IFP Advisors Inc Boosts Stake in Snowflake Inc. $SNOW

Key Points

• IFP Advisors increased its Snowflake stake by 31.1% in the second quarter, bringing its holdings to 19,978 shares valued at approximately $5.1 million. Institutional investors collectively own 65.1% of Snowflake.
• Snowflake reported quarterly revenue of $1.55 billion and EPS of $0.62, beating analyst expectations, while revenue grew 35.1% year over year. Shares opened at $331.41, near their 52-week high, amid positive momentum from AI-related demand.
• Analysts maintain a generally bullish outlook, with a “Moderate Buy” consensus and an average price target of $414.24, but valuation and insider selling remain risks; the company trades at a negative P/E ratio and insiders sold more than $352 million in stock over the past quarter.

IFP Advisors Inc lifted its position in Snowflake Inc. (NYSE:SNOW - Free Report) by 31.1% in the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 19,978 shares of the company's stock after purchasing an additional 4,736 shares during the quarter. IFP Advisors Inc's holdings in Snowflake were worth $5,084,000 at the end of the most recent quarter.

A number of other hedge funds have also recently added to or reduced their stakes in SNOW. California State Teachers Retirement System lifted its stake in 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 valued at $32,408,183,000 after buying an additional 126,851,670 shares during the last quarter. Nuveen LLC boosted its holdings in shares of Snowflake by 2.3% in the fourth quarter. Nuveen LLC now owns 5,277,851 shares of the company's stock valued at $1,157,749,000 after acquiring an additional 116,521 shares during the period. Geode Capital Management LLC grew its position in shares of Snowflake by 5.5% during the fourth 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. Norges Bank purchased a new position in shares of Snowflake during the fourth quarter worth approximately $974,091,000. Finally, Janus Henderson Group PLC increased its holdings in shares of Snowflake by 22.2% in the 1st quarter. Janus Henderson Group PLC now owns 2,997,385 shares of the company's stock valued at $452,014,000 after acquiring an additional 544,960 shares during the period. Hedge funds and other institutional investors own 65.10% of the company's stock.

Snowflake Price Performance

Shares of NYSE SNOW opened at $331.41 on Thursday. The stock has a fifty day moving average price of $302.45 and a 200 day moving average price of $223.92. Snowflake Inc. has a 1-year low of $118.30 and a 1-year high of $384.56. The company has a debt-to-equity ratio of 1.06, a current ratio of 0.94 and a quick ratio of 1.05. The company has a market cap of $114.87 billion, a PE ratio of -104.22 and a beta of 1.33.

Snowflake (NYSE:SNOW - Get Free Report) last announced its quarterly earnings data on Wednesday, September 2nd. The company reported $0.62 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.17. The company had revenue of $1.55 billion for the quarter, compared to analysts' expectations of $1.48 billion. Snowflake had a negative net margin of 20.07% and a negative return on equity of 46.32%. Snowflake's revenue was up 35.1% compared to the same quarter last year. During the same period in the previous year, the company posted $0.35 EPS. Sell-side analysts forecast that Snowflake Inc. will post -1.62 EPS for the current year.

Snowflake News Roundup

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Accelerating growth and strong guidance: Snowflake reported 37% year-over-year product-revenue growth, a 126% net revenue retention rate, and quarterly revenue and adjusted EPS above consensus expectations. The company also raised guidance, reinforcing expectations for continued growth. Snowflake: Blowout Guidance, Growth Acceleration, High Margin Play On AI
• Positive Sentiment: AI is becoming a growth catalyst: Management says customers are increasingly paying for additional AI services, creating a potential “flywheel” of greater data usage and consumption. Demand for Cortex AI and other high-margin offerings is supporting the bullish case for Snowflake’s cloud analytics expansion. Snowflake CEO: AI is unleashing a flywheel effect on our business
• Positive Sentiment: Investor focus remains favorable: Commentary on the AI trade highlighted Snowflake’s accelerating cloud consumption and software economics, while contrasting its performance with pullbacks in some AI hardware names. Snowflake’s enterprise adoption also strengthens its competitive positioning against Dell Technologies and Oracle. What Investors Need To Understand About Broadcom, Credo and Snowflake Earnings
• Neutral Sentiment: Snowflake executives continued outlining how software companies can adapt to the AI era at recent media appearances and the Goldman Sachs Communacopia + Technology Conference. These discussions provided strategic context but introduced no major new financial disclosure. Snowflake Communacopia Conference Transcript
• Negative Sentiment: Valuation risk is significant: Despite improving growth, Snowflake’s shares trade at a very demanding multiple—reported at roughly 152 times expected fiscal 2027 earnings—leaving the stock vulnerable if growth or AI monetization slows. Snowflake's Growth Is Accelerating. So Is the Valuation Risk
• Negative Sentiment: Director sale adds a signaling concern: Director Michael Speiser sold approximately 50,741 shares for about $18.0 million, reducing his reported holdings substantially. The transactions occurred under a pre-arranged Rule 10b5-1 plan, which makes them less indicative of a discretionary bearish view, but the size may still weigh on sentiment. SEC insider transaction filing

Insider Activity

In related news, Director Michael L. Speiser sold 403 shares of the stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $353.87, for a total transaction of $142,609.61. Following the completion of the transaction, the director directly owned 22,170 shares of the company's stock, valued at $7,845,297.90. This represents a 1.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. 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 shares were sold at an average price of $320.78, for a total transaction of $15,715,012.20. Following the completion of the sale, the director owned 28,535 shares of the company's stock, valued at approximately $9,153,457.30. The trade was a 63.19% 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. Insiders have sold a total of 1,229,172 shares of company stock worth $352,770,188 over the last quarter. Insiders own 4.80% of the company's stock.

Wall Street Analyst Weigh In

Several analysts recently commented on SNOW shares. Monness Crespi & Hardt upped their price target on shares of Snowflake from $380.00 to $450.00 and gave the company a "buy" rating in a research report on Thursday, September 3rd. Royal Bank Of Canada lifted their price objective on shares of Snowflake from $372.00 to $440.00 and gave the company an "outperform" rating in a research note on Thursday, September 3rd. Scotiabank restated a "sector outperform" rating and issued a $440.00 price objective (up from $320.00) on shares of Snowflake in a research note on Thursday, September 3rd. Rosenblatt Securities upped their target price on shares of Snowflake from $285.00 to $345.00 and gave the company a "buy" rating in a report on Tuesday, September 1st. Finally, Bank of America increased their target price on shares of Snowflake from $330.00 to $395.00 and gave the stock a "buy" rating in a research note on Wednesday, August 19th. Thirty-four equities research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Snowflake currently has a consensus rating of "Moderate Buy" and an average price target of $414.24.

Snowflake Company Profile

Snowflake Inc NYSE: SNOW is a cloud-based data platform company that helps organizations store, process, analyze and share data. Its platform is designed to support data warehousing, data lakes, data engineering, data science, application development and business intelligence across public cloud environments.

Snowflake's Data Cloud enables customers to consolidate and access structured, semi-structured and unstructured data while supporting secure data sharing and collaboration. Its offerings include Snowflake Cortex, which provides artificial intelligence and machine-learning capabilities, as well as tools for developing data applications and using data from Snowflake's marketplace and partner ecosystem.

Founded in 2012, Snowflake serves businesses, government organizations and other institutions globally through cloud infrastructure provided by major public-cloud platforms.

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