Snowflake (NYSE:SNOW) Trading Down 2.2% – Here’s What Happened

Snowflake Inc. (NYSE:SNOW) shares fell 2.2% during mid-day trading on Friday . The company traded as low as $218.20 and last traded at $218.7950. 4,636,555 shares traded hands during mid-day trading, an increase of 9% from the average session volume of 4,258,738 shares. The stock had previously closed at $223.79.

Key Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake’s expanded AI portfolio and deeper cloud partnerships are being highlighted as drivers of strong revenue growth and positioning the company as central to enterprise AI — a tailwind for long-term demand. SNOW’s Robust Portfolio Fuels Revenue Growth
• Positive Sentiment: Snowflake announced a deal to acquire Observe — an AI/observability platform built on Snowflake — in a transaction reported around $1B. Management says the deal accelerates AIops and observability features (helps troubleshoot AI agents and apps), which could expand product stickiness and cross-sell opportunities. The acquisition is subject to customary closing conditions; the purchase price and integration execution will be watched closely. Snowflake announces intent to buy Observe The Numbers Behind Snowflake’s $1 Billion Acquisition
• Positive Sentiment: Recent analyst support: Argus upgraded SNOW to Buy with a $300 target and Raymond James reiterated/assigned Outperform, reinforcing optimism about Snowflake’s transition from data warehouse to AI platform — analyst upgrades can boost sentiment and attract flows. (Coverage noted in market reports.)
• Neutral Sentiment: Last reported results showed a revenue beat and continued high growth (revenue up ~29% year/year and an EPS beat in early December), supporting the narrative of strong enterprise traction — but profitability remains negative and is being closely scrutinized by the market.
• Negative Sentiment: An executive (EVP) sold about $2.2M of SNOW stock, which can be interpreted by some investors as a near-term negative signal about insider confidence or a simple liquidity/portfolio move. EVP Stock Sale
• Negative Sentiment: Valuation and profitability concerns remain loud in the market — commentary argues Snowflake’s “profitability pivot” could trade off growth investments, and some analysts urge caution despite AI tailwinds. Those critiques can pressure the shares as investors weigh growth vs margin expansion. Profitability Pivot May Be A Trap
• Negative Sentiment: SNOW has shown intra-session weakness recently while the broader market gained, indicating short-term profit-taking or rotation into other AI names; watch volume and whether the stock holds near its 200-day SMA for technical support. SNOW Stock Dips While Market Gains

Analysts Set New Price Targets

Several research analysts have recently weighed in on the stock. BTIG Research reissued a “buy” rating and set a $312.00 price target on shares of Snowflake in a research report on Thursday, December 4th. Wells Fargo & Company increased their price target on shares of Snowflake from $275.00 to $290.00 and gave the company an “overweight” rating in a research note on Thursday, December 4th. Oppenheimer restated an “outperform” rating on shares of Snowflake in a report on Friday, November 21st. Piper Sandler reiterated an “overweight” rating and issued a $285.00 price objective on shares of Snowflake in a report on Thursday, December 4th. Finally, Cantor Fitzgerald raised their target price on Snowflake from $275.00 to $278.00 and gave the stock an “overweight” rating in a research note on Thursday, December 4th. Two research analysts have rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, three have issued a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, Snowflake has a consensus rating of “Moderate Buy” and a consensus price target of $275.97.

Snowflake Stock Performance

The stock has a market capitalization of $74.87 billion, a PE ratio of -54.16 and a beta of 1.14. The company has a debt-to-equity ratio of 1.07, a quick ratio of 1.37 and a current ratio of 1.37. The firm’s 50 day moving average is $239.82 and its two-hundred day moving average is $229.03.

Snowflake (NYSE:SNOW) last issued its quarterly earnings results on Wednesday, December 3rd. The company reported $0.35 EPS for the quarter, beating the consensus estimate of $0.31 by $0.04. Snowflake had a negative net margin of 30.76% and a negative return on equity of 45.91%. The company had revenue of $1.21 billion during the quarter, compared to analysts’ expectations of $1.18 billion. During the same quarter last year, the company posted $0.20 EPS. The firm’s revenue was up 28.7% compared to the same quarter last year. As a group, research analysts predict that Snowflake Inc. will post -2.36 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Frank Slootman sold 200,000 shares of Snowflake stock in a transaction that occurred on Thursday, December 18th. The shares were sold at an average price of $221.83, for a total value of $44,366,000.00. Following the completion of the transaction, the director owned 50,329 shares in the company, valued at $11,164,482.07. The trade was a 79.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Michael L. Speiser sold 50,338 shares of the business’s stock in a transaction that occurred on Friday, January 2nd. The stock was sold at an average price of $221.16, for a total transaction of $11,132,752.08. Following the transaction, the director owned 31,916 shares of the company’s stock, valued at $7,058,542.56. This trade represents a 61.20% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 418,681 shares of company stock worth $96,073,145 over the last ninety days. Company insiders own 6.80% of the company’s stock.

Institutional Investors Weigh In On Snowflake

Institutional investors have recently modified their holdings of the company. OVERSEA CHINESE BANKING Corp Ltd purchased a new stake in shares of Snowflake in the 2nd quarter valued at about $6,845,000. Kingstone Capital Partners Texas LLC acquired a new position in Snowflake during the second quarter worth approximately $3,900,134,000. Rheos Capital Works Inc. increased its position in Snowflake by 102.9% during the third quarter. Rheos Capital Works Inc. now owns 207,000 shares of the company’s stock worth $46,689,000 after buying an additional 105,000 shares during the period. Goldstream Capital Management Ltd purchased a new stake in Snowflake in the second quarter valued at approximately $3,801,000. Finally, Newbridge Financial Services Group Inc. boosted its holdings in shares of Snowflake by 81.6% in the second quarter. Newbridge Financial Services Group Inc. now owns 20,141 shares of the company’s stock valued at $4,507,000 after acquiring an additional 9,052 shares during the period. 65.10% of the stock is owned by hedge funds and other institutional investors.

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.