
Snowflake (SNOW) Stock Forecast & Price Target
Snowflake (SNOW) Analyst Ratings
Bulls say
Snowflake Inc. has demonstrated impressive financial performance, with Product Revenue growing by 30% year-over-year to $1,227 million, surpassing guidance expectations. The company has accelerated momentum in high-spend customers, with 733 customers now contributing over $1 million in a trailing twelve-month basis, marking a 27% increase year-over-year, and a significant rise among those spending over $10 million. Furthermore, management's guidance for FY27 indicates a potential expansion of operating margins by approximately 2 percentage points, bolstered by strong performance in data-sharing initiatives that enhance customer value and retention.
Bears say
Snowflake's recent valuation adjustments highlight a significant reduction in target multiples, with EV/revenue decreasing from 14.5x to 9.0x and EV/FCF from 50x to 32x, indicating concerns over growth sustainability in a competitive landscape. There is a growing apprehension regarding the deceleration of subscription revenue and a diminishing revenue uplift as customers transition from data centers to cloud services, compounded by rising competition from major players like Microsoft and ServiceNow. Furthermore, broader macroeconomic factors and the potential for shifting investor sentiment toward high-growth technology stocks introduce additional risks that could exacerbate price volatility.
This aggregate rating is based on analysts' research of Snowflake and is not a guaranteed prediction by Public.com or investment advice.
Snowflake (SNOW) Analyst Forecast & Price Prediction
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