Snowflake (NYSE:SNOW) Shares Gap Up – Here’s What Happened

Snowflake Inc. (NYSE:SNOW)’s share price gapped up before the market opened on Tuesday . The stock had previously closed at $164.24, but opened at $172.48. Snowflake shares last traded at $173.7270, with a volume of 3,366,988 shares changing hands.

Snowflake News Roundup

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Bank of America raised its price target on Snowflake to $205 from $195 and kept a Buy rating, citing steady enterprise demand and early traction in AI-driven workflow tools ahead of earnings. Snowflake seen delivering strong quarter as Bank of America lifts price target
• Positive Sentiment: Citizens JMP reaffirmed an Outperform rating and set a $325 price target, highlighting optimism around Snowflake’s long-term growth and AI platform momentum.
• Positive Sentiment: AVEVA announced a collaboration with Snowflake to accelerate industrial AI and unify IT/OT data ecosystems, which could support Snowflake’s AI and enterprise adoption story. AVEVA Announces Collaboration with Snowflake to Accelerate Industrial AI and Unify IT/OT Data Ecosystems
• Neutral Sentiment: Investors are focused on Snowflake’s May 27 earnings report, which could be a major catalyst if results or guidance surprise to the upside.
• Neutral Sentiment: Analyst roundups and comparison pieces continue to spotlight Snowflake as a leading AI software name, but they do not add a clear immediate catalyst on their own.
• Negative Sentiment: SNOW has also been hit by profit-taking and pre-earnings caution, with traders reducing exposure before the quarterly report. Why Snowflake Stock Is Falling On Wednesday?
• Negative Sentiment: A market-wide rally also made Snowflake’s pullback more noticeable, suggesting the stock may be underperforming relative to broader tech sentiment on the day. Snowflake Inc. (SNOW) Stock Sinks As Market Gains: What You Should Know

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on SNOW shares. Truist Financial set a $125.00 price objective on shares of Snowflake in a research report on Wednesday, April 15th. Morgan Stanley lowered their price objective on shares of Snowflake from $270.00 to $245.00 and set an “overweight” rating on the stock in a research report on Thursday, February 26th. Needham & Company LLC reduced their target price on shares of Snowflake from $280.00 to $200.00 and set a “buy” rating on the stock in a report on Thursday, February 26th. TD Cowen reduced their target price on shares of Snowflake from $270.00 to $255.00 and set a “buy” rating on the stock in a report on Thursday, February 26th. Finally, UBS Group reduced their target price on shares of Snowflake from $235.00 to $210.00 and set a “buy” rating on the stock in a report on Tuesday, April 21st. One equities research analyst has rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $242.19.

Snowflake Stock Performance

The company has a current ratio of 1.30, a quick ratio of 1.30 and a debt-to-equity ratio of 1.18. The company’s fifty day moving average is $154.22 and its 200 day moving average is $194.08. The company has a market cap of $57.67 billion, a P/E ratio of -42.23 and a beta of 1.08.

Snowflake (NYSE:SNOW) last released its earnings results on Wednesday, February 25th. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.27 by $0.05. Snowflake had a negative net margin of 28.43% and a negative return on equity of 50.61%. The company had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.25 billion. During the same quarter last year, the firm earned $0.30 EPS. The firm’s quarterly revenue was up 30.1% compared to the same quarter last year. As a group, equities analysts predict that Snowflake Inc. will post -2.16 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Snowflake news, Director Frank Slootman sold 144,650 shares of the firm’s stock in a transaction on Tuesday, May 19th. The shares were sold at an average price of $175.45, for a total value of $25,378,842.50. Following the sale, the director owned 38,046 shares of the company’s stock, valued at $6,675,170.70. This trade represents a 79.18% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Michael L. Speiser sold 403 shares of the firm’s stock in a transaction on Friday, May 1st. The stock was sold at an average price of $141.59, for a total transaction of $57,060.77. Following the completion of the sale, the director directly owned 22,509 shares in the company, valued at approximately $3,187,049.31. This trade represents a 1.76% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 428,963 shares of company stock worth $71,996,216. 6.80% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Snowflake

A number of large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its holdings in Snowflake by 5.1% in the 4th quarter. Vanguard Group Inc. now owns 30,095,687 shares of the company’s stock worth $6,601,790,000 after acquiring an additional 1,448,094 shares during the last quarter. Jennison Associates LLC grew its holdings in Snowflake by 27.7% in the 4th quarter. Jennison Associates LLC now owns 11,603,302 shares of the company’s stock worth $2,545,300,000 after acquiring an additional 2,519,413 shares during the last quarter. Nuveen LLC grew its holdings in Snowflake by 2.3% in the 4th quarter. Nuveen LLC now owns 5,277,851 shares of the company’s stock worth $1,157,749,000 after acquiring an additional 116,521 shares during the last quarter. Geode Capital Management LLC grew its holdings in Snowflake by 5.5% in the 4th quarter. Geode Capital Management LLC now owns 4,809,689 shares of the company’s stock worth $1,052,195,000 after acquiring an additional 249,668 shares during the last quarter. Finally, Norges Bank bought a new stake in Snowflake in the 4th quarter worth $974,091,000. Institutional investors own 65.10% of the company’s stock.

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.