OKTA FCF Yield Analysis
Updated 299h ago·SEC filings & market data
Key Takeaway
A 3.6% free cash flow yield means OKTA generates $3.60 in cash from operations minus capital spending for every $100 of its market value.
Sector Performance
43th percentileOKTA
3.6%
Sector Median
4.2%
Sector Avg
9.3%
Prior Period
3.3%(Jul 2026)
Deep Analysis
A 3.6% free cash flow yield means OKTA generates $3.60 in cash from operations minus capital spending for every $100 of its market value.
This is below the sector median of 4.1%, placing OKTA at the 43rd percentile among peers, so the stock sits slightly cheaper than the typical company but not by much. The trend is stable: year-over-year change is not available, but the quarter-over-quarter change is +9.1%, with recent readings of 3.6%, 3.3%, 3.6%, and 3.3%. The combination of a near-median yield and a stable pattern suggests moderate cash return potential without a clear pricing edge or deterioration. For investment risk, this implies neither an undervalued opportunity nor a cash flow warning, just consistent performance in line with the broader sector. This metric supports the overall NEUTRAL verdict: the yield is close to the sector median and stable, offering no strong reason to be bullish or bearish.
Frequently Asked Questions
What does the FCF Yield tell investors about OKTA?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are OKTA's closest peers by FCF Yield?
The closest peers by FCF Yield include: RARE (-18.7%), CG (-19.3%), RXRX (-20.3%), PLUG (-22.0%), NTLA (-22.5%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master OKTA's Valuation
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3.6%
Sector Median
4.2%
Sector Avg
9.3%
How OKTA's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.