Okta reports first profitable quarter, aligning costs with revenue; Salesforce sees revenue and income rise.
From Nasdaq: 2024-12-06 03:14:00
In a recent podcast, Motley Fool analysts discussed Okta’s earnings, Salesforce’s AI-driven future, and Marc Benioff’s performance. Another podcast featured retirement advice on avoiding outliving money. Okta, a cybersecurity company, reported its first GAAP profitable quarter, with $16 million in net income. Competitors include Palo Alto, Microsoft, and Oracle in the identity management space. Adaptive multifactor authentication is being developed to streamline authentication processes. Okta has been working to align costs with revenue, seeing slower growth post-pandemic. Revenue and retention are now on the rise, with the opportunity to increase million-dollar accounts. Customer additions have been slow due to conservative software spending. Okta’s focus on identity management and cybersecurity is key to growth.
Okta’s partner ecosystem extends access to customers through consultants and resellers, expanding marketing reach and providing aftermarket service. Salesforce CEO Marc Benioff suffered an injury while scuba diving, tying recovery to the AI offering Agent Force. Benioff’s storytelling skills connect personal experiences to Salesforce’s innovative technology. Investors should trust Salesforce CEO Marc Benioff’s vision but verify his track record. Agent Force is a key part of Salesforce’s future, offering specialized support. Financially, Salesforce saw an 8% revenue increase and a 25% net income rise, thanks to cost management and high-margin products. CFO Amy Weaver’s discipline has positively impacted the company’s growth and profitability. Salesforce continues to invest in technology and generate cash flow while returning value to shareholders. The executive team, led by Amy Weaver, has successfully transitioned Salesforce into a more mature growth company. Alison Southwick and Robert Brokamp discuss the importance of planning for retirement to avoid outliving your money. A survey by Prudential shows that many Americans over 55 worry about financial security in old age. Factors like life expectancy play a crucial role in determining how much you need to save for retirement.
Calculating life expectancy is key to saving for retirement. Tools like the Actuaries Longevity Illustrator can help estimate how long you and your spouse may live. Factors like wealth, education, and health impact longevity. For example, a non-smoking 65-year-old married couple in average health may have a life expectancy of 86 for the male and 88 for the female.
When planning for retirement, consider your risk tolerance for outliving your money. Some refer to this as longevity risk aversion, which determines how much you fear running out of money in old age. Choosing a life expectancy with a 10% or lower chance of living to that age can help mitigate this risk. The longevity Illustrator may show a 10% chance that one member of a married average health couple will live to age 99. When planning for retirement, consider your life expectancy carefully. A study suggests adding 5 years to a single person’s projected lifespan or 8 years to a married couple’s longest life expectancy. Choosing a realistic age to plan for is crucial to avoid running out of money in retirement. Delaying Social Security until age 70 can provide a safety net.
It’s important to strike a balance between saving for retirement and enjoying life before you retire. Consider front-loading spending in the early years of retirement to ensure you get to enjoy the fruits of your labor. Supercharge savings in your 60s to offset potential later expenses, and delay Social Security to maximize benefits.
The Motley Fool reminds listeners to make informed investment decisions and not solely rely on advice from the show. Personal finance content follows editorial standards and recommendations are based on personal preference. Listeners can expect unbiased recommendations and advice from the Motley Fool team. Visit the link for more information on the Motley Fool’s disclosure policy. 1. The stock market experienced a sharp decline today, with the S&P 500 dropping by 3%. This was attributed to concerns over rising inflation and potential interest rate hikes by the Federal Reserve.
2. The latest employment report showed that the economy added 559,000 jobs in May, exceeding expectations. The unemployment rate also fell to 5.8%, indicating a strong recovery in the labor market.
3. In international news, tensions between Russia and Ukraine have escalated, with reports of increased military activity near the border. This has raised concerns about a potential conflict between the two countries.
4. The cryptocurrency market saw a significant drop in value, with Bitcoin falling below $30,000 for the first time in months. This was driven by increased regulatory scrutiny and concerns over the environmental impact of mining.
5. In technology news, Apple announced the launch of its new iPhone 13, featuring improved camera capabilities and a faster processor. The company also revealed plans to release a new version of its popular AirPods headphones.
Read more at Nasdaq: The Good News From Okta