Snowflake (NYSE:SNOW) Shares Down 3.3% - Here's What Happened

Key Points

• Shares of Snowflake Inc. (NYSE:SNOW) fell 3.3% amid trading, closing at $242.52 after reaching a low of $241.12, with trading volume down 6% from its average.
• Despite the stock's decline, several analysts have recently upgraded their price targets, with estimates ranging from $250.00 to $285.00 and maintaining a consensus rating of "Moderate Buy".
• The company reported strong quarterly earnings with $1.14 billion in revenue, beating estimates and showing a 31.8% year-over-year increase, although it suffered a negative return on equity.

Shares of Snowflake Inc. (NYSE:SNOW - Get Free Report) were down 3.3% during mid-day trading on Friday . The stock traded as low as $241.12 and last traded at $242.52. Approximately 5,017,567 shares traded hands during mid-day trading, a decline of 6% from the average daily volume of 5,315,377 shares. The stock had previously closed at $250.67.

Analyst Upgrades and Downgrades

SNOW has been the topic of several recent analyst reports. Stifel Nicolaus boosted their target price on shares of Snowflake from $220.00 to $260.00 and gave the company a "buy" rating in a report on Thursday, August 28th. Rosenblatt Securities upped their target price on shares of Snowflake from $210.00 to $250.00 and gave the company a "buy" rating in a research report on Thursday, August 28th. Jefferies Financial Group increased their price target on shares of Snowflake from $250.00 to $270.00 and gave the stock a "buy" rating in a research report on Thursday, August 28th. Piper Sandler increased their target price on shares of Snowflake from $215.00 to $285.00 and gave the stock an "overweight" rating in a report on Thursday, August 28th. Finally, Wells Fargo & Company initiated coverage on shares of Snowflake in a report on Tuesday, September 30th. They set an "overweight" rating and a $275.00 target price on the stock. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, three have issued a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $256.18.

Snowflake Stock Down 3.3%

The company has a debt-to-equity ratio of 0.96, a current ratio of 1.48 and a quick ratio of 1.48. The firm's 50-day simple moving average is $217.89 and its two-hundred day simple moving average is $197.99. The company has a market capitalization of $82.17 billion, a price-to-earnings ratio of -58.44 and a beta of 1.21.

Snowflake (NYSE:SNOW - Get Free Report) last released its quarterly earnings results on Wednesday, August 27th. The company reported $0.35 earnings per share for the quarter, topping analysts' consensus estimates of $0.27 by $0.08. The business had revenue of $1.14 billion for the quarter, compared to analysts' expectations of $1.09 billion. Snowflake had a negative return on equity of 42.98% and a negative net margin of 33.53%.The company's revenue was up 31.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.18 EPS. Sell-side analysts predict that Snowflake Inc. will post -2.36 EPS for the current fiscal year.

Insiders Place Their Bets

In other Snowflake news, SVP Vivek Raghunathan sold 11,801 shares of the stock in a transaction on Tuesday, September 30th. The stock was sold at an average price of $223.22, for a total transaction of $2,634,219.22. Following the sale, the senior vice president owned 241,854 shares in the company, valued at approximately $53,986,649.88. This represents a 4.65% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Frank Slootman sold 7,551 shares of the stock in a transaction on Tuesday, September 16th. The shares were sold at an average price of $221.24, for a total value of $1,670,583.24. Following the sale, the director directly owned 153,226 shares in the company, valued at approximately $33,899,720.24. The trade was a 4.70% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 1,177,434 shares of company stock valued at $269,030,661. Corporate insiders own 6.80% of the company's stock.

Institutional Trading of Snowflake

Hedge funds have recently added to or reduced their stakes in the business. Fluent Financial LLC acquired a new stake in shares of Snowflake in the third quarter worth approximately $5,629,000. Sound Income Strategies LLC raised its holdings in shares of Snowflake by 1,287.5% during the third quarter. Sound Income Strategies LLC now owns 444 shares of the company's stock worth $100,000 after purchasing an additional 412 shares during the period. Foster Victor Wealth Advisors LLC acquired a new stake in shares of Snowflake during the third quarter worth $205,000. Fairvoy Private Wealth LLC raised its holdings in shares of Snowflake by 2.9% during the third quarter. Fairvoy Private Wealth LLC now owns 4,780 shares of the company's stock worth $1,078,000 after purchasing an additional 134 shares during the period. Finally, Focus Financial Network Inc. acquired a new stake in shares of Snowflake during the third quarter worth $332,000. 65.10% of the stock is owned by institutional investors and hedge funds.

Snowflake Company Profile

Snowflake Inc provides a cloud-based data platform for various organizations in the United States and internationally. Its platform offers Data Cloud, which enables customers to consolidate data into a single source of truth to drive meaningful business insights, build data-driven applications, and share data and data products, as well as applies artificial intelligence (AI) for solving business problems.

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