Snowflake (NYSE:SNOW) Issues Quarterly Earnings Results, Beats Expectations By $0.05 EPS

Snowflake (NYSE:SNOW) posted its earnings results on Wednesday. The company reported $0.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.27 by $0.05, Briefing.com reports. Snowflake had a negative return on equity of 45.91% and a negative net margin of 30.76%.The firm had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.25 billion. During the same quarter in the prior year, the company earned $0.30 EPS. Snowflake’s revenue was up 30.1% on a year-over-year basis.

Here are the key takeaways from Snowflake’s conference call:

• Strong FY26 finish and enterprise demand — product revenue grew 30% Y/Y to $1.23B, remaining performance obligations were $9.77B (+42% Y/Y), net revenue retention remained 125%, and the quarter included the largest deal in company history (> $400M) plus seven nine?figure contracts.
• Rapid AI traction — Snowflake reports > 9,100 accounts using AI, with 2,500+ accounts on Snowflake Intelligence and 4,400+ customers using Cortex Code, which management says is driving faster deployments and higher platform usage.
• Confident FY27 guide and margin expansion — Q1 product revenue guide of $1.262–$1.267B (27% Y/Y) and FY27 product revenue ~$5.66B (27% Y/Y); management targets ~75% gross margin, 12.5% non?GAAP operating margin, and 23% adjusted FCF margin (includes Observe acquisition contribution and ~150 bps FCF headwind); company repurchased ~$150M of stock and ended Q with ~$4.8B in liquidity.
• Consumption risk from AI agents — management acknowledged possible “sticker shock” as agents expand consumption and said it will add controls (per?user/account caps) and pricing options to mitigate unpredictable usage and billing spikes.

Snowflake Trading Up 4.3%

Snowflake stock traded up $7.24 during trading on Thursday, hitting $176.45. The company’s stock had a trading volume of 7,694,791 shares, compared to its average volume of 6,286,755. The stock’s fifty day moving average is $201.01 and its 200 day moving average is $223.09. The company has a debt-to-equity ratio of 1.07, a quick ratio of 1.37 and a current ratio of 1.37. Snowflake has a 1-year low of $120.10 and a 1-year high of $280.67. The stock has a market capitalization of $60.38 billion, a price-to-earnings ratio of -43.61 and a beta of 1.14.

Insider Activity at Snowflake

In related news, Director Michael L. Speiser sold 50,338 shares of Snowflake stock in a transaction on Friday, December 5th. The stock was sold at an average price of $230.65, for a total transaction of $11,610,459.70. Following the completion of the sale, the director owned 32,756 shares of the company’s stock, valued at approximately $7,555,171.40. This trade represents a 60.58% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Frank Slootman sold 200,000 shares of the company’s stock in a transaction dated Thursday, December 18th. The stock was sold at an average price of $221.83, for a total value of $44,366,000.00. Following the completion of the transaction, the director directly owned 50,329 shares in the company, valued at approximately $11,164,482.07. The trade was a 79.89% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 713,681 shares of company stock worth $148,264,518. 6.80% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of SNOW. Brighton Jones LLC boosted its position in shares of Snowflake by 90.0% during the 4th quarter. Brighton Jones LLC now owns 61,885 shares of the company’s stock valued at $9,556,000 after acquiring an additional 29,320 shares in the last quarter. Intech Investment Management LLC grew its stake in shares of Snowflake by 24.0% in the first 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. increased its position in Snowflake by 29.7% during the first quarter. Geneos Wealth Management Inc. now owns 319 shares of the company’s stock worth $47,000 after buying an additional 73 shares during the last quarter. Flow Traders U.S. LLC acquired a new position in shares of Snowflake during the 2nd quarter worth approximately $221,000. Finally, The Manufacturers Life Insurance Company lifted its holdings in Snowflake by 7.2% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 22,603 shares of the company’s stock valued at $5,055,000 after purchasing an additional 1,521 shares during the last quarter. Institutional investors and hedge funds own 65.10% of the company’s stock.

Analyst Ratings Changes

Several research firms have recently commented on SNOW. Wells Fargo & Company restated an “overweight” rating and issued a $210.00 target price on shares of Snowflake in a research note on Thursday. Piper Sandler decreased their target price on shares of Snowflake from $285.00 to $230.00 and set an “overweight” rating on the stock in a research report on Thursday. Sanford C. Bernstein reiterated a “market perform” rating and issued a $237.00 price target on shares of Snowflake in a report on Thursday, December 4th. Evercore lifted their price target on shares of Snowflake from $280.00 to $300.00 and gave the company an “outperform” rating in a research report on Thursday, December 4th. Finally, Cantor Fitzgerald restated an “overweight” rating and issued a $250.00 price target on shares of Snowflake in a research report on Monday. Two research analysts have rated the stock with a Strong Buy rating, thirty-three have given a Buy rating, four have issued a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, Snowflake has a consensus rating of “Moderate Buy” and an average price target of $257.84.

More Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake guided fiscal?2027 product revenue above Wall Street estimates, citing AI?driven demand that should help sustain enterprise adoption and monetization of its data cloud. Reuters: Snowflake expects annual product revenue above estimates
• Positive Sentiment: Company reported strong top?line momentum: Q4 revenue (~$1.28B) grew ~30% year?over?year and management highlighted a ~42% increase in remaining performance obligations (RPO), a metric investors use to judge forward revenue visibility. WSJ: Snowflake Revenue Rises As AI Adoption Accelerates
• Positive Sentiment: Analyst support: Monness Crespi & Hardt raised its price target to $282 (buy) and Rosenblatt Securities reaffirmed a buy rating with a $275 target — both imply large upside vs. current levels and reinforce conviction around long?term growth. Benzinga: Rosenblatt reaffirmed buy
• Neutral Sentiment: Piper Sandler trimmed its price target from $285 to $230 but kept an overweight rating — the cut reduces near?term upside expectations while still signaling a constructive view. Benzinga: Piper Sandler lowers target
• Neutral Sentiment: Company released the earnings slide deck and call transcript (useful for details on product revenue mix, AI partnerships and guidance assumptions). Earnings slide deck
• Negative Sentiment: GAAP profitability disappointed: reported EPS measures showed a sizable loss (market commentary flagged a large EPS miss on the quarter), which drove after?hours weakness immediately following the print. MarketBeat: Q4 earnings details
• Negative Sentiment: Multiple law firms have announced investor notices and class?action deadlines related to alleged disclosure issues; ongoing litigation risk and legal costs can be a persistent overhang. BusinessWire: Class action deadline alert
• Negative Sentiment: Data show heavy insider selling activity over the past 6 months, which some investors interpret as a governance/conviction concern. Quiver Quant: Insider trading data

Snowflake Company Profile

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.