WallStSmart

Okta Inc (OKTA)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Okta Inc generates 103% more annual revenue ($2.92B vs $1.44B). OKTA leads profitability with a 8.1% profit margin vs -1.2%. OKTA earns a higher WallStSmart Score of 60/100 (C).

OKTA

Buy

60

out of 100

Grade: C

Growth: 8.0Profit: 5.0Value: 4.0Quality: 6.0
Piotroski: 5/9Altman Z: 1.33

SONO

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 5.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

OKTASignificantly Overvalued (-43.8%)

Margin of Safety

-43.8%

Fair Value

$61.31

Current Price

$80.19

$18.88 premium

UndervaluedFair: $61.31Overvalued

Intrinsic value data unavailable for SONO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

OKTA4 strengths · Avg: 9.0/10
EPS GrowthGrowth
170.8%10/10

Earnings expanding 170.8% YoY

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.858/10

Growing faster than its price suggests

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

SONO1 strengths · Avg: 10.0/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Areas to Watch

OKTA3 concerns · Avg: 2.3/10
Return on EquityProfitability
3.5%3/10

ROE of 3.5% — below average capital efficiency

P/E RatioValuation
60.4x2/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

SONO4 concerns · Avg: 2.0/10
Market CapQuality
$1.66B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3.9%2/10

ROE of -3.9% — below average capital efficiency

Revenue GrowthGrowth
-0.9%2/10

Revenue declined 0.9%

Profit MarginProfitability
-1.2%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : OKTA

The strongest argument for OKTA centers on EPS Growth, Debt/Equity, PEG Ratio. Revenue growth of 11.6% demonstrates continued momentum. PEG of 0.85 suggests the stock is reasonably priced for its growth.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth.

Bear Case : OKTA

The primary concerns for OKTA are Return on Equity, P/E Ratio, Altman Z-Score. A P/E of 60.4x leaves little room for execution misses.

Bear Case : SONO

The primary concerns for SONO are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

OKTA profiles as a value stock while SONO is a turnaround play — different risk/reward profiles.

SONO carries more volatility with a beta of 2.00 — expect wider price swings.

OKTA is growing revenue faster at 11.6% — sustainability is the question.

OKTA generates stronger free cash flow (286M), providing more financial flexibility.

Bottom Line

OKTA scores higher overall (60/100 vs 42/100) and 11.6% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Okta Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Okta Inc. is a leading identity and access management platform that provides enterprises worldwide with robust and secure authentication solutions designed to enhance digital security and user experience. With a comprehensive array of services, including single sign-on, multi-factor authentication, and lifecycle management, Okta enables organizations to effectively manage and safeguard user identities across diverse environments, both on-premises and in the cloud. Recognized for its innovative approach and exceptional customer service, Okta is strategically positioned for sustained growth in the rapidly evolving cybersecurity landscape, making it a critical partner for businesses aiming to navigate the complexities of digital transformation.

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Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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