Here's Why BTIG Remains Bullish On Okta Despite Slashing Price Target By 21%

BTIG analyst Gray Powell lowered the price target on Okta Inc OKTA to $216 from $273 (45.2% upside) and kept a Buy rating.
Powell spoke with four of his independent contacts in the security space and surveyed customers to understand better the implications to Okta from the recent third-party breach disclosure.
While there is still a month remaining in Okta's April quarter, the analyst believes that any impact from the breach will be relatively small and contained within Q1 2023.
Also Read: Microsoft Confirms System Hack By The Infamous Lapsus$: Bloomberg
Meanwhile, he sees some modest potential for risk in new customer additions, with little to no risk in existing customer expansion initiatives or churn.
As a result, Powell continues to feel confident in forecasts for Okta.
Raymond James downgraded Okta after the data breach.
Okta CSO admitted maximum potential impact to 366 customers by the Lapsus$ breach.
Price Action: OKTA shares closed lower by 1.44% at $148.79 on Friday.

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