Snowflake (NYSE:SNOW) Given New $395.00 Price Target at Bank of America

Key Points

• Bank of America raised Snowflake’s price target to $395 from $330 and maintained a “buy” rating, implying 23.81% upside from the prior close.
• Analyst sentiment remains favorable, with 34 buy ratings, five holds and one sell; the consensus rating is “Moderate Buy” with an average target of $316.73.
• Snowflake exceeded quarterly expectations, reporting $1.39 billion in revenue and $0.39 in EPS, while revenue grew 33.5% year over year. However, insiders sold more than $509 million of stock over the past 90 days.

Snowflake (NYSE:SNOW - Get Free Report) had its target price raised by research analysts at Bank of America from $330.00 to $395.00 in a report released on Wednesday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. Bank of America's target price would indicate a potential upside of 23.81% from the company's previous close.

SNOW has been the topic of several other reports. DA Davidson upped their target price on shares of Snowflake from $250.00 to $300.00 and gave the company a "buy" rating in a research report on Thursday, May 28th. Loop Capital raised their target price on shares of Snowflake from $290.00 to $320.00 and gave the stock a "buy" rating in a research report on Wednesday, June 3rd. Mizuho set a $355.00 price objective on shares of Snowflake in a research note on Wednesday. Truist Financial upped their price target on shares of Snowflake from $275.00 to $300.00 and gave the stock a "buy" rating in a research report on Friday, June 5th. Finally, Benchmark increased their price objective on shares of Snowflake from $200.00 to $270.00 and gave the company a "buy" rating in a research note on Thursday, May 28th. Thirty-four equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $316.73.

Snowflake Price Performance

Shares of NYSE:SNOW traded down $6.28 during midday trading on Wednesday, reaching $319.05. 1,834,523 shares of the company were exchanged, compared to its average volume of 6,886,533. The stock has a market cap of $110.58 billion, a PE ratio of -90.78 and a beta of 1.33. Snowflake has a one year low of $118.30 and a one year high of $341.95. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 1.18. The business's fifty day moving average is $273.79 and its two-hundred day moving average is $207.06.

Snowflake (NYSE:SNOW - Get Free Report) last released its quarterly earnings data on Wednesday, May 27th. The company reported $0.39 EPS for the quarter, beating the consensus estimate of $0.32 by $0.07. Snowflake had a negative net margin of 23.79% and a negative return on equity of 50.50%. The business had revenue of $1.39 billion during the quarter, compared to the consensus estimate of $1.32 billion. During the same quarter in the prior year, the firm earned $0.24 EPS. The business's revenue was up 33.5% on a year-over-year basis. As a group, analysts predict that Snowflake will post -1.81 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Frank Slootman sold 10,315 shares of the company's stock in a transaction dated Tuesday, July 21st. The stock was sold at an average price of $275.10, for a total transaction of $2,837,656.50. Following the transaction, the director directly owned 28,535 shares of the company's stock, valued at $7,849,978.50. This represents a 26.55% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Christian Kleinerman sold 25,000 shares of the stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $325.00, for a total value of $8,125,000.00. Following the completion of the sale, the executive vice president owned 340,379 shares of the company's stock, valued at approximately $110,623,175. This trade represents a 6.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 2,027,351 shares of company stock worth $509,659,117. 4.80% of the stock is currently owned by company insiders.

Institutional Trading of Snowflake

Institutional investors have recently bought and sold shares of the stock. Vanguard Group Inc. grew its holdings in Snowflake by 5.1% during the fourth quarter. Vanguard Group Inc. now owns 30,095,687 shares of the company's stock worth $6,601,790,000 after acquiring an additional 1,448,094 shares during the period. Jennison Associates LLC boosted its stake in shares of Snowflake by 27.7% during the 4th quarter. Jennison Associates LLC now owns 11,603,302 shares of the company's stock worth $2,545,300,000 after acquiring an additional 2,519,413 shares in the last quarter. Nuveen LLC grew its position in shares of Snowflake by 2.3% during the 4th 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 increased its stake in shares of Snowflake by 5.5% in the 4th quarter. Geode Capital Management LLC now owns 4,809,689 shares of the company's stock valued at $1,052,195,000 after purchasing an additional 249,668 shares in the last quarter. Finally, Norges Bank purchased a new position in shares of Snowflake in the 4th quarter valued at about $974,091,000. 65.10% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Snowflake

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Analyst upgrades support the stock: Citizens JMP raised its price target to $408 from $325 and assigned a “market outperform” rating. UBS also maintained its Buy rating and lifted its target to $425, citing improving enterprise AI demand and customer adoption. Wall Street Believes Snowflake AI Demand Is Accelerating
• Positive Sentiment: AI product improvements could increase usage: Snowflake introduced dynamic model routing in Cortex AI Gateway and its AI products, allowing customers to route queries among models to reduce costs and improve efficiency. Expanded access to open models may make Snowflake’s platform more attractive for enterprise AI workloads. Snowflake Unlocks Better AI Economics
• Positive Sentiment: Pre-earnings checks are encouraging: UBS said AI is translating into real customer spending, while Citizens reported that 88% of its data points were positive. Snowflake’s fiscal second-quarter results are scheduled for September 2, making demand trends a key near-term catalyst. Snowflake AI-Driven Data Momentum
• Neutral Sentiment: Expectations are unusually high: Snowflake has risen more than 170% since April, and UBS cautioned that revenue-growth expectations heading into the earnings report are demanding. The rally creates potential for profit-taking if results or guidance fail to exceed already bullish forecasts. Snowflake Faces High but Achievable Sales Expectations
• Negative Sentiment: Security headlines add pressure: Reports said Wiz’s AI agent identified a critical flaw in a Snowflake-related GitHub repository that another security tool missed. Although the reports do not indicate a broad platform breach, the episode may raise concerns about software-development controls and cybersecurity risk. Wiz AI Agent Finds Snowflake GitHub Repository Flaw

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source