OKTANEUTRAL

OKTA P/E Ratio Analysis

98.9x

Updated 298h ago·SEC filings & market data

Key Takeaway

The current P/E ratio of 98.9x means investors pay $98.90 for every $1 of the company's trailing earnings, a high price that assumes strong future profit growth.

Sector Performance

95th percentile

OKTA

98.9x

Sector Median

23.1x

Sector Avg

33.8x

Prior Period

97.5x(Jul 2026)

↓ Declining

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Deep Analysis

The current P/E ratio of 98.9x means investors pay $98.90 for every $1 of the company's trailing earnings, a high price that assumes strong future profit growth.

Compared to sector peers, the median P/E is 23.3x, placing OKTA in the 95th percentile, so it trades far above most companies in its industry. The year-over-year change is not available, and the quarter-over-quarter change is +1.5%, with the most recent historical values at 98.9x versus 97.5x; the longer eight-quarter trend direction is also not available. The combination of an already elevated valuation with a slight upward move adds pressure on earnings to justify the price, increasing downside risk if growth slows. This metric does not contradict the overall NEUTRAL verdict, since the extreme level suggests limited margin of safety while the incremental rise signals momentum rather than a definitive red flag.

Frequently Asked Questions

What does the P/E Ratio tell investors about OKTA?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

Who are OKTA's closest peers by P/E Ratio?

The closest peers by P/E Ratio include: CMCSA (7.8x), EG (7.8x), CHRD (7.7x), OXY (7.4x), THC (7.3x).

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.