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Okta (OKTA) has been catching investors’ attention lately, as its stock price has seen a dip of nearly 10% over the past month. This movement has prompted fresh discussion about the company’s current valuation and future prospects.

See our latest analysis for Okta.

Zooming out, Okta’s 1-year total shareholder return is up just 2.8% even as the stock price has given back nearly 10% this month. This shows that momentum has faded after a volatile stretch of gains and setbacks. Most recently, the company saw its share price return slip by 14.5% over the last 90 days, which could reflect investors recalibrating expectations around its growth potential and risk profile.

If you’re curious to see what other growth stories are developing beyond Okta, now’s a smart moment to check out fast growing stocks with high insider ownership.

With shares lagging and trading at a notable discount to analyst price targets, the question now is whether Okta’s current weakness signals an undervalued opportunity or if the market already reflects all of its potential upside.

Compared to Okta’s last close at $78.68, the most popular narrative pegs fair value above $120. This supports a bold thesis centered on cloud identity growth and increasing security needs.

The proliferation of AI agents and nonhuman identities is creating new, urgent security use cases that require sophisticated identity governance, privileged access management, and policy controls. These are areas where Okta is innovating (Cross App Access, Auth0 for AI Agents, Axiom acquisition), opening incremental growth avenues and potential margin expansion through higher-value and differentiated products.

Read the complete narrative.

Want to know what financial forecasts power this striking discount? The foundation here is aggressive profit expansion, ambitious margin targets, and revenue acceleration that could catch the market off guard. Find out which key growth bets and financial leaps are at the heart of this narrative. Are the numbers bold enough to deliver on the massive upside?

Result: Fair Value of $120.37 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, ongoing cybersecurity consolidation and execution risks from frequent product expansions could quickly challenge Okta’s growth story if there are any missteps in integration or innovation.

Find out about the key risks to this Okta narrative.

Shifting focus from growth assumptions to how the market values Okta compared to its peers shows a less optimistic picture. Okta currently trades at a price-to-earnings ratio of 82.6x, notably higher than the US IT industry average of 27.8x and its peer average of 28.1x. The fair ratio for Okta, based on broader trends, stands at just 40.7x. This sizable gap could indicate more downside risk if investor sentiment reverts to the mean. Are markets getting ahead of themselves, or will Okta’s earnings prove robust enough to justify such a premium?

See what the numbers say about this price — find out in our valuation breakdown.

If you have a different perspective or want to dig into the numbers yourself, you can build your own viewpoint in just a few minutes, your way. Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Okta.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include OKTA.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com

• Earlier in November 2025, Restaurant Brands International announced a joint venture with Chinese asset manager CPE to grow Burger King’s restaurant count in China from about 1,250 to more than 4,000 locations by 2035, backed by a US$350 million investment from CPE.

• This move aligns with RBI’s strategy of expanding via franchise-led models and underlines the significance of China’s rapidly growing consumer market for global quick-service restaurant brands.

• We’ll consider how this ambitious partnership and expansion plan could influence the company’s investment narrative and future growth opportunities.

Outshine the giants: these 25 early-stage AI stocks could fund your retirement.

To be a shareholder in Restaurant Brands International, you need to believe in the company’s ability to drive profitable growth through its global franchise model, while balancing the risks of international expansion and margin pressures. The recent China joint venture is a meaningful step for long-term unit growth but, in the near term, does not materially resolve the biggest risk: the potential for margin compression from persistent commodity inflation and competitive discounting, especially in the key U.S. and international markets.

The recently completed US$1.21 billion follow-on equity offering stands out in the context of these expansion plans. This fresh capital further strengthens RBI’s ability to fund initiatives like the ambitious China partnership, reinforcing the company’s commitment to international growth as a primary catalyst, while also highlighting the need for disciplined capital allocation should near-term pressures on margins intensify.

By contrast, investors should be aware that executing large-scale international growth ventures can introduce risks that…

Read the full narrative on Restaurant Brands International (it’s free!)

Restaurant Brands International’s outlook anticipates $10.1 billion in revenue and $2.0 billion in earnings by 2028. This is based on a 3.5% annual revenue growth rate and a $1.1 billion increase in earnings from the current $862.0 million.

Uncover how Restaurant Brands International’s forecasts yield a $78.25 fair value, a 11% upside to its current price.

Simply Wall St Community fair value estimates for Restaurant Brands International range from US$43 to nearly US$87 across 4 separate perspectives. While these views underscore broad uncertainty, the recent China expansion plans highlight that international initiatives can significantly shape future performance, reminding you to explore several alternative viewpoints before making up your mind.

Explore 4 other fair value estimates on Restaurant Brands International – why the stock might be worth 39% less than the current price!

Disagree with existing narratives? Create your own in under 3 minutes – extraordinary investment returns rarely come from following the herd.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include QSR.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com