Snowflake (NYSE:SNOW) Stock Rating Upgraded by Bank of America

Key Points

• Bank of America has upgraded Snowflake's stock rating from "neutral" to "buy" with a new price target of $240, indicating a potential upside of 24.65%.
• Snowflake reported earnings of $0.24 per share, surpassing analysts' expectations, and had a revenue growth of 25.8% year-over-year.
• Insider transactions revealed significant share sales, with the Director and CFO reducing their ownership by over 70% and 57% respectively.

Snowflake (NYSE:SNOW - Get Free Report) was upgraded by investment analysts at Bank of America from a "neutral" rating to a "buy" rating in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a $240.00 price target on the stock, up from their prior price target of $220.00. Bank of America's price objective would indicate a potential upside of 24.65% from the company's previous close.

A number of other research firms also recently commented on SNOW. DA Davidson reaffirmed a "buy" rating and set a $250.00 price objective on shares of Snowflake in a report on Wednesday, June 4th. Loop Capital raised their price objective on shares of Snowflake from $220.00 to $245.00 and gave the stock a "buy" rating in a report on Wednesday, June 4th. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Snowflake in a report on Thursday, May 22nd. Citigroup reissued an "outperform" rating on shares of Snowflake in a report on Thursday, May 22nd. Finally, Barclays reissued an "overweight" rating and set a $219.00 price target (up from $203.00) on shares of Snowflake in a report on Thursday, May 22nd. Three research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $226.86.

Snowflake Price Performance

NYSE:SNOW opened at $192.5340 on Wednesday. The company has a 50-day moving average of $211.94 and a 200-day moving average of $184.73. The company has a market capitalization of $64.28 billion, a price-to-earnings ratio of -45.73 and a beta of 1.22. Snowflake has a 52 week low of $107.13 and a 52 week high of $229.27. The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.58 and a current ratio of 1.58.

Snowflake (NYSE:SNOW - Get Free Report) last released its quarterly earnings data on Wednesday, May 21st. The company reported $0.24 EPS for the quarter, topping analysts' consensus estimates of $0.22 by $0.02. The company had revenue of $1.04 billion during the quarter, compared to the consensus estimate of $1.01 billion. Snowflake had a negative net margin of 36.43% and a negative return on equity of 37.75%. The firm's revenue for the quarter was up 25.8% compared to the same quarter last year. During the same period last year, the firm earned $0.14 EPS. As a group, equities research analysts anticipate that Snowflake will post -2.36 earnings per share for the current fiscal year.

Insider Transactions at Snowflake

In other Snowflake news, Director Frank Slootman sold 424,852 shares of the business's stock in a transaction dated Thursday, June 26th. The shares were sold at an average price of $219.35, for a total value of $93,191,286.20. Following the completion of the transaction, the director directly owned 165,507 shares of the company's stock, valued at approximately $36,303,960.45. The trade was a 71.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CFO Michael Scarpelli sold 400,000 shares of the business's stock in a transaction dated Tuesday, May 27th. The stock was sold at an average price of $205.36, for a total transaction of $82,144,000.00. Following the completion of the transaction, the chief financial officer directly owned 292,610 shares of the company's stock, valued at approximately $60,090,389.60. This represents a 57.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 3,014,642 shares of company stock valued at $657,325,186. Insiders own 6.80% of the company's stock.

Institutional Investors Weigh In On Snowflake

Large investors have recently bought and sold shares of the company. Capital Advantage Inc. raised its position in Snowflake by 1.1% during the second quarter. Capital Advantage Inc. now owns 4,412 shares of the company's stock worth $987,000 after acquiring an additional 48 shares in the last quarter. Wedbush Securities Inc. raised its position in Snowflake by 1.3% during the second quarter. Wedbush Securities Inc. now owns 3,717 shares of the company's stock worth $832,000 after acquiring an additional 48 shares in the last quarter. Avion Wealth raised its position in shares of Snowflake by 76.6% in the second quarter. Avion Wealth now owns 113 shares of the company's stock valued at $25,000 after purchasing an additional 49 shares during the period. Insigneo Advisory Services LLC raised its position in shares of Snowflake by 1.3% in the second quarter. Insigneo Advisory Services LLC now owns 4,003 shares of the company's stock valued at $896,000 after purchasing an additional 52 shares during the period. Finally, Advyzon Investment Management LLC raised its position in shares of Snowflake by 3.8% in the second quarter. Advyzon Investment Management LLC now owns 1,520 shares of the company's stock valued at $340,000 after purchasing an additional 55 shares during the period. Institutional investors own 65.10% of the company's stock.

About Snowflake

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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