Snowflake (NYSE:SNOW) Trading Down 3.7% After Insider Selling

Shares of Snowflake Inc. (NYSE:SNOW) dropped 3.7% during mid-day trading on Friday following insider selling activity. The company traded as low as $172.29 and last traded at $172.49. Approximately 5,836,567 shares changed hands during trading, a decline of 1% from the average daily volume of 5,907,645 shares. The stock had previously closed at $179.20.

Specifically, Director Frank Slootman sold 100,000 shares of the firm’s stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $176.91, for a total transaction of $17,691,000.00. Following the transaction, the director directly owned 50,329 shares of the company’s stock, valued at approximately $8,903,703.39. This trade represents a 66.52% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link.

Wall Street Analyst Weigh In

A number of analysts recently issued reports on the company. Piper Sandler reiterated an “overweight” rating and issued a $285.00 price target on shares of Snowflake in a report on Thursday, December 4th. Jefferies Financial Group set a $300.00 target price on Snowflake in a research report on Monday, November 24th. Needham & Company LLC reissued a “buy” rating and set a $280.00 price target on shares of Snowflake in a research report on Thursday, December 4th. TD Cowen cut their price target on Snowflake from $300.00 to $270.00 and set a “buy” rating on the stock in a research note on Friday. Finally, Rosenblatt Securities upped their price objective on shares of Snowflake from $250.00 to $275.00 and gave the stock a “buy” rating in a research note on Monday, December 1st. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have assigned a Buy rating, four have assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, Snowflake currently has a consensus rating of “Moderate Buy” and an average target price of $269.84.

Trending Headlines about Snowflake

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Wells Fargo survey and consumption uptick — data from a Wells Fargo survey flagged stronger consumption trends into enterprise cloud spending, which highlights near-term demand tailwinds for Snowflake’s data/AI platform. Wells Fargo survey lifts demand outlook
• Positive Sentiment: AI monetization and product momentum — multiple analyst previews note Snowflake’s early AI revenue traction (reports of a ~$100M AI run rate), Cortex/Document AI positioning and a reported ~ $200M OpenAI tie-up as meaningful catalysts for revenue/RPO growth. These items support upside if execution continues. Snowflake Rides on Enterprise AI Adoption
• Positive Sentiment: Partner and product integrations — channel moves (KPI Partners elevating Snowflake partnership) and product integrations (Liquibase adding Snowflake support) strengthen adoption pathways and lower friction for enterprise sales. KPI Partners elevates partnership Liquibase adds Snowflake support
• Neutral Sentiment: Upcoming earnings as a near-term catalyst — commentary reminding investors to mark Feb. 25 as the company’s quarterly report; results and guidance will likely drive short-term volatility. Earnings date reminder
• Neutral Sentiment: Sector context — a rally in other contact-center/software names (RingCentral, Five9) shows selective strength in AI/booking beats across software, which may help sentiment but is not a direct SNOW fundamental. Sector rally note
• Negative Sentiment: Large insider selling — Director Frank Slootman sold 100,000 shares (~$17.7M at the trade price). Repeated large insider disposals are feeding investor concern about insider conviction and are pressuring the stock. Insider selling filing
• Negative Sentiment: Shareholder investigations / litigation risk — Pomerantz and Johnson Fistel announced probes into investor losses, creating legal and disclosure overhang that can deter buyers until clarity emerges. Pomerantz investigation notice Johnson Fistel notice
• Negative Sentiment: Analyst downgrades and price-target cuts — recent cuts (Mizuho, others) and reduced expectations from some brokers are lowering the perceived upside and putting selling pressure on the shares. Mizuho lowers PT Trading down after downgrade

Snowflake Price Performance

The firm has a market capitalization of $59.03 billion, a P/E ratio of -42.70 and a beta of 1.14. The company has a debt-to-equity ratio of 1.07, a current ratio of 1.37 and a quick ratio of 1.37. The stock’s fifty day simple moving average is $205.20 and its 200 day simple moving average is $224.06.

Snowflake (NYSE:SNOW) last released its quarterly earnings results on Wednesday, December 3rd. The company reported $0.35 earnings per share for the quarter, beating analysts’ consensus estimates of $0.31 by $0.04. The business had revenue of $1.21 billion for the quarter, compared to analysts’ expectations of $1.18 billion. Snowflake had a negative net margin of 30.76% and a negative return on equity of 45.91%. The company’s revenue was up 28.7% compared to the same quarter last year. During the same period last year, the business earned $0.20 EPS. On average, equities research analysts predict that Snowflake Inc. will post -2.36 EPS for the current year.

Hedge Funds Weigh In On Snowflake

Large investors have recently made changes to their positions in the business. Brighton Jones LLC boosted its position in shares of Snowflake by 90.0% in the 4th quarter. Brighton Jones LLC now owns 61,885 shares of the company’s stock worth $9,556,000 after purchasing an additional 29,320 shares in the last quarter. Intech Investment Management LLC increased its position in Snowflake by 24.0% during the 1st quarter. Intech Investment Management LLC now owns 11,202 shares of the company’s stock valued at $1,637,000 after buying an additional 2,167 shares in the last quarter. Geneos Wealth Management Inc. raised its stake in Snowflake by 29.7% in the first quarter. Geneos Wealth Management Inc. now owns 319 shares of the company’s stock valued at $47,000 after buying an additional 73 shares during the last quarter. Allspring Global Investments Holdings LLC purchased a new stake in Snowflake in the second quarter valued at about $271,000. Finally, Stephens Inc. AR boosted its holdings in Snowflake by 105.9% in the second quarter. Stephens Inc. AR now owns 5,993 shares of the company’s stock worth $1,341,000 after acquiring an additional 3,082 shares in the last quarter. 65.10% of the stock is owned by institutional investors and hedge funds.

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.