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ADBE vs. OKTA: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ADBE and OKTA, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

ADBE dominates in value with a market cap of 176.46 billion USD, eclipsing OKTA’s 20.40 billion USD by roughly 8.65×.

ADBE’s beta of 1.55 points to much larger expected swings compared to OKTA’s calmer 0.96, suggesting both higher upside and downside potential.

SymbolADBEOKTA
Company NameAdobe Inc.Okta, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - InfrastructureSoftware - Infrastructure
CEOMr. Shantanu NarayenMr. Todd McKinnon
Price414.03 USD122.06 USD
Market Cap176.46 billion USD20.40 billion USD
Beta1.550.96
ExchangeNASDAQNASDAQ
IPO DateAugust 13, 1986April 7, 2017
ADRNoNo

Performance Comparison

This chart compares the performance of ADBE and OKTA over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of ADBE and OKTA based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • OKTA features a high P/E of 749.52, indicating strong growth expectations, compared to ADBE at 26.74, which trades at a more standard valuation based on its current earnings.
SymbolADBEOKTA
Price-to-Earnings Ratio (P/E, TTM)26.74749.52
Forward PEG Ratio (TTM)2.4886.90
Price-to-Sales Ratio (P/S, TTM)8.017.82
Price-to-Book Ratio (P/B, TTM)13.793.28
Price-to-Free Cash Flow Ratio (P/FCF, TTM)19.2227.80
EV-to-EBITDA (TTM)19.28337.85
EV-to-Sales (TTM)8.008.03
EV-to-Free Cash Flow (TTM)19.2028.54

Dividend Comparison

Neither ADBE nor OKTA currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolADBEOKTA
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ADBE and OKTA, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ADBE meets its interest obligations (ratio 51.93). In stark contrast, OKTA’s negative ratio (-37.00) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.
SymbolADBEOKTA
Current Ratio (TTM)1.181.35
Quick Ratio (TTM)1.181.35
Debt-to-Equity Ratio (TTM)0.500.15
Debt-to-Assets Ratio (TTM)0.220.10
Interest Coverage Ratio (TTM)51.93-37.00