Snowflake (NYSE:SNOW) Releases Earnings Results, Beats Expectations By $0.07 EPS

Snowflake (NYSE:SNOW) announced its quarterly earnings results on Wednesday. The company reported $0.39 EPS for the quarter, beating analysts’ consensus estimates of $0.32 by $0.07, FiscalAI reports. The company had revenue of $1.39 billion during the quarter, compared to analysts’ expectations of $1.32 billion. Snowflake had a negative return on equity of 49.29% and a negative net margin of 23.79%.Snowflake’s revenue was up 33.5% on a year-over-year basis. During the same period in the prior year, the business posted $0.24 EPS.

Here are the key takeaways from Snowflake’s conference call:

• Snowflake reported Q1 product revenue of $1.334 billion, with growth accelerating to 34% year over year, alongside a 126% net revenue retention rate and the strongest sequential dollar growth in company history.
• The company raised its FY 2027 product revenue outlook to $5.84 billion or 31% growth, citing strength in the core platform and increasing contribution from AI products like Cortex Code and Snowflake Intelligence.
• Snowflake said its new AI offerings are seeing rapid adoption, with Snowflake Intelligence accounts more than doubling quarter over quarter and Cortex Code now in use at more than 7,100 accounts.
• Operating leverage improved, with non-GAAP operating margin expanding over 300 basis points year over year to 12%; management also raised full-year operating margin guidance to 13.5%.
• Snowflake announced an intended acquisition of Natoma and an expanded $6 billion multi-year AWS agreement, both aimed at extending its agentic AI control plane and supporting future growth, while the AWS deal also helps offset AI-related gross margin pressure.

Snowflake Price Performance

NYSE SNOW opened at $239.22 on Friday. The business has a 50 day simple moving average of $155.03 and a 200 day simple moving average of $190.49. Snowflake has a 52-week low of $118.30 and a 52-week high of $280.67. The company has a debt-to-equity ratio of 1.18, a quick ratio of 1.30 and a current ratio of 1.30. The stock has a market cap of $82.70 billion, a price-to-earnings ratio of -67.96 and a beta of 1.08.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on SNOW. Mizuho upped their price target on Snowflake from $220.00 to $295.00 and gave the company an “outperform” rating in a research note on Thursday. The Goldman Sachs Group upped their price target on Snowflake from $216.00 to $278.00 and gave the company a “buy” rating in a research note on Thursday. Evercore set a $200.00 price target on Snowflake in a research note on Tuesday, April 14th. BTIG Research upped their price target on Snowflake from $235.00 to $280.00 and gave the company a “buy” rating in a research note on Thursday. Finally, HSBC set a $289.00 price target on Snowflake and gave the company a “buy” rating in a research note on Friday. One equities research analyst has rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Snowflake presently has an average rating of “Moderate Buy” and a consensus price target of $283.74.

Snowflake News Summary

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake beat expectations, reporting EPS of $0.39 versus $0.32 expected and revenue of $1.39 billion versus $1.32 billion expected, with sales up 33.5% year over year. Article Title
• Positive Sentiment: The company raised full-year product revenue guidance, signaling management sees continued demand for its cloud data and AI offerings. Article Title
• Positive Sentiment: Snowflake announced a $6 billion, five-year strategic collaboration with AWS, tied to Graviton processors and AI infrastructure, which investors view as a major growth catalyst for enterprise agentic AI adoption. Article Title
• Positive Sentiment: Analysts turned more bullish after the report, with multiple firms raising price targets, reflecting confidence that AI demand and the AWS deal could support further upside. Article Title
• Positive Sentiment: Snowflake also said it will acquire Natoma, adding governance and identity tools for AI agents, another sign it is building out its AI platform. Article Title
• Neutral Sentiment: Director Frank Slootman disclosed a pre-planned sale of shares under a 10b5-1 trading plan; while noteworthy, it does not appear tied to the operating outlook. Article Title

Insider Buying and Selling at Snowflake

In related news, CAO Emily Ho sold 2,141 shares of the stock in a transaction that occurred on Monday, March 23rd. The stock was sold at an average price of $173.97, for a total transaction of $372,469.77. Following the completion of the sale, the chief accounting officer directly owned 44,553 shares of the company’s stock, valued at approximately $7,750,885.41. This represents a 4.59% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, SVP Vivek Raghunathan sold 3,876 shares of the stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $152.80, for a total value of $592,252.80. Following the sale, the senior vice president directly owned 273,323 shares of the company’s stock, valued at approximately $41,763,754.40. The trade was a 1.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 484,313 shares of company stock worth $81,766,598 in the last quarter. Company insiders own 4.80% of the company’s stock.

Institutional Trading of Snowflake

A number of large investors have recently bought and sold shares of the business. Sunbelt Securities Inc. boosted its position in Snowflake by 1.8% during the 4th quarter. Sunbelt Securities Inc. now owns 4,793 shares of the company’s stock worth $1,051,000 after acquiring an additional 86 shares during the last quarter. Compound Planning Inc. grew its stake in shares of Snowflake by 26.9% during the 4th quarter. Compound Planning Inc. now owns 3,128 shares of the company’s stock worth $686,000 after acquiring an additional 664 shares in the last quarter. Corient Private Wealth LLC grew its stake in shares of Snowflake by 718.4% during the 4th quarter. Corient Private Wealth LLC now owns 210,312 shares of the company’s stock worth $46,134,000 after acquiring an additional 184,613 shares in the last quarter. Strive Financial Group LLC bought a new position in shares of Snowflake during the 4th quarter worth approximately $59,000. Finally, Ameriflex Group Inc. grew its stake in shares of Snowflake by 285.2% during the 4th quarter. Ameriflex Group Inc. now owns 624 shares of the company’s stock worth $137,000 after acquiring an additional 462 shares in the last quarter. 65.10% of the stock is owned by institutional investors.

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.