Snowflake (NYSE:SNOW) Trading Down 7.7% – Time to Sell?

Snowflake Inc. (NYSE:SNOW) shares dropped 7.7% during trading on Thursday . The stock traded as low as $196.79 and last traded at $199.3210. Approximately 7,977,017 shares changed hands during mid-day trading, an increase of 80% from the average daily volume of 4,426,650 shares. The stock had previously closed at $216.00.

Snowflake News Summary

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: DA Davidson reaffirmed a “buy” rating and set a $300 price target (roughly a ~56% upside vs. the current price), a reiteration that can attract momentum buyers and long‑term investors. Benzinga
• Positive Sentiment: Snowflake launched an AI Energy Solutions suite and announced partnerships aimed at serving power generation and utility customers — a product expansion that could open new enterprise workloads and revenue streams if adopted at scale. DatacenterDynamics: Snowflake AI launches energy solutions suite
• Positive Sentiment: Press releases describe partnerships (Visionaize, Streamline Control) to accelerate AI‑driven energy operations, reinforcing go‑to‑market traction in the energy vertical. Visionaize partnership
• Neutral Sentiment: Coverage pieces (including an opinion/positioning article on AI opportunities) highlight Snowflake’s market positioning in AI but also caution about hype—useful context for longer‑term thesis but not an immediate catalyst. Forbes: Mind The Gaps
• Neutral Sentiment: Recent market commentary noted the stock had earlier risen, reflecting ongoing interest; this provides context that today’s weakness is a pullback within a volatile trend. Zacks: Snowflake ascends while market falls
• Negative Sentiment: Johnson Fistel disclosed an investigation into whether Snowflake or its executives complied with securities laws, which can increase legal risk, create headline volatility, and prompt investor caution until details are resolved. GlobeNewswire: Johnson Fistel investigation

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on SNOW. Cantor Fitzgerald boosted their price objective on shares of Snowflake from $275.00 to $278.00 and gave the company an “overweight” rating in a research report on Thursday, December 4th. Deutsche Bank Aktiengesellschaft boosted their price target on Snowflake from $250.00 to $275.00 and gave the stock a “buy” rating in a report on Thursday, December 4th. Jefferies Financial Group set a $300.00 target price on Snowflake in a research report on Monday, November 24th. Wedbush reissued an “outperform” rating and issued a $270.00 price objective on shares of Snowflake in a research note on Thursday, December 4th. Finally, Monness Crespi & Hardt lifted their target price on Snowflake from $260.00 to $275.00 and gave the stock a “buy” rating in a report on Thursday, December 4th. Two research analysts have rated the stock with a Strong Buy rating, thirty-four have given a Buy rating, four have issued a Hold rating and three have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Snowflake has a consensus rating of “Moderate Buy” and a consensus price target of $275.58.

Snowflake Stock Performance

The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.07. The stock has a market cap of $65.93 billion, a PE ratio of -47.69 and a beta of 1.14. The firm has a 50 day moving average price of $223.34 and a 200 day moving average price of $227.90.

Snowflake (NYSE:SNOW) last announced its quarterly earnings results on Wednesday, December 3rd. The company reported $0.35 earnings per share for the quarter, topping the consensus estimate of $0.31 by $0.04. The firm had revenue of $1.21 billion during the quarter, compared to analysts’ expectations of $1.18 billion. Snowflake had a negative net margin of 30.76% and a negative return on equity of 45.91%. The company’s revenue was up 28.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.20 EPS. As a group, research analysts forecast that Snowflake Inc. will post -2.36 earnings per share for the current year.

Insider Activity

In other Snowflake news, Director Michael L. Speiser sold 50,338 shares of the stock in a transaction dated Friday, December 5th. The shares were sold at an average price of $230.65, for a total transaction of $11,610,459.70. Following the completion of the sale, the director directly owned 32,756 shares of the company’s stock, valued at approximately $7,555,171.40. This represents a 60.58% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, EVP Christian Kleinerman sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, December 1st. The shares were sold at an average price of $249.53, for a total transaction of $2,495,300.00. Following the completion of the sale, the executive vice president owned 512,450 shares of the company’s stock, valued at approximately $127,871,648.50. This trade represents a 1.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 613,681 shares of company stock valued at $136,052,145. Company insiders own 6.80% of the company’s stock.

Institutional Trading of Snowflake

Large investors have recently added to or reduced their stakes in the company. Trust Co. of Toledo NA OH acquired a new position in Snowflake in the 2nd quarter worth approximately $25,000. Grey Fox Wealth Advisors LLC purchased a new stake in shares of Snowflake during the 3rd quarter worth about $25,000. Avion Wealth boosted its position in Snowflake by 76.6% during the second quarter. Avion Wealth now owns 113 shares of the company’s stock worth $25,000 after purchasing an additional 49 shares in the last quarter. Tripletail Wealth Management LLC purchased a new position in shares of Snowflake during the 3rd quarter valued at approximately $28,000. Finally, Rossby Financial LCC lifted its holdings in Snowflake by 4,233.3% during the second quarter. Rossby Financial LCC now owns 130 shares of the company’s stock valued at $29,000 after purchasing an additional 127 shares in the last quarter. Hedge funds and other institutional investors own 65.10% of the company’s stock.

Snowflake Company Profile

Snowflake Inc is a cloud-native data platform company that provides a suite of services for storing, processing and analyzing large volumes of data. Its core offering, often described as the Snowflake Data Cloud, combines data warehousing, data lake and data sharing capabilities in a single managed service delivered across major public cloud providers. The platform is designed to support analytics, data engineering, data science and application workloads with a focus on scalability, concurrency and simplified administration.

Key products and capabilities include a multi-cluster, shared-data architecture that separates compute from storage; continuous data ingestion and streaming; support for structured and semi-structured data formats; tools for data governance, security and compliance; and developer frameworks for building data applications.