Shares of Okta (NASDAQ: OKTA) outperformed the market last month, rising 10% compared to a 5.5% rally in the S&P 500, according to data provided by S&P Global Market Intelligence.
The boost added to solid results for shareholders so far this year, with the digital identity management specialist's stock up nearly 100% through early August.
Okta didn't issue any operating updates last month, but instead rose along with other tech stocks that investors believe will benefit from increased work-from-home time. The company provided hints of that pandemic-influenced shift in its first-quarter results, which showed a 48% spike in subscription software revenue.
"When this crisis is over," CEO Todd McKinnon predicted, "we don't expect organizations to revert to their prior ways of working."
McKinnon and his team issued an optimistic outlook for the fiscal second quarter that calls for sales to rise by over 30% to around $187 million. Key metrics supporting that expansion will include subscription sales and customer retention figures.
We'll find out the actual operating numbers when Okta announces Q2 results on Aug. 27. Management at that time will also update investors on its (likely bullish) outlook for the second half of 2020.
10 stocks we like better than Okta
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Okta wasn't one of them! That's right -- they think these 10 stocks are even better buys.
*Stock Advisor returns as of June 2, 2020
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.