This article first appeared on GuruFocus .
Okta ( NASDAQ:OKTA ) is drawing renewed attention from Wall Street after Needham lifted its price target to $200 from $140 and kept a Buy rating, pointing to rising demand across the company's identity products.
The higher target follows Okta's fiscal second-quarter results, which beat expectations on both revenue and adjusted earnings. Revenue rose 11% year over year to $805 million, while adjusted earnings reached $1.05 a share. Current remaining performance obligations increased 14% to $2.585 billion.
Needham highlighted activity among large enterprise customers, partner engagement and newer offerings, including Identity Governance. The firm also sees momentum from companies updating their identity systems as AI adoption expands.
That creates a second avenue for growth. AI agents are software systems that can perform tasks with limited human input, increasing the need to control their access and permissions. Okta is developing tools aimed at securing these non-human identities.
The shares have already moved sharply in 2026, raising the valuation hurdle. Still, Needham's $200 target suggests the firm sees room for further gains as Okta broadens its role in enterprise identity security.
The raised target reinforces the case that AI-agent security could become an important driver of Okta's next phase of growth.
