Okta sees great growth ahead as it expands its service offering.
The cybersecurity company announced on Wednesday that it expects 30% revenue growth for the fiscal year as it introduced two new products, one in Privileged Access Management and one in Identity Governance and Administration.
Privileged access is designed to protect data from hacker attacks within a company, while identity management and management is designed to optimize a company’s decision as to what information users can access on their servers.
The addition of these new tools will also increase Okta’s business opportunities by more than 20%, CEO Todd McKinnon told CNBC’s Jim Cramer.
“We have a massive addressable market,” McKinnon said in a Mad Money interview. “With everything moving to the cloud and businesses needing to connect with their customers through digital channels and everyone worrying about security, this massive $ 80 billion TAM (total addressable market) is the foundation for sustainable growth across the world a long period of time. “
Okta offers security tools to authenticate users, e. B. Password permissions and access to online networks.
In terms of privileged access management and identity management and administration, Cramer determined that the company will enter markets dominated by CyberArk and SailPoint Technologies. Okta also works with both companies.
McKinnon suggested the identity governance and privileged access services market opportunity is $ 15 billion.
“There’s enough space for many vendors to strive for. We’re taking it from a very cloud-centric approach,” he said. “We will continue to work with these partners while doing what our customers ask us to do. That covers all use cases of their identity.”
Okta forecasts total sales of up to $ 1.09 billion for the current fiscal year. The company had sales of $ 835.4 million for the previous fiscal year ended January 31.
The growth has steadily slowed down in recent years. Okta posted revenue growth of 42.5% in fiscal 2021, compared to 53.6% in fiscal 2019.