Why Okta Stock Surged Higher Before Falling Today

Shares of Okta (NASDAQ: OKTA) were up as high as 15% in the early morning hours on Friday following the cloud identify management company's better-than-expected earnings results. However, on a day when the broader market was trading down on negative views about the economy, the stock gave back much of its early-morning gains. As of 12:30 p.m. ET on Friday, the stock was up 7.5%.

Revenue grew 65% year over year, while the company reported an adjusted net loss of $0.27 per share compared to $0.10 per share in the year-ago quarter. Investors were more pleased to see continued demand for cloud identity management services, especially following the security breach in March that exposed data from a small percentage of Okta's 15,000 customers.

Image source: Getty Images.

Source Fool.com