Snowflake (NYSE:SNOW) Upgraded at Phillip Securities

Phillip Securities upgraded shares of Snowflake (NYSE:SNOW) to a strong-buy rating in a research note released on Sunday,Zacks reports.

A number of other research analysts have also commented on the company. Piper Sandler reissued an “overweight” rating and set a $450.00 price objective (up from $320.00) on shares of Snowflake in a report on Thursday, September 3rd. Needham & Company LLC boosted their target price on Snowflake from $330.00 to $450.00 and gave the stock a “buy” rating in a report on Thursday, September 3rd. KeyCorp upped their target price on Snowflake from $285.00 to $325.00 and gave the stock an “overweight” rating in a research report on Thursday, July 16th. Deutsche Bank Aktiengesellschaft set a $400.00 price target on Snowflake in a report on Thursday, September 3rd. Finally, Oppenheimer lifted their price target on shares of Snowflake from $400.00 to $475.00 and gave the company an “outperform” rating in a research report on Thursday, September 3rd. One equities research analyst has rated the stock with a Strong Buy rating, thirty-four have assigned a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $414.24.

Snowflake Stock Up 0.8%

SNOW stock opened at $330.88 on Friday. The firm has a market cap of $116.73 billion, a PE ratio of -104.05 and a beta of 1.33. Snowflake has a 1 year low of $118.30 and a 1 year high of $384.56. The company has a fifty day simple moving average of $320.72 and a 200 day simple moving average of $239.76. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 1.06.

Snowflake (NYSE:SNOW) last posted its earnings results on Wednesday, September 2nd. The company reported $0.62 EPS for the quarter, topping the consensus estimate of $0.45 by $0.17. Snowflake had a negative net margin of 20.07% and a negative return on equity of 46.32%. The firm had revenue of $1.55 billion for the quarter, compared to the consensus estimate of $1.48 billion. During the same period in the prior year, the business posted $0.35 earnings per share. The business’s quarterly revenue was up 35.1% on a year-over-year basis. Sell-side analysts anticipate that Snowflake will post -1.46 EPS for the current fiscal year.

Insiders Place Their Bets

In other Snowflake news, Director Michael L. Speiser sold 50,338 shares of the firm’s stock in a transaction that occurred on 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 trade represents a 65.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Frank Slootman sold 289,685 shares of Snowflake stock in a transaction that occurred on Monday, July 20th. The stock was sold at an average price of $274.39, for a total value of $79,486,667.15. Following the completion of the transaction, the director directly owned 28,535 shares in the company, valued at approximately $7,829,718.65. This represents a 91.03% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,232,116 shares of company stock worth $386,911,212 over the last quarter. 4.80% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Snowflake

Several hedge funds and other institutional investors have recently modified their holdings of SNOW. QRG Capital Management Inc. increased its position in Snowflake by 67.9% during the second quarter. QRG Capital Management Inc. now owns 82,137 shares of the company’s stock worth $20,904,000 after acquiring an additional 33,218 shares during the period. Silicon Valley Capital Partners boosted its holdings in Snowflake by 15.2% in the 2nd quarter. Silicon Valley Capital Partners now owns 62,087 shares of the company’s stock valued at $15,801,000 after purchasing an additional 8,208 shares during the period. Wellington Altus USA Inc. bought a new stake in Snowflake in the 2nd quarter valued at $102,000. Anchor Investment Management LLC acquired a new stake in Snowflake in the 2nd quarter worth $76,000. Finally, Sequoia Financial Advisors LLC grew its position in Snowflake by 14.2% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 39,598 shares of the company’s stock worth $10,078,000 after purchasing an additional 4,927 shares during the last quarter. Institutional investors and hedge funds own 65.10% of the company’s stock.

Snowflake News Roundup

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake priced $2.0 billion of 0.00% convertible senior notes due 2029 and $1.75 billion due 2031, meaning it raises substantial capital without cash interest expense. Management can use the proceeds to refinance obligations, fund growth and pursue opportunities in the competitive AI data-cloud market. The company also announced transactions intended to reduce potential dilution. Snowflake Prices Upsized Private Placement of $3.75 Billion of 0.00% Convertible Senior Notes
• Positive Sentiment: Phillip Securities upgraded SNOW to “strong buy,” adding a supportive analyst signal as investors continue to focus on Snowflake’s AI Data Cloud growth prospects. Snowflake Stock Moved Up to Strong-Buy by Phillip Securities
• Neutral Sentiment: Snowflake plans to showcase customer adoption moving from AI experimentation to production at AI Everything Abu Dhabi. The event may reinforce the company’s AI positioning, but it does not provide new financial guidance or evidence of near-term revenue acceleration. Snowflake to Showcase Enterprise AI Adoption
• Negative Sentiment: The convertible securities can be exchanged for Snowflake shares if the stock reaches specified levels, creating potential dilution for existing shareholders. That concern initially pressured the stock, particularly because the financing followed a strong multiyear rally and leaves valuation dependent on continued rapid growth. Snowflake Prices $3.75 Billion Convertible Debt Offering
• Negative Sentiment: Investor searches and commentary are highlighting valuation risk: Snowflake’s stock has significantly outperformed over several years, while the company remains unprofitable on a GAAP basis. As a result, the shares remain sensitive to dilution concerns and any slowdown in AI-related demand. Is Snowflake Too Expensive for Its Sales?

About Snowflake

Snowflake Inc (NYSE: SNOW) provides a cloud-based data platform that enables organizations to store, process, analyze and share data. Its platform is designed to support data warehousing, data lakes, data engineering, data science, application development and artificial intelligence workloads in a single environment.

Snowflake’s services include cloud data storage and computing, data sharing and collaboration tools, governance and security capabilities, and access to third-party data through the Snowflake Marketplace.