Atreides Management LP Cuts Position in Snowflake Inc. $SNOW

Key Points

• Atreides Management LP trimmed its Snowflake position by 10.7% (sold 56,224 shares) to 469,545 shares (~$105.9M), even as other large institutions (Norges Bank, Winslow, American Century, Sei, Jennison) added sizable stakes, leaving institutional ownership at about 65.1%.
• Snowflake beat Q4 estimates (EPS $0.32 vs $0.27; revenue $1.28B, up 30.1% YoY) but remains unprofitable (negative net margin ~28%), and the stock trades near $178.60 versus a consensus analyst target of $248.58 and a "Moderate Buy" rating.
• Near-term risks include heavy insider/director selling (713,732 shares worth ~$144.5M last quarter) and multiple securities lawsuits, which could weigh on the stock despite product momentum and strong AI positioning.

Atreides Management LP decreased its holdings in Snowflake Inc. (NYSE:SNOW - Free Report) by 10.7% in the third quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 469,545 shares of the company's stock after selling 56,224 shares during the quarter. Snowflake accounts for about 2.1% of Atreides Management LP's holdings, making the stock its 13th largest holding. Atreides Management LP owned 0.14% of Snowflake worth $105,906,000 as of its most recent SEC filing.

Other institutional investors also recently bought and sold shares of the company. Norges Bank purchased a new stake in shares of Snowflake in the second quarter valued at approximately $944,895,000. Winslow Capital Management LLC purchased a new position in shares of Snowflake during the 2nd quarter valued at approximately $725,667,000. American Century Companies Inc. lifted its position in shares of Snowflake by 233.3% during the 3rd quarter. American Century Companies Inc. now owns 2,104,925 shares of the company's stock valued at $474,766,000 after buying an additional 1,473,354 shares in the last quarter. Sei Investments Co. grew its stake in Snowflake by 272.4% in the 2nd quarter. Sei Investments Co. now owns 1,593,329 shares of the company's stock valued at $356,543,000 after acquiring an additional 1,165,515 shares during the period. Finally, Jennison Associates LLC grew its stake in Snowflake by 13.5% in the 3rd quarter. Jennison Associates LLC now owns 9,083,889 shares of the company's stock valued at $2,048,871,000 after acquiring an additional 1,083,222 shares during the period. 65.10% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the stock. Jefferies Financial Group set a $300.00 price objective on shares of Snowflake in a research report on Monday, November 24th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Snowflake in a research report on Wednesday, January 21st. Citigroup cut their target price on shares of Snowflake from $300.00 to $270.00 and set a "buy" rating for the company in a research note on Wednesday, February 18th. Barclays reduced their price target on shares of Snowflake from $204.00 to $192.00 and set an "equal weight" rating for the company in a research report on Thursday, February 26th. Finally, Canaccord Genuity Group lowered their price objective on Snowflake from $270.00 to $240.00 and set a "buy" rating on the stock in a report on Thursday, February 26th. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, five have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $248.58.

Snowflake Price Performance

Snowflake stock opened at $178.60 on Friday. The company has a fifty day simple moving average of $189.67 and a 200-day simple moving average of $221.37. The firm has a market capitalization of $61.12 billion, a price-to-earnings ratio of -45.22 and a beta of 1.16. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.07. Snowflake Inc. has a 52-week low of $120.10 and a 52-week high of $280.67.

Snowflake (NYSE:SNOW - Get Free Report) last posted its quarterly earnings results on Wednesday, February 25th. The company reported $0.32 earnings per share for the quarter, topping the consensus estimate of $0.27 by $0.05. The firm had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.25 billion. Snowflake had a negative net margin of 28.43% and a negative return on equity of 48.50%. The company's revenue for the quarter was up 30.1% on a year-over-year basis. During the same period last year, the firm posted $0.30 earnings per share. On average, equities analysts anticipate that Snowflake Inc. will post -2.36 EPS for the current fiscal year.

Insider Activity at Snowflake

In other news, EVP Christian Kleinerman sold 550 shares of the stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $182.44, for a total value of $100,342.00. Following the completion of the sale, the executive vice president owned 501,835 shares of the company's stock, valued at $91,554,777.40. This represents a 0.11% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director Frank Slootman sold 2,042 shares of the firm's stock in a transaction that occurred on Tuesday, March 10th. The stock was sold at an average price of $182.44, for a total transaction of $372,542.48. Following the sale, the director owned 47,558 shares of the company's stock, valued at $8,676,481.52. This represents a 4.12% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 713,732 shares of company stock valued at $144,510,676. 6.80% of the stock is owned by company insiders.

Key Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake reported robust product momentum: product revenues rose to $1.22B in Q4 and management is guiding Q1 FY27 revenue growth of ~27% YoY — a clear near‑term revenue catalyst supporting upside expectations. Read More.
• Positive Sentiment: Analyst bullishness — Canaccord and other firms continue to show conviction (consensus target ~ $240 per the note), keeping a majority of covering analysts constructive and implying material upside versus current levels. Read More.
• Positive Sentiment: AI and market positioning — Multiple pieces (company research, Forbes/industry coverage, and a study highlighting India as an early GenAI adopter) reinforce Snowflake’s role as the "AI data cloud" provider, supporting longer‑term TAM expansion and customer adoption. Read More.
• Neutral Sentiment: Market interest and background analysis — Zacks and other outlets note Snowflake is a trending stock and provide refreshers on financials and use cases; useful context for traders but not immediate catalysts. Read More.
• Neutral Sentiment: Valuation debate — Analysts and commentators (e.g., Seeking Alpha) acknowledge strong growth but flag that valuation is not cheap, suggesting upside depends on execution and margin improvement. Read More.
• Negative Sentiment: Litigation wave — Multiple law firms have filed or announced notices related to a securities class period and April 27 lead‑plaintiff deadlines; proliferation of claims raises legal and financial overhang risk. Read More.
• Negative Sentiment: Insider/director selling — Recent Form 4 disclosures show sales by senior management and a director (including Frank Slootman and EVP Christian Kleinerman); media linked these trades to near‑term selling pressure. Read More.

Snowflake 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.