Snowflake (NYSE:SNOW) Trading Down 7.4% – Should You Sell?
by Tristan Rich · The Markets DailySnowflake Inc. (NYSE:SNOW – Get Free Report) fell 7.4% during trading on Friday . The company traded as low as $136.16 and last traded at $135.6370. 2,243,841 shares traded hands during trading, a decline of 65% from the average session volume of 6,452,762 shares. The stock had previously closed at $146.40.
Key Headlines Impacting Snowflake
Here are the key news stories impacting Snowflake this week:
- Positive Sentiment: Snowflake rolled out major updates to Snowflake Intelligence and Cortex Code, positioning the platform as a central control plane for agentic/enterprise AI workflows — a product story analysts say supports long‑term growth. Read More.
- Positive Sentiment: Company highlighted AI product momentum and Snowflake Summit 2026 (June) as a catalyst for enterprise AI adoption and partner engagement. Such go‑to‑market activity can support future revenue growth. Read More.
- Positive Sentiment: Options and tactical buyers have shown recent activity (buy‑the‑dip plays reported), suggesting some investors view the pullback as a short‑term buying opportunity. Read More.
- Neutral Sentiment: Coverage notes a former Snowflake scientist founded an AI startup whose models outperformed general models in enterprise tests — a potential competitive development but impact on Snowflake’s core cloud/consumption business is uncertain. Read More.
- Neutral Sentiment: Market recaps and analyst writeups reiterate that Snowflake remains a long‑term AI/data platform play despite recent volatility; these are more thematic than immediately price‑moving. Read More.
- Negative Sentiment: Multiple law firms have filed or issued notices about a securities class action covering purchases from June 27, 2023 to Feb 28, 2024 and are soliciting lead plaintiffs with an April 27 deadline — this concentrated legal attention creates near‑term uncertainty and selling pressure. Read More. Read More.
- Negative Sentiment: Additional shareholder alerts and allegations (SueWallSt, Rosen, Bronstein, Schall, Bernstein Liebhard, etc.) mention alleged consumption/efficiency and revenue risks — even if unproven, the cumulative headlines are increasing perceived litigation and execution risk. Read More.
Analysts Set New Price Targets
SNOW has been the topic of several research reports. Cantor Fitzgerald reissued an “overweight” rating and set a $250.00 price target on shares of Snowflake in a research report on Monday, February 23rd. KeyCorp lowered their target price on shares of Snowflake from $235.00 to $200.00 and set an “overweight” rating for the company in a research note on Wednesday, April 15th. Zacks Research upgraded shares of Snowflake from a “strong sell” rating to a “hold” rating in a research report on Wednesday, March 4th. DA Davidson lowered their price objective on shares of Snowflake from $300.00 to $250.00 and set a “buy” rating for the company in a research report on Thursday, February 26th. Finally, Rosenblatt Securities restated a “buy” rating and issued a $275.00 target price on shares of Snowflake in a research note on Thursday, February 26th. One analyst has rated the stock with a Strong Buy rating, thirty-three have issued a Buy rating, five have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $242.19.
Get Our Latest Stock Analysis on SNOW
Snowflake Stock Performance
The stock has a market cap of $47.97 billion, a P/E ratio of -35.10 and a beta of 1.23. The company has a fifty day moving average of $161.97 and a 200 day moving average of $206.63. 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 issued its quarterly earnings results on Wednesday, February 25th. The company reported $0.32 earnings per share (EPS) 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 analyst estimates of $1.25 billion. During the same period last year, the company posted $0.30 EPS. The firm’s quarterly revenue was up 30.1% on a year-over-year basis. On average, equities analysts predict that Snowflake Inc. will post -2.16 earnings per share for the current fiscal year.
Insider Buying and Selling
In other Snowflake news, EVP Christian Kleinerman sold 10,000 shares of the company’s stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $165.01, for a total transaction of $1,650,100.00. Following the completion of the sale, the executive vice president directly owned 510,477 shares of the company’s stock, valued at approximately $84,233,809.77. This represents a 1.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Frank Slootman sold 100,000 shares of the firm’s stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $176.91, for a total transaction of $17,691,000.00. Following the completion of the transaction, the director owned 50,329 shares of the company’s stock, valued at approximately $8,903,703.39. The trade was a 66.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 394,313 shares of company stock worth $67,477,780 over the last three months. Corporate insiders own 6.80% of the company’s stock.
Institutional Investors Weigh In On Snowflake
Hedge funds have recently made changes to their positions in the company. Grey Fox Wealth Advisors LLC purchased a new stake in Snowflake in the 3rd quarter worth about $25,000. Tripletail Wealth Management LLC bought a new stake in shares of Snowflake in the 3rd quarter valued at approximately $28,000. Kemnay Advisory Services Inc. acquired a new position in Snowflake in the fourth quarter worth approximately $28,000. Greenline Wealth Management LLC bought a new position in Snowflake during the fourth quarter valued at approximately $29,000. Finally, SJS Investment Consulting Inc. raised its position in Snowflake by 4,333.3% during the third quarter. SJS Investment Consulting Inc. now owns 133 shares of the company’s stock valued at $30,000 after acquiring an additional 130 shares in the last quarter. Hedge funds and other institutional investors own 65.10% of the company’s stock.
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.