What happened Shares of Okta (NASDAQ: OKTA) rallied on Wednesday, surging as much as 8.9%. As of 12:42 p.m. ET, the stock was still up 6.8%. The major market indexes were decidedly higher, which no doubt provided tailwinds for the identity verification and cybersecurity specialist. While there was no company-specific news driving Okta higher, the catalyst was likely the news that a rival was being taken private at a hefty premium. So what Ping Identity Holding (NYSE: PING) revealed today that it was being acquired by technology-centric private equity firm Thoma Bravo. The acquisition will be an all-cash deal that values Ping Identity at $2.8 billion. Assuming the deal is approved, shareholders will be paid $28.50 per share, which represents a hefty 63% premium compared with the stock's closing price on Tuesday. The deal will ultimately require the approval of both shareholders and regulators, but barring unforeseen roadblocks, the acquisition is expected to close later this year. Now what Okta is one of many high-growth technology stocks that have been hobbled by the bear market, with shares currently down roughly 62% compared with highs reached late last year. The falling stock price aside, Okta's opportunity in its space remains vast. The company generated revenue of $1.3 billion in fiscal 2022 (ended Jan. 21), but that's a drop in the bucket compared with its total addressable market, which management estimates at $80 billion. Furthermore, the digital transformation is ongoing, as businesses continue to join the cloud revolution. Providing identity verification and access management solutions is more important than ever. Okta is the leader in the industry, according to Gartner, who rated it tops in its high-profile Magic Quadrant. Forrester Research came to a similar conclusion, naming Okta the leading identity-as-a-service provider for enterprise. The hefty buyout premium for Ping Identity only serves to validate the value of Okta's services and the breadth of its opportunity. 10 stocks we like better than OktaWhen our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Okta wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of July 27, 2022 Danny Vena has positions in Okta. The Motley Fool has positions in and recommends Okta. The Motley Fool recommends Gartner. The Motley Fool has a disclosure policy.Source