Rheos Capital Works Inc. Sells 76,000 Shares of Snowflake Inc. $SNOW

Key Points

• Rheos Capital Works sold 76,000 shares of Snowflake, cutting its position by 36.7% to 131,000 shares valued at $28.74 million, making SNOW its 18th largest holding (about 1.8% of the firm's portfolio).
• Heavy insider and institutional activity: insiders have sold 594,313 shares (~$108.8M) in the last three months (insiders now own 6.8%), while institutions hold roughly 65.1% of Snowflake and large investors like Vanguard added to positions.
• Headline and analyst pressure are rising — multiple securities class actions allege undisclosed headwinds, several analysts have lowered target prices, though the consensus rating remains a "Moderate Buy" with an average target near $249.62.

Rheos Capital Works Inc. lowered its position in Snowflake Inc. (NYSE:SNOW - Free Report) by 36.7% in the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 131,000 shares of the company's stock after selling 76,000 shares during the quarter. Snowflake accounts for about 1.8% of Rheos Capital Works Inc.'s holdings, making the stock its 18th largest position. Rheos Capital Works Inc.'s holdings in Snowflake were worth $28,736,000 at the end of the most recent reporting period.

Other hedge funds also recently modified their holdings of the company. Sumitomo Mitsui Trust Group Inc. lifted its position in shares of Snowflake by 1.1% in the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 732,092 shares of the company's stock worth $165,123,000 after acquiring an additional 8,002 shares during the period. Federated Hermes Inc. lifted its position in shares of Snowflake by 13.5% in the 3rd quarter. Federated Hermes Inc. now owns 408,037 shares of the company's stock worth $92,047,000 after acquiring an additional 48,411 shares during the period. William Blair Investment Management LLC bought a new position in shares of Snowflake during the 3rd quarter worth approximately $116,882,000. Penserra Capital Management LLC lifted its position in shares of Snowflake by 32.8% during the 3rd quarter. Penserra Capital Management LLC now owns 153,358 shares of the company's stock worth $34,586,000 after buying an additional 37,911 shares during the period. Finally, Vanguard Group Inc. lifted its position in shares of Snowflake by 3.1% during the 3rd quarter. Vanguard Group Inc. now owns 28,647,593 shares of the company's stock worth $6,461,465,000 after buying an additional 857,832 shares during the period. Institutional investors own 65.10% of the company's stock.

Key Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Sundial announced it will join Snowflake and industry partners to support data+AI interoperability via the Open Semantic Interchange, a partnership that reinforces Snowflake’s positioning in enterprise AI ecosystems. Sundial Joins Snowflake
• Positive Sentiment: CEO Sridhar Ramaswamy discussed Project SnowWork and Snowflake’s roadmap for outcome-driven AI agents — messaging that highlights ongoing product innovation and enterprise traction. CEO on AI Risk & Product Innovation
• Neutral Sentiment: Analyst/press pieces note expanding AI workloads and partnerships that boost long-term opportunity, but they also flag near-term execution and valuation pressures. Useful context for investors evaluating tradeoffs. AI Workload Expansion
• Neutral Sentiment: Market commentary asking whether recent weakness makes SNOW worth reconsidering — these pieces review valuation and recent share-price moves rather than reporting new company fundamentals. Valuation/Recap Article
• Negative Sentiment: Director Michael L. Speiser sold 50,338 shares (and an additional 403 shares) on April 6 under a pre-arranged Rule 10b5-1 plan — a sizable, disclosed reduction in insider ownership that can amplify negative market reaction even if planned. SEC filing: Insider Sale SEC Filing
• Negative Sentiment: Multiple securities class actions and investor notices were filed/published alleging Snowflake failed to disclose material headwinds (claims tied to product changes and consumption impacts); several law firms are soliciting lead plaintiffs ahead of April 27 deadlines — heightened litigation risk and related headline risk. Examples: Levi & Korsinsky filing review and Schall Law Firm notice. Levi & Korsinsky Schall Law Firm

Wall Street Analyst Weigh In

SNOW has been the subject of several analyst reports. Truist Financial cut their target price on Snowflake from $270.00 to $240.00 and set a "buy" rating for the company in a research report on Thursday, February 26th. Mizuho cut their target price on Snowflake from $285.00 to $220.00 and set an "outperform" rating for the company in a research report on Tuesday, February 17th. Argus upgraded Snowflake from a "hold" rating to a "buy" rating and set a $300.00 target price for the company in a research report on Thursday, January 8th. Royal Bank Of Canada set a $245.00 target price on Snowflake in a research report on Wednesday, February 11th. Finally, Piper Sandler cut their target price on Snowflake from $285.00 to $230.00 and set an "overweight" rating for the company in a research report on Thursday, February 26th. One research analyst has rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, five have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $249.62.

Insider Activity

In related news, CAO Emily Ho sold 2,141 shares of the firm's stock in a transaction on Monday, March 23rd. The stock was sold at an average price of $173.97, for a total transaction of $372,469.77. Following the completion of the sale, the chief accounting officer directly owned 44,553 shares of the company's stock, valued at $7,750,885.41. This trade represents a 4.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Michael L. Speiser sold 403 shares of Snowflake stock in a transaction on Monday, April 6th. The shares were sold at an average price of $148.21, for a total value of $59,728.63. Following the completion of the sale, the director directly owned 22,912 shares of the company's stock, valued at $3,395,787.52. This trade represents a 1.73% 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 sold 594,313 shares of company stock worth $108,831,780. 6.80% of the stock is currently owned by insiders.

Snowflake Trading Down 1.8%

SNOW stock opened at $149.15 on Tuesday. The business has a fifty day moving average price of $172.51 and a 200 day moving average price of $214.14. Snowflake Inc. has a fifty-two week low of $120.10 and a fifty-two week high of $280.67. The stock has a market capitalization of $51.56 billion, a price-to-earnings ratio of -37.76 and a beta of 1.23. The company has a debt-to-equity ratio of 1.18, a current ratio of 1.30 and a quick ratio of 1.30.

Snowflake (NYSE:SNOW - Get Free Report) last released its quarterly earnings results on Wednesday, February 25th. The company reported $0.32 earnings per share for the quarter, beating analysts' consensus estimates of $0.27 by $0.05. Snowflake had a negative return on equity of 50.61% and a negative net margin of 28.43%.The firm had revenue of $1.28 billion during the quarter, compared to analysts' expectations of $1.25 billion. During the same period last year, the firm posted $0.30 EPS. The business's revenue was up 30.1% on a year-over-year basis. Analysts expect that Snowflake Inc. will post -2.36 EPS for the current fiscal year.

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.

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