Citigroup Issues Positive Forecast for Snowflake (NYSE:SNOW) Stock Price

Key Points

• Citigroup raised Snowflake’s price target to $490 from $395 and maintained a “buy” rating, implying roughly 30.9% upside from the cited share price.
• Snowflake shares surged 22.4% to $374.37 after the company reported quarterly EPS of $0.62 versus the $0.45 consensus and revenue of $1.55 billion, up 35.1% year over year.
• Analyst sentiment remains broadly positive, with 34 buy ratings and an average target of $402.11, although profitability concerns persist and insiders have sold about $321.7 million of stock over the past three months.

Snowflake (NYSE:SNOW - Get Free Report) had its price target upped by analysts at Citigroup from $395.00 to $490.00 in a report issued on Thursday, Benzinga reports. The brokerage presently has a "buy" rating on the stock. Citigroup's price target would suggest a potential upside of 30.89% from the stock's current price.

SNOW has been the subject of a number of other research reports. Evercore reissued an "outperform" rating and issued a $430.00 price objective on shares of Snowflake in a research report on Thursday. Loop Capital increased their price target on Snowflake from $290.00 to $320.00 and gave the company a "buy" rating in a research note on Wednesday, June 3rd. JPMorgan Chase & Co. raised their price target on Snowflake from $245.00 to $285.00 and gave the stock an "overweight" rating in a report on Thursday, May 28th. Oppenheimer boosted their price target on Snowflake from $400.00 to $475.00 and gave the stock an "outperform" rating in a research note on Thursday. Finally, Raymond James Financial restated an "outperform" rating and set a $425.00 price objective on shares of Snowflake in a report on Thursday. Thirty-four research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $402.11.

Snowflake Stock Up 22.4%

Shares of NYSE SNOW traded up $68.53 during trading hours on Thursday, hitting $374.37. 13,264,231 shares of the stock were exchanged, compared to its average volume of 6,791,646. Snowflake has a 12 month low of $118.30 and a 12 month high of $384.56. The firm has a fifty day moving average price of $293.26 and a 200-day moving average price of $218.27. The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 1.18. The company has a market cap of $129.76 billion, a PE ratio of -105.77 and a beta of 1.33.

Snowflake (NYSE:SNOW - Get Free Report) last announced its earnings results on Wednesday, September 2nd. The company reported $0.62 earnings per share for the quarter, beating the consensus estimate of $0.45 by $0.17. The company had revenue of $1.55 billion during the quarter, compared to the consensus estimate of $1.48 billion. Snowflake had a negative net margin of 23.79% and a negative return on equity of 50.50%. Snowflake's revenue was up 35.1% compared to the same quarter last year. During the same period last year, the firm earned $0.35 earnings per share. On average, sell-side analysts expect that Snowflake will post -1.81 EPS for the current year.

Insider Buying and Selling at Snowflake

In other news, EVP Christian Kleinerman sold 25,000 shares of the business's stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $325.00, for a total value of $8,125,000.00. Following the completion of the transaction, the executive vice president owned 340,379 shares of the company's stock, valued at $110,623,175. The trade was a 6.84% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Frank Slootman sold 48,990 shares of the firm's stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $320.78, for a total value of $15,715,012.20. Following the sale, the director directly owned 28,535 shares in the company, valued at approximately $9,153,457.30. This trade represents a 63.19% 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. Over the last three months, insiders have sold 1,156,901 shares of company stock valued at $321,725,352. 4.80% of the stock is owned by insiders.

Institutional Investors Weigh In On Snowflake

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Range Advisory LLC purchased a new stake in Snowflake during the second quarter worth $210,000. Carlson Financial Inc. purchased a new position in Snowflake in the second quarter valued at $240,000. California State Teachers Retirement System raised its position in shares of Snowflake by 25,944.6% in the second quarter. California State Teachers Retirement System now owns 127,340,602 shares of the company's stock worth $32,408,183,000 after acquiring an additional 126,851,670 shares during the period. Alan B Lancz & Associates Inc. acquired a new position in shares of Snowflake in the second quarter worth about $202,000. Finally, Ameritas Advisory Services LLC boosted its stake in shares of Snowflake by 439.9% during the 2nd quarter. Ameritas Advisory Services LLC now owns 7,181 shares of the company's stock worth $1,828,000 after acquiring an additional 5,851 shares in the last quarter. Institutional investors and hedge funds own 65.10% of the company's stock.

More Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Strong quarterly beat: Snowflake reported adjusted EPS of $0.62 versus the $0.45 analyst consensus, while revenue reached $1.55 billion compared with expectations of $1.48 billion. Revenue increased 35.1% year over year. Snowflake quarterly earnings results
• Positive Sentiment: Raised outlook: Management lifted fiscal 2027 product-revenue guidance to $6.07 billion from $5.84 billion, signaling stronger-than-expected demand for Snowflake’s cloud data platform and AI offerings. Snowflake shares surge as AI demand powers growth
• Positive Sentiment: AI momentum is becoming measurable: Product revenue grew 37%, helped by adoption of AI products including the CoCo coding agent, which added more than 2,000 accounts. Management described an “AI flywheel” in which AI workloads drive consumption and customer expansion. Snowflake earnings call highlights
• Positive Sentiment: Analyst support increased: UBS raised its price target to $500 and initiated a “buy” rating. DA Davidson, Canaccord Genuity, BTIG, Citizens JMP and Monness Crespi & Hardt also raised targets, generally citing AI-driven growth and the improved outlook.
• Neutral Sentiment: Mixed Wall Street views: Guggenheim reaffirmed its “neutral” rating, highlighting that the stock’s sharp rally has increased expectations and valuation risk. Wall Street analysts on Snowflake
• Negative Sentiment: Profitability remains a concern: Snowflake lowered fiscal 2027 gross-margin guidance to 74% as expanding AI workloads raise infrastructure costs. The company also continues to report GAAP losses and substantial stock-based compensation, despite management targeting break-even next year. Snowflake’s hidden warning in Q2

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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