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Okta provides a cloud-based platform that manages and secures digital identities for businesses and government agencies. The software works by centralizing user authentication through tools like single sign-on and multi-factor authentication, allowing employees to access all their work applications with one secure login. Unlike traditional hardware-based security, Okta operates entirely in the cloud, making it easier to manage remote workforces and automate the process of granting or removing access as employees join or leave a company. The company's goal is to ensure that the right individuals have secure access to the right digital resources at the right time.
Company Size
5,001-10,000
Company Stage
IPO
Headquarters
San Francisco, California
Founded
2009
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Citizens has raised its price target for Okta to $225 from $180, maintaining an "Outperform" rating, citing the company's strategic position in AI identity security as a driver for durable growth re-acceleration. The new target implies about 15% upside from the stock's last close of $195.19. Okta's second-quarter revenue rose 11% year-over-year, whilst current remaining performance obligations increased 14%. The company raised its full-year revenue outlook to between $3.216 billion and $3.226 billion, representing 10% to 11% growth. Roth Capital noted that Okta for AI Agents is producing a 50%-60% uplift in deal values, though the opportunity remains early. The product helps businesses discover agents, control access, and monitor behaviour as AI agents increasingly require their own identities and controls. OKTA stock has rallied more than 133% this year.
MIND today announced $30M Series A funding led by Paladin Capital Group and Crosspoint Capital Partners with participation from Okta Ventures and YL Ventures.
Jim Cramer discussed identity management firm Okta on 18 September, focusing on its role in AI security. Cramer highlighted CEO Todd McKinnon's confidence in Okta's ability to identify and stop malicious AI activity. Okta's shares have risen more than 120% year-to-date, though the company's growth lags behind peers CrowdStrike and Zscaler. Okta's second-quarter revenue grew 11% annually, compared with 26% for both competitors. The firm guided for 10% to 11% annual revenue growth for fiscal year 2027. In September, Okta announced new products including Okta for AI agents and extended its Identity Governance platform to cover AI agents. The company reported over 605 customers with more than $1 million in annual contract value in Q2.
Redwire, a Jacksonville-based provider of space infrastructure systems and components, holds a net cash position of $466.8 million, representing 16.6% of its market capitalisation. The company achieved 20.8% annual revenue growth over the past two years and expects 20.6% growth over the next 12 months, indicating market share gains. In contrast, two companies with cash-heavy balance sheets face challenges. Okta, which provides cloud-based identity management solutions, saw its average ARR growth slow to 11.8% over the past year, with sales growth expected to decelerate further to 9.9%. Richardson Electronics, a distributor of power grid and microwave tubes, recorded just 5.3% annual revenue growth over five years. The company's free cash flow margin stands at -0.9%, with declining returns on capital signalling weak investment performance.
Aembit has launched support for Okta's Cross App Access protocol, extending enterprise identity controls to AI agents. The identity and access management company is partnering with Okta at Oktane 2026 in Las Vegas this week. Cross App Access eliminates repeated consent steps as agents connect to approved applications, whilst Aembit provides verified agent identity and policy-based access enforcement. The integration allows organisations to extend existing Okta identity policies to agent-driven connections. The solution addresses the growing challenge of managing access relationships as AI agents operate across multiple enterprise platforms. Security teams can now apply centralised identity policies to agent connections whilst maintaining accountability through blended identity, which links user context with agent identity.