Snowflake Inc. (NYSE:SNOW) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Snowflake Inc. (NYSE:SNOW) has earned an average recommendation of “Moderate Buy” from the forty brokerages that are covering the company, MarketBeat reports. One research analyst has rated the stock with a sell recommendation, five have assigned a hold recommendation and thirty-four have assigned a buy recommendation to the company. The average 12 month price objective among analysts that have covered the stock in the last year is $414.2432.

SNOW has been the topic of several recent analyst reports. Benchmark increased their target price on Snowflake from $290.00 to $360.00 and gave the stock a “buy” rating in a research report on Tuesday, August 25th. Rosenblatt Securities upped their price objective on shares of Snowflake from $285.00 to $345.00 and gave the company a “buy” rating in a research note on Tuesday, September 1st. Weiss Ratings lowered shares of Snowflake from a “sell (d-)” rating to a “sell (e+)” rating in a report on Thursday, June 11th. Morgan Stanley raised their target price on shares of Snowflake from $300.00 to $470.00 and gave the stock an “overweight” rating in a research report on Thursday. Finally, UBS Group upped their price target on shares of Snowflake from $425.00 to $500.00 and gave the stock a “buy” rating in a research report on Thursday.

Insider Activity at Snowflake

In other Snowflake news, Director Frank Slootman sold 289,685 shares of the business’s stock in a transaction dated Monday, July 20th. The stock was sold at an average price of $274.39, for a total transaction of $79,486,667.15. Following the completion of the sale, the director owned 28,535 shares of the company’s stock, valued at approximately $7,829,718.65. The trade was a 91.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Michael Speiser sold 50,338 shares of the company’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $324.06, for a total value of $16,312,532.28. Following the sale, the director owned 26,036 shares of the company’s stock, valued at $8,437,226.16. This represents a 65.91% 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. Over the last 90 days, insiders have sold 1,131,160 shares of company stock worth $317,966,701. 4.80% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Swedbank AB raised its position in Snowflake by 6.0% in the fourth quarter. Swedbank AB now owns 1,330,415 shares of the company’s stock valued at $291,840,000 after purchasing an additional 75,419 shares during the period. North Dakota State Investment Board acquired a new stake in shares of Snowflake in the fourth quarter valued at about $3,495,000. Allstate Corp grew its stake in shares of Snowflake by 108.1% in the fourth quarter. Allstate Corp now owns 24,497 shares of the company’s stock valued at $5,374,000 after buying an additional 12,724 shares in the last quarter. TimesSquare Capital Management LLC raised its holdings in shares of Snowflake by 86.3% during the 4th quarter. TimesSquare Capital Management LLC now owns 209,653 shares of the company’s stock valued at $45,989,000 after buying an additional 97,128 shares during the period. Finally, William Blair Investment Management LLC raised its holdings in shares of Snowflake by 159.9% during the 4th quarter. William Blair Investment Management LLC now owns 1,346,998 shares of the company’s stock valued at $295,477,000 after buying an additional 828,789 shares during the period. 65.10% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Snowflake

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Strong Q2 results: Snowflake reported adjusted earnings of $0.62 per share versus the $0.45 consensus estimate, while revenue increased 35.1% year over year to $1.55 billion, ahead of expectations. Product revenue rose 37% to approximately $1.49 billion. Snowflake shares surge as AI demand powers growth and lifts outlook
• Positive Sentiment: AI is accelerating demand: Management said AI-related offerings contributed about half of the recent growth acceleration. Snowflake’s CoCo coding agent added more than 2,000 accounts, supporting the view that enterprise AI workloads can increase consumption of its data platform. Analysts discuss Snowflake’s AI-driven acceleration
• Positive Sentiment: Guidance and analyst targets moved higher: Snowflake raised fiscal 2027 product-revenue guidance to $6.07 billion from $5.84 billion. UBS, Citi, JPMorgan, TD Cowen and other firms subsequently raised targets, with several reaching $450 to $500 and maintaining bullish ratings. Snowflake’s AI momentum prompts higher price targets
• Neutral Sentiment: Profit-taking after a major rally: The stock had surged more than 20% after the earnings release and reached levels near its 52-week high. The current retreat likely reflects investors locking in gains rather than a deterioration in the latest operating results.
• Negative Sentiment: Margin and valuation risks remain: Management lowered fiscal 2027 gross-margin guidance to 74% as expanding AI workloads increase costs. Snowflake also remains unprofitable under generally accepted accounting principles, while its high valuation leaves the stock vulnerable to further profit-taking if growth expectations moderate. Snowflake’s AI growth and margin outlook
• Negative Sentiment: Executive stock sale: EVP Christian Kleinerman sold 10,000 shares for approximately $3.8 million under a pre-arranged Rule 10b5-1 plan. While scheduled sales do not necessarily signal a change in business outlook, the transaction may add to short-term investor caution after the rally.

Snowflake Stock Down 5.0%

SNOW stock opened at $338.47 on Tuesday. The company has a 50 day moving average price of $297.66 and a two-hundred day moving average price of $220.33. The company has a debt-to-equity ratio of 1.18, a quick ratio of 1.05 and a current ratio of 1.05. The stock has a market capitalization of $117.31 billion, a P/E ratio of -106.44 and a beta of 1.33. Snowflake has a one year low of $118.30 and a one year high of $384.56.

Snowflake (NYSE:SNOW) last issued its quarterly earnings results on Wednesday, September 2nd. The company reported $0.62 earnings per share for the quarter, topping analysts’ consensus estimates of $0.45 by $0.17. The company had revenue of $1.55 billion for the quarter, compared to analyst estimates of $1.48 billion. Snowflake had a negative return on equity of 47.20% and a negative net margin of 20.07%.The business’s revenue for the quarter was up 35.1% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.35 EPS. As a group, sell-side analysts expect that Snowflake will post -1.8 EPS for the current year.

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.