Snowflake (NYSE:SNOW) Posts Earnings Results, Beats Estimates By $0.17 EPS

Key Points

• Snowflake beat quarterly estimates: Adjusted EPS came in at $0.62, exceeding the $0.45 consensus by $0.17, while revenue reached $1.55 billion versus expectations of $1.48 billion. The company nevertheless reported a negative net margin of 23.79%.
• Shares fell after the results: Snowflake stock declined $12.49 to $307.31, despite trading near its 12-month high and maintaining broadly bullish analyst coverage with a consensus “Moderate Buy” rating and $333.08 price target.
• Insider selling remains notable: Company directors sold substantial holdings, and insiders disposed of 1.16 million shares worth approximately $321.7 million over the past 90 days. Institutional investors own about 65.1% of the stock.

Snowflake (NYSE:SNOW - Get Free Report) released its quarterly earnings results on Wednesday. The company reported $0.62 earnings per share for the quarter, topping the consensus estimate of $0.45 by $0.17, FiscalAI reports. Snowflake had a negative net margin of 23.79% and a negative return on equity of 50.50%. The firm had revenue of $1.55 billion for the quarter, compared to analysts' expectations of $1.48 billion.

Snowflake Price Performance

NYSE SNOW traded down $12.49 on Wednesday, reaching $307.31. 7,948,738 shares of the company's stock traded hands, compared to its average volume of 6,723,451. Snowflake has a 12 month low of $118.30 and a 12 month high of $341.95. The stock has a market cap of $106.51 billion, a PE ratio of -87.30 and a beta of 1.33. The stock has a 50-day simple moving average of $291.63 and a 200 day simple moving average of $217.32. The company has a debt-to-equity ratio of 1.18, a current ratio of 1.05 and a quick ratio of 1.05.

Insider Activity at Snowflake

In related news, Director Michael L. Speiser sold 50,338 shares of Snowflake stock in a transaction on Friday, June 5th. The shares were sold at an average price of $245.21, for a total value of $12,343,380.98. Following the transaction, the director owned 27,716 shares in the company, valued at $6,796,240.36. This trade represents a 64.49% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, 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 289,685 shares of the business's stock in a transaction on 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 directly owned 28,535 shares of the company's stock, valued at $7,829,718.65. This represents a 91.03% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 1,156,901 shares of company stock valued at $321,725,352. Insiders own 4.80% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Brighton Jones LLC raised its stake in shares of Snowflake by 90.0% during the fourth quarter. Brighton Jones LLC now owns 61,885 shares of the company's stock valued at $9,556,000 after acquiring an additional 29,320 shares during the last quarter. Intech Investment Management LLC grew its stake in shares of Snowflake by 24.0% in the first quarter. Intech Investment Management LLC now owns 11,202 shares of the company's stock worth $1,637,000 after purchasing an additional 2,167 shares during the last quarter. Geneos Wealth Management Inc. increased its holdings in Snowflake by 29.7% during the 1st quarter. Geneos Wealth Management Inc. now owns 319 shares of the company's stock valued at $47,000 after purchasing an additional 73 shares during the period. Flow Traders U.S. LLC purchased a new position in Snowflake during the 2nd quarter valued at about $221,000. Finally, The Manufacturers Life Insurance Company raised its position in Snowflake by 7.2% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 22,603 shares of the company's stock valued at $5,055,000 after purchasing an additional 1,521 shares during the last quarter. 65.10% of the stock is owned by hedge funds and other institutional investors.

More Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: AI and backlog momentum support the bull case. Snowflake’s remaining performance obligations (RPO) grew 38% last quarter, while analysts view Snowflake Cortex, AI agents and related data tools as potential growth accelerators. Investors will look for evidence that AI adoption is translating into durable consumption and revenue growth. The AI Engine That Re-Accelerated Snowflake
• Positive Sentiment: Analyst support remains strong. Rosenblatt raised its price target to $345 and Cantor Fitzgerald lifted its target to $405, with Cantor anticipating product revenue above company guidance. The consensus view remains broadly bullish ahead of the report. Cantor Lifts Snowflake Target to $405
• Neutral Sentiment: A major post-earnings move is anticipated. Options markets imply an approximately 10% potential move, and unusually heavy call-option activity at strikes above the current share price suggests bullish speculation or covered-call selling. This positioning could amplify volatility in either direction. Snowflake Q2 Earnings Could Trigger 10% Stock Swing
• Negative Sentiment: Expectations may be difficult to exceed. Analysts reportedly expect quarterly earnings of about 45 cents per share, but commentary suggests 35% revenue growth may not be sufficient to support another rally. Investors are focused on stronger-than-expected revenue, forward guidance, RPO growth and the durability of AI demand.
• Negative Sentiment: Valuation and profitability concerns remain. Snowflake trades at an elevated valuation despite GAAP losses, while high stock-based compensation and dilution contribute to substantial short interest. A broader software selloff is also weighing on high-growth names ahead of the report. Snowflake Is Up Nearly 50% in 2026

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on SNOW shares. Deutsche Bank Aktiengesellschaft reissued a "buy" rating on shares of Snowflake in a research note on Thursday, August 20th. Cantor Fitzgerald lifted their price target on Snowflake from $282.00 to $405.00 and gave the company an "overweight" rating in a research report on Monday. HSBC set a $289.00 price objective on Snowflake and gave the stock a "buy" rating in a report on Friday, May 29th. Oppenheimer upped their price objective on shares of Snowflake from $295.00 to $400.00 and gave the stock an "outperform" rating in a research report on Wednesday, August 12th. Finally, JPMorgan Chase & Co. raised their target price on shares of Snowflake from $245.00 to $285.00 and gave the company an "overweight" rating in a research note on Thursday, May 28th. Thirty-four investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $333.08.

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.

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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