Snowflake (NYSE:SNOW) Trading Down 1.7% - Should You Sell?

Key Points

• Snowflake Inc. shares fell by 1.7% to $229.62, with trading volume significantly down by 67% from the average.
• Analysts have provided a range of ratings with a consensus average price target of $255.53, including several price upgrades to as high as $285.00.
• Director Frank Slootman sold over 710,000 shares at approximately $230.47 each, marking an 81.10% decrease in his ownership position.

Shares of Snowflake Inc. (NYSE:SNOW - Get Free Report) were down 1.7% during trading on Wednesday . The stock traded as low as $227.84 and last traded at $229.62. Approximately 1,736,351 shares were traded during mid-day trading, a decline of 67% from the average daily volume of 5,327,211 shares. The stock had previously closed at $233.60.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on SNOW shares. Wells Fargo & Company upped their price objective on shares of Snowflake from $250.00 to $275.00 and gave the stock an "overweight" rating in a report on Thursday, August 28th. Rosenblatt Securities increased their target price on shares of Snowflake from $210.00 to $250.00 and gave the stock a "buy" rating in a report on Thursday, August 28th. Oppenheimer increased their target price on shares of Snowflake from $250.00 to $275.00 and gave the stock an "outperform" rating in a 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, HSBC lowered shares of Snowflake from a "hold" rating to a "sell" rating in a report on Thursday, May 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, thirty-six have issued a Buy rating, four have assigned a Hold rating and two have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, Snowflake presently has an average rating of "Moderate Buy" and an average price target of $255.53.

Snowflake Price Performance

The company has a debt-to-equity ratio of 0.94, a quick ratio of 1.58 and a current ratio of 1.58. The stock's 50-day moving average is $212.12 and its 200 day moving average is $186.53. The stock has a market capitalization of $76.34 billion, a PE ratio of -55.06 and a beta of 1.22.

Snowflake (NYSE:SNOW - Get Free Report) last posted its earnings results on Wednesday, August 27th. The company reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.27 by $0.08. The firm had revenue of $1.14 billion for the quarter, compared to the consensus estimate of $1.09 billion. Snowflake had a negative net margin of 33.53% and a negative return on equity of 41.42%. The company's revenue was up 31.8% on a year-over-year basis. During the same period last year, the firm posted $0.18 EPS. As a group, equities analysts expect that Snowflake Inc. will post -2.36 earnings per share for the current year.

Insider Activity at Snowflake

In related news, Director Frank Slootman sold 710,083 shares of the stock in a transaction on Thursday, August 28th. The shares were sold at an average price of $230.47, for a total value of $163,652,829.01. Following the transaction, the director directly owned 165,507 shares of the company's stock, valued at $38,144,398.29. This trade represents a 81.10% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Over the last quarter, insiders have sold 3,216,909 shares of company stock valued at $717,287,181. Company insiders own 6.80% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Goldman Sachs Group Inc. grew its position in Snowflake by 22.2% during the 1st quarter. Goldman Sachs Group Inc. now owns 3,587,114 shares of the company's stock worth $524,293,000 after purchasing an additional 650,775 shares during the last quarter. CenterBook Partners LP purchased a new position in Snowflake during the 1st quarter worth $2,381,000. Berkshire Capital Holdings Inc. grew its position in Snowflake by 71,500.0% during the 1st quarter. Berkshire Capital Holdings Inc. now owns 7,160 shares of the company's stock worth $1,047,000 after purchasing an additional 7,150 shares during the last quarter. Lyell Wealth Management LP grew its position in Snowflake by 5.1% during the 1st quarter. Lyell Wealth Management LP now owns 60,685 shares of the company's stock worth $8,870,000 after purchasing an additional 2,955 shares during the last quarter. Finally, ORG Wealth Partners LLC purchased a new position in Snowflake during the 1st quarter worth $898,000. 65.10% of the stock is owned by hedge funds and other institutional investors.

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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