Company Reports

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake’s core data warehouse and data lake products provide superior scalability at a lower cost compared with on-premises solutions, aligning the companies' offerings with the value proposition hyperscalers can offer. We think data platforms like Snowflake have already become one of the must-have tools in the public cloud ecosystem.

Snowflake maintained its extraordinarily strong artificial intelligence-led growth momentum in the second quarter. Total revenue growth accelerated to 35%, easily beating last quarter's 30% guidance. Non-GAAP operating margin of 15.3% was also 280 basis points higher than guidance.

Snowflake delivered blowout first-quarter results. Year-over-year product revenue growth of 34% beat guidance by 700 basis points. Non-GAAP operating margin also reached a new record of 11.9%, 290 basis points above the guidance.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake’s core data warehouse and data lake products provide superior scalability at a lower cost compared with on-premises solutions, aligning the companies' offerings with the value proposition hyperscalers can offer. We think data platforms like Snowflake have already become one of the must-have tools in the public cloud ecosystem.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake’s core data warehouse and data lake products provide superior scalability at a lower cost compared with on-premises solutions, aligning the companies' offerings with the value proposition hyperscalers can offer. We think data platforms like Snowflake have already become one of the must-have tools in the public cloud ecosystem.

Snowflake's fourth-quarter results easily topped guidance, with revenue growth accelerating to 30% and bookings growth accelerating to 42%. We believe artificial intelligence-related demand is the primary driver behind the company's recent outperformance.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake provides superior scalability at a lower cost compared with on-premises solutions, aligning it with the value proposition hyperscalers can offer. We think Snowflake has already become one of the must-have tools in the public cloud ecosystem.

Snowflake's third-quarter revenue growth of 29% came slightly ahead of guidance. However, shares sold off up to 9% in after-hours trading, likely due to a disappointing fourth-quarter non-GAAP operating margin guidance at 7%, or nearly 400 basis points below this quarter's result.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake provides superior scalability at a lower cost compared with on-premises solutions, aligning it with the value proposition hyperscalers can offer. We think Snowflake has already become one of the must-have tools in the public cloud ecosystem.

Snowflake's second-quarter year-over-year revenue growth of 31.5% accelerated 530 basis points sequentially, highlighting strong client interest in data infrastructure modernization. Non-GAAP operating margin also expanded 240 basis points sequentially to 11.2%, thanks to efficiency gains.

No-moat Snowflake announced several new products in data engineering, analytics, and artificial intelligence during its 2025 investor day. The company is also acquiring Crunchy Data, a cloud-hosted PostgreSQL database startup, for $250 million to expand its relational database capabilities. Following a period of heavy buildup in artificial intelligence, we are glad to see the company pivoting back to its core data warehouse product. These new products should significantly improve Snowflake’s query performance and address key pain points for customers. We are maintaining our $150 fair value estimate for now, as we still need more quantitative evidence to understand the potential growth trajectories of these new offerings. Shares currently look overvalued to us.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake provides superior scalability at a lower cost compared with on-premises solutions, aligning it with the value proposition hyperscalers can offer. We think Snowflake has already become one of the must-have tools in the public cloud ecosystem.

No-moat Snowflake delivered a solid start to fiscal year 2026, with revenue growing 26% and remaining performance obligations up 34% compared with a year earlier. The company continues to benefit from the adoption of open table formats and increased queries for artificial intelligence-related data analytics. We lift our fair value estimate to $150 per share from $137, based on a more optimistic revenue outlook supported by healthy demand for Snowflake’s user-friendly data processing capabilities. However, we still think Snowflake faces pressure to maintain its high growth and justify its valuation in a competitive environment. Shares currently look overvalued to us.

We are transferring coverage of Snowflake and maintaining the company’s no-moat rating. Snowflake is one of the leading data warehouse and data lake solutions that help enterprises consolidate data across different public clouds into a single source of truth. We think the competition among different data platforms is getting intense, and we are lowering our fair value estimate to $137 per share from $165 as we adjust our revenue and margin forecasts to reflect Snowflake’s heavy investment pressure to keep its product competitive. We believe shares are approximately fairly valued.

Snowflake is a leading data platform that helps enterprises create a single source of truth out of data stored across various public clouds. By separating computing from storage, Snowflake provides superior scalability at a lower cost compared with on-premises solutions, aligning it with the value proposition hyperscalers can offer. We think Snowflake has already become one of the must-have tools in the public cloud ecosystem.

No-moat Snowflake reported strong fiscal 2025 fourth-quarter earnings that beat our top line and profitability expectations. Management unveiled good fiscal 2026 guidance, expecting product revenue growth of 24% and non-GAAP operating margin of 8% on the back of optimism around artificial intelligence sales.

Snowflake is a leading data lake and data warehouse platform. As enterprises migrate workloads to the public cloud, significant obstacles have arisen, including hefty data transformation costs, breaking down data silos to create a single source of truth, and creating scalable performance. Snowflake seeks to address these issues with its platform, which gives its users access to its data lake, warehouse, and marketplace on various public clouds. Snowflake should have a good growth runway, although competition in the space is increasing and enterprise IT budgets are coming under more scrutiny.

Snowflake is a leading data lake and data warehouse platform. As enterprises migrate workloads to the public cloud, significant obstacles have arisen, including hefty data transformation costs, breaking down data silos to create a single source of truth, and creating scalable performance. Snowflake seeks to address these issues with its platform, which gives its users access to its data lake, warehouse, and marketplace on various public clouds. Snowflake should still have a good growth runway, although competition in the space is increasing and enterprise IT budgets are coming under more scrutiny.

No-moat Snowflake reported strong third-quarter earnings, with revenue and profitability coming in above guidance. Management now expects fiscal 2025 product revenue growth of 29%, up from the previous guide of 26%. Non-GAAP operating margins are expected to reach 5%, up from the previous guide of 3%, driven by the higher revenue outlook.

We are maintaining our fair value estimate of $187 per share for no-moat Snowflake after it reported second-quarter earnings slightly above our expectations. It is showing all the right signs of healthy results in the near term and beyond. We were pleased that the firm signed two nine-figure deals in the quarter, indicating massive potential when other customers’ workloads go into production. In addition, we continue to believe there is ample upside from our $187 fair value estimate, given the early seedlings of a network effect that we see in Snowflake’s smaller data marketplace business.