Snowflake (NYSE:SNOW) Stock Price Down 2.8% – Time to Sell?

Snowflake Inc. (NYSE:SNOW)’s share price dropped 2.8% during mid-day trading on Tuesday . The company traded as low as $318.50 and last traded at $323.2080. 3,955,289 shares changed hands during mid-day trading, a decline of 42% from the average session volume of 6,770,043 shares. The stock had previously closed at $332.35.

Snowflake News Roundup

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Analysts see additional upside for Snowflake (SNOW). The average Wall Street price target implies approximately 28.7% potential appreciation, while positive earnings-estimate revisions are providing further support. Wall Street Analysts Think Snowflake Could Surge
• Positive Sentiment: Scotiabank maintained its “Sector Outperform” rating and raised its fiscal 2027 EPS forecast to a loss of $1.32 per share from a projected loss of $1.81, with a $440 price target. Broader analyst coverage remains favorable, with a consensus “Moderate Buy” rating and an average target near $414. Scotiabank Issues Optimistic Forecast for Snowflake Earnings
• Positive Sentiment: Recent commentary highlights Snowflake’s AI “flywheel,” expanding customer adoption and faster growth. Snowflake Cortex AI is also being used in QAD | Redzone’s ChampionAI manufacturing application, offering evidence of commercial AI use cases. QAD Redzone’s ChampionAI Powered by Snowflake Cortex AI
• Positive Sentiment: Investors continue to reference Snowflake’s recent quarter, which included about $1.55 billion of revenue, improved profitability expectations, higher guidance and completion of a $3.7 billion buyback that reduced the share count. Snowflake AI-fueled guidance hike and buyback
• Neutral Sentiment: Several executives and directors, including Frank Slootman, Vivek Raghunathan, Christian Kleinerman, Jonathan Beaulier and Emily Ho, sold shares under pre-arranged Rule 10b5-1 plans to cover tax withholding on vested equity awards. The transactions modestly reduce insider ownership but do not necessarily signal deteriorating business confidence. Snowflake insider selling
• Negative Sentiment: At its current valuation, Snowflake has already priced in substantial AI success while the company remains unprofitable. Any slowdown in AI adoption, customer growth or progress toward profitability could trigger a sharp pullback, particularly after the stock’s strong year-to-date run. Snowflake is up 51 percent year to date

Analyst Upgrades and Downgrades

Several analysts recently weighed in on the stock. Jefferies Financial Group set a $430.00 target price on shares of Snowflake and gave the company a “buy” rating in a report on Thursday, September 3rd. Canaccord Genuity Group lifted their price objective on Snowflake from $325.00 to $450.00 and gave the company a “buy” rating in a research note on Thursday, September 3rd. Truist Financial set a $425.00 target price on Snowflake and gave the company a “buy” rating in a report on Thursday, September 3rd. Monness Crespi & Hardt lifted their target price on Snowflake from $380.00 to $450.00 and gave the company a “buy” rating in a research report on Thursday, September 3rd. Finally, Robert W. Baird set a $450.00 price target on shares of Snowflake in a research report on Thursday, September 3rd. Thirty-four investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Snowflake has a consensus rating of “Moderate Buy” and an average target price of $414.24.

Snowflake Stock Up 2.3%

The firm’s fifty day simple moving average is $309.17 and its 200 day simple moving average is $229.61. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 1.06. The company has a market cap of $119.51 billion, a price-to-earnings ratio of -106.57 and a beta of 1.33.

Snowflake (NYSE:SNOW) last released its quarterly earnings data on Wednesday, September 2nd. The company reported $0.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.45 by $0.17. The business had revenue of $1.55 billion during the quarter, compared to analysts’ expectations of $1.48 billion. Snowflake had a negative net margin of 20.07% and a negative return on equity of 46.32%. The company’s revenue for the quarter was up 35.1% on a year-over-year basis. During the same period in the previous year, the company earned $0.35 EPS. Sell-side analysts predict that Snowflake Inc. will post -1.57 earnings per share for the current year.

Insiders Place Their Bets

In other news, EVP Christian Kleinerman sold 25,000 shares of the stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $325.00, for a total value of $8,125,000.00. Following the transaction, the executive vice president owned 340,379 shares in the company, valued at approximately $110,623,175. This represents a 6.84% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Garrett sold 50,000 shares of the firm’s stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $350.00, for a total value of $17,500,000.00. Following the sale, the director directly owned 10,074 shares in the company, valued at $3,525,900. This trade represents a 83.23% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 1,045,087 shares of company stock valued at $314,431,792. 4.80% of the stock is owned by insiders.

Institutional Investors Weigh In On Snowflake

Several hedge funds and other institutional investors have recently bought and sold shares of SNOW. Nuveen LLC grew its stake in Snowflake by 2.3% during the 4th quarter. Nuveen LLC now owns 5,277,851 shares of the company’s stock worth $1,157,749,000 after buying an additional 116,521 shares during the last quarter. Geode Capital Management LLC boosted its holdings in shares of Snowflake by 5.5% in the fourth quarter. Geode Capital Management LLC now owns 4,809,689 shares of the company’s stock valued at $1,052,195,000 after acquiring an additional 249,668 shares during the period. Norges Bank acquired a new stake in shares of Snowflake in the fourth quarter valued at approximately $974,091,000. Janus Henderson Group PLC grew its position in shares of Snowflake by 20.4% during the fourth quarter. Janus Henderson Group PLC now owns 2,452,425 shares of the company’s stock worth $537,907,000 after acquiring an additional 415,951 shares during the last quarter. Finally, Legal & General Group Plc grew its position in shares of Snowflake by 5.2% during the fourth quarter. Legal & General Group Plc now owns 1,949,962 shares of the company’s stock worth $427,744,000 after acquiring an additional 96,373 shares during the last quarter. 65.10% of the stock is currently owned by institutional investors and hedge funds.

About Snowflake

Snowflake Inc (NYSE: SNOW) is a cloud-based data platform company that helps organizations store, process, analyze and share data. Its platform is designed to support data warehousing, data lakes, data engineering, data science, application development and business intelligence across public cloud environments.

Snowflake’s Data Cloud enables customers to consolidate and access structured, semi-structured and unstructured data while supporting secure data sharing and collaboration. Its offerings include Snowflake Cortex, which provides artificial intelligence and machine-learning capabilities, as well as tools for developing data applications and using data from Snowflake’s marketplace and partner ecosystem.

Founded in 2012, Snowflake serves businesses, government organizations and other institutions globally through cloud infrastructure provided by major public-cloud platforms.