Snowflake (NYSE:SNOW) Trading 5.4% Higher After Better-Than-Expected Earnings

Snowflake Inc. (NYSE:SNOW)’s share price was up 5.4% during mid-day trading on Wednesday following a stronger than expected earnings report. The company traded as high as $170.47 and last traded at $169.7410. Approximately 12,613,062 shares were traded during trading, an increase of 101% from the average daily volume of 6,262,440 shares. The stock had previously closed at $161.06.

The company reported $0.32 EPS for the quarter, topping the consensus estimate of $0.27 by $0.05. Snowflake had a negative return on equity of 48.50% and a negative net margin of 28.43%.The business had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.25 billion. During the same quarter last year, the company earned $0.30 EPS. The firm’s revenue was up 30.1% compared to the same quarter last year.

Snowflake News Summary

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Q4 beat and healthy demand: Snowflake reported ~30% y/y revenue growth and an EPS beat, with improving cash flow and strong customer metrics that underpin medium‑term revenue momentum. Snowflake Stock Surges After Q4 Revenue Jumps 30%, EPS Tops Estimates
• Positive Sentiment: AI positioning and market opportunity: Management highlighted agentic AI capabilities, partnerships (OpenAI/Anthropic integrations) and accelerating enterprise AI adoption — including faster growth in India — supporting a durable addressable market for Snowflake’s data cloud. Snowflake sees high levels of AI adoption among India Inc; country growth faster than global
• Positive Sentiment: Market technical/bull case: Some analysts and MarketBeat argue the sell‑off is overdone, institutions have been accumulating, and Snowflake’s cross‑cloud data position makes it central to AI workflows — a potential catalyst for a recovery. Is Snowflake’s Stock Meltdown Over? Signs Point to a Bottom
• Neutral Sentiment: Analyst repositioning: Many firms kept Buy/Overweight ratings but trimmed price targets after the quarter (UBS, Morgan Stanley, JPMorgan, Canaccord, etc.), leaving a mix of upside potential and reduced near‑term analyst support. These Analysts Slash Their Forecasts On Snowflake After Q4 Results
• Negative Sentiment: Mixed outlook disappointed some investors: Management’s FY27 product revenue guide (~27%) was viewed as conservative relative to some buyside expectations, contributing to a share pullback despite the beat. Snowflake’s stock dips as the software company gives a mixed outlook
• Negative Sentiment: Rising legal risk: Multiple law firms and class‑action notices were filed or publicized this week, creating legal overhang and increasing near‑term uncertainty for shareholders. Deadlines for lead‑plaintiff filings are being emphasized. Bronstein, Gewirtz & Grossman LLC Urges Snowflake Inc. Investors to Act: Class Action Filed
• Negative Sentiment: Profitability concerns persist: Commentary (e.g., Motley Fool) notes that while growth is strong, durable GAAP profitability remains elusive — a point that keeps some investors sidelined despite the AI narrative. Why I’m Still Not Buying Snowflake Stock

Analyst Ratings Changes

Several analysts have recently weighed in on SNOW shares. Argus upgraded shares of Snowflake from a “hold” rating to a “buy” rating and set a $300.00 price objective on the stock in a research report on Thursday, January 8th. Jefferies Financial Group set a $300.00 target price on Snowflake in a research note on Monday, November 24th. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $250.00 price target on shares of Snowflake in a research note on Monday. Sanford C. Bernstein cut their price objective on Snowflake from $237.00 to $195.00 and set a “market perform” rating for the company in a report on Thursday. Finally, JPMorgan Chase & Co. reduced their price objective on Snowflake from $268.00 to $245.00 and set an “overweight” rating on the stock in a research report on Thursday. Two investment analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, four have assigned a Hold rating and three have given a Sell rating to the company. According to MarketBeat, Snowflake has an average rating of “Moderate Buy” and a consensus target price of $248.58.

Insider Activity

In other Snowflake news, Director Michael L. Speiser sold 50,338 shares of the stock in a transaction on 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 owned 32,756 shares of the company’s stock, valued at $7,555,171.40. This represents a 60.58% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Christian Kleinerman sold 10,000 shares of the business’s stock in a transaction dated 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 transaction, the executive vice president owned 512,450 shares in the company, valued at $127,871,648.50. The trade was a 1.91% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 713,681 shares of company stock valued at $148,264,518 in the last three months. Corporate insiders own 6.80% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Norges Bank purchased a new stake in Snowflake in the fourth quarter worth $974,091,000. Winslow Capital Management LLC purchased a new position in Snowflake during the second quarter valued at $725,667,000. Jennison Associates LLC boosted its holdings in shares of Snowflake by 27.7% during the 4th quarter. Jennison Associates LLC now owns 11,603,302 shares of the company’s stock valued at $2,545,300,000 after buying an additional 2,519,413 shares in the last quarter. Coatue Management LLC bought a new stake in shares of Snowflake during the 3rd quarter valued at $441,277,000. Finally, Jericho Capital Asset Management L.P. purchased a new stake in shares of Snowflake in the 4th quarter worth about $345,619,000. Institutional investors own 65.10% of the company’s stock.

Snowflake Price Performance

The firm has a market cap of $57.63 billion, a P/E ratio of -42.64 and a beta of 1.14. The company has a debt-to-equity ratio of 1.07, a current ratio of 1.37 and a quick ratio of 1.37. The firm’s 50 day moving average is $198.95 and its 200 day moving average is $222.58.

About Snowflake

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.