the past three months, investors now face a key decision: Should they hold on to the stock or book a profit? ZS is Growing Through its Deep Cybersecurity Capabilities Zscaler has achieved multiple milestones in 2025. ZS launched the Asset Exposure Management solution to enhance organizations' asset risk management capabilities. Zscaler has also partnered with SAP to integrate its Zero Trust Network Access service, Zscaler Private Access, within SAP's RISE framework. This integration will enable enterprises to reduce their reliance on traditional VPNs and firewalls and simplify cloud migrations while complying with evolving regulations. ZS has also expanded its capabilities inorganically with the acquisition of Red Canary, which is a leading provider of Managed Detection and Response solutions in security operations. The organic and inorganic expansion of capabilities is enabling Zscaler to match the rising threats of nation-state cyber warfare, ransomware extortion and increasing incidents of malware attacks. Zscaler is also enhancing its portfolio of offerings with the integration of artificial intelligence (AI) in its products. Zscaler partnered with NVIDIA and integrated NVIDIA's AI technologies, including NIM inference microservices, NeMo Guardrails and Morpheus framework into its Zero Trust Security model. Zscaler partnered with CrowdStrike to leverage CrowdStrike's AI expertise in SIEM, threat intelligence, cyber risk quantification and real-time insights. With all these product and capability enhancements, the demand for Zscaler's cybersecurity solutions remains strong as reflected by its financials. In the third quarter of fiscal 2025, ZS attained a 12-month trailing dollar-based retention rate of 114%, driven by larger bundle sales and robust upsells. Remaining Performance Obligations, which represent committed, non-cancelable future revenues, were boosted by 30% year over year. At the end of the third quarter, the company had 642 customers with $1 million or higher annualized recurring revenues (ARR). Zscaler's customer count for ARR of more than $100,000 reached 3,363 at the end of the third quarter. Zscaler Expands its Footprint in Government Client Base Zscaler is rapidly enhancing its GovCloud solutions to receive approvals from the governing bodies. ZS is expanding its presence among government agencies through compliance with government security standards. Zscaler has enabled numerous government agencies to utilize AI-powered Cloud Browser Isolation and IPv6 for secure connectivity, mainstreaming its GovCloud solution among its federal clients. In the last reported quarter, Zscaler reported that it is serving 14 out of 15 U.S. cabinet-level agencies. As more government agencies use Zscaler's products, the company's presence in the public sector could expand, providing a stable growth stream. Zscaler's recent inclusion in Amazon Web Services' Internet Control Message Protocol, which will ensure that Zscaler's cybersecurity solutions will now be readily accessible to U.S. federal agencies, furthers its reach among federal agencies. Rising Costs and Shrinking Margins are a Concern for ZS Zscaler faces intense competition from other established cybersecurity players, including Palo Alto Networks, CyberArk and CrowdStrike. Zscaler Internet Access and Private Access face competition from Palo Alto Networks Prisma Access, Prisma SD-WAN, CrowdStrike Falcon Zero Trust, CyberArk Secure Web Sessions and CYBR Identity Security Platform. To survive in the highly competitive cybersecurity market, Zscaler is continuously investing in broadening its capabilities. Over the past few years, ZS has invested heavily to enhance its S&M capabilities, particularly by increasing the sales force. Unfortunately, its aggressive investment in S&M and R&D might weigh on its near-term profitability. Zscaler now expects its non-GAAP earnings per share for fiscal 2025 in the band of $3.18-$3.19. The Zacks Consensus Estimate for Zscaler's fiscal 2025 earnings is pegged at $3.06 per share, reflecting a 4% year-over-year decline. Image Source: Zacks Investment Research Premium Valuation is a Concern for Zscaler Zscaler holds a premium valuation, reflected in its Zacks Value Score of F. This is further reinforced by its Forward 12-month P/S ratio of 13.92X, significantly exceeding the Zacks Computer and Technology sector's average of 5.54X. Conclusion: Hold ZS Stock for Now Although Zscaler faces challenges related to increasing expenses, shrinking margins and premium valuation, the company's heavy investment in AI, innovative cybersecurity capabilities, customer retention and long-term contracts with government agencies make the stock worth retaining at present. Zscaler carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks Names #1 Semiconductor Stock It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom. With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028. See This Stock Now for Free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW): Free Stock Analysis Report CyberArk Software Ltd. (CYBR): Free Stock Analysis Report Zscaler, Inc. (ZS): Free Stock Analysis Report CrowdStrike (CRWD): Free Stock Analysis Report
Yahoo
3 days ago
- Business
- Yahoo
SDG Deepens Cyber Resilience Offerings Through Strategic Acquisition of PAM Solutions Provider, Synergetika
NORWALK, Conn., June 2, 2025 /PRNewswire/ -- SDG, a global provider of AI-driven identity, threat, and risk management solutions, today announced its acquisition of Synergetika, a solutions provider specializing in Privileged Access Management (PAM). This strategic move strengthens SDG's delivery capabilities and deepens its expertise in helping organizations secure critical systems through expert PAM strategy and implementation. Privileged access abuse is a top cause of cyberattacks, especially insider threats and lateral movement within compromised systems. Organizations of all sizes understand that an effective PAM program is crucial to prevent breaches and protect critical infrastructure, particularly in industries like finance, healthcare, and energy, where the stakes are higher. "With this acquisition, SDG reinforces its mission to deliver the industry's foremost identity security and access management expertise to every client," said Ajay Gupta, CEO of SDG. "In today's hybrid and dynamic IT environments, controlling and monitoring privileged access has never been more critical. Synergetika brings highly specialized talent and experience in PAM advisory and implementation, which can immediately expand the value we bring to our clients." Founded in 2018 and headquartered in Toronto, Synergetika has earned a reputation for guiding mid-sized and enterprise clients through the complexities of PAM program design, technology selection, and scaled implementation. Its deep partnerships with leading PAM technology providers – CyberArk, BeyondTrust, and Microsoft – align seamlessly with SDG's existing ecosystem, further enhancing the firm's ability to serve complex identity and access needs. "Since inception, Synergetika has focused on helping clients navigate the demanding process of selecting and deploying the right PAM solution for their unique environments," said Leon Lukiyanets, Co-founder and Managing Director of Synergetika. "Joining SDG gives us the scale, platform, and shared purpose to elevate that mission and continue helping enterprises build secure, resilient infrastructures." "The acquisition of Synergetika strengthens SDG's comprehensive identity and access management offering," said Charles Phillips, Co-Founder and Managing Partner at Recognize, SDG's majority shareholder. "We understand the business value PAM expertise can bring to enterprise clients." The Synergetika team will join SDG as part of its growing identity and access management practice. Financial terms of the transaction were not disclosed. About Synergetika Synergetika is the leading pure-play Privileged Access Management (PAM) consultancy and systems integrator with presence in Canada, USA, and India. The company delivers enterprise-scale PAM strategies and solutions from leading vendors including CyberArk, BeyondTrust, Delinea, HashiCorp, and Microsoft. About SDG With more than 30 years of experience partnering with global enterprises on complex business and IT initiatives, SDG is a trusted provider of advisory, transformation, and managed services. The firm empowers organizations to strengthen cyber resilience by integrating AI into identity, threat, and risk management solutions that protect digital assets and deliver measurable business value. Learn more at About Recognize Recognize Partners LP is an investment platform exclusively focused on the digital services industry. The firm provides operational expertise, industry insights and strategic capital to innovative companies in this sector. To learn more, visit Media Contact:Charisma BurghoutsSDG +1-203-866-8886 View original content to download multimedia: SOURCE SDG Corporation
Globe and Mail
6 days ago
- Business
- Globe and Mail
Okta Declines 16% Post Q1 Earnings: Buy, Sell or Hold the Stock?
Okta OKTA shares dropped 16.16% on Wednesday to close at $105.22 following first-quarter fiscal 2026 results on Tuesday. Although the company reported impressive earnings and revenue growth, the decline in shares can be attributed to slowing top-line growth expectations for the fiscal second quarter as well as fiscal 2026. Okta expects second-quarter fiscal 2026 revenues between $710 million and $712 million, indicating 10% year-over-year growth (11.5% year-over-year growth in first-quarter fiscal 2026). The current portion of the company's remaining performance obligations (RPOs) is expected in the 10-11% range. Okta anticipates non-GAAP earnings between 83 cents and 84 cents per share. For fiscal 2026, OKTA still expects revenues between $2.85 billion and $2.86 billion, indicating 9-10% growth from the figure reported in fiscal 2025. Uncertainty in the federal business, along with challenging macroeconomic conditions, are headwinds for the company. However, Okta expects fiscal 2026 non-GAAP earnings between $3.23 and $3.28 per share, up from previous guidance between $3.15 and $3.20 per share. Year to date, Okta shares returned 33.5%, outperforming the broader Zacks Computer & Technology and close peers, including Microsoft MSFT, International Business Machines IBM and CyberArk CYBR. Shares of International Business Machines, CyberArk and Microsoft returned 18.4%, 14.5% and 8.5%, respectively. OKTA Stock's Performance Earnings Estimates Revision Trend Steady for OKTA For second-quarter fiscal 2026, the Zacks Consensus Estimate for OKTA's earnings has been steady at 79 cents per share over the past 30 days. The earnings figure suggests 9.72% year-over-year growth. For fiscal 2026, the Zacks Consensus Estimate for Okta's earnings has been steady at $3.19 per share over the past 30 days. The earnings figure suggests 13.52% growth over the figure reported in fiscal 2025. Okta's earnings beat the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 13.53%. OKTA Benefits From Strong Demand for Identity Solutions Okta benefits from strong demand for its new products, including Identity Governance, Privileged Access, Device Access, Fine Grained Authorization, Identity Security Posture Management, and Identity Threat Protection with Okta AI. Okta's Identity Security Posture Management and Privileged Access solutions are helping enterprises tackle non-human identities that comprise service accounts, shared accounts, machines and tokens. OKTA's innovative portfolio is helping the company win clients, driving top-line growth. It exited first-quarter fiscal 2026 with roughly 20,000 customers and $4.084 billion in RPOs, reflecting strong growth prospects for subscription revenues. Customers with more than $100 thousand in Annual Contract Value increased by 70 sequentially to 4,870. Okta's offerings include Okta AI, a suite of AI-powered capabilities embedded across several products, which empowers organizations to harness AI to build better experiences and protect against cyberattacks. Okta Platform and Auth0 Platform are compatible with public clouds, on-premises infrastructures and hybrid clouds. The Auth0 platform comprises the Auth0 Platform, Fine Grain Authorization, Highly Regulated Identity and Self Service. The combined governance portfolio of Okta Identity Governance, Lifecycle Management, and Workflows has surged 400% over the past three years to nearly $40 billion at the end of the fiscal first quarter. Okta is benefiting from a rich partner base that includes the likes of Amazon Web Services, CrowdStrike, Google, LexisNexis Risk Solutions, Microsoft, Netskope, Palo Alto Networks, Plaid, Proofpoint, Salesforce, ServiceNow, VMware, Workday, Yubico and Zscaler. Here's Why Okta Stock is a Hold Now Okta shares are overvalued, as suggested by the Value Score of F. In terms of forward Price/Cash Flow, OKTA is trading at 24.59X compared with the broader sector's 19.8X, suggesting a premium valuation. Price/Cash Flow F12M The stock is currently trading below the 50-day and 200-day moving averages, indicating a bearish trend. OKTA Stock Trades Below 50-Day & 200-Day SMAs Despite having an innovative portfolio and expanding clientele OKTA suffers from challenging macroeconomic condition and a stretched valuation that makes the stock risky in the near term. Okta currently has a Zacks Rank #3 (Hold), which implies that investors should wait for a better entry point to accumulate the stock. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks' Research Chief Names "Stock Most Likely to Double" Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest. This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT): Free Stock Analysis Report CyberArk Software Ltd. (CYBR): Free Stock Analysis Report Okta, Inc. (OKTA): Free Stock Analysis Report
