Snowflake Inc (NYSE:SNOW) saw Bank of America raise its price target on the AI data cloud company ahead of earnings, lifting its target to $205 from $195 as the firm pointed to sustained enterprise demand and early traction in AI-driven workflow tools. With the company due to report its Q1 results on May 27, Bank of America also reiterated its ‘Buy' rating and increased its valuation multiple to 10.3x enterprise value to calendar year 2027 estimated revenue from 9.8x previously, citing improved execution confidence.
Snowflake's AI platform growth is accelerating, but Dell Technologies' surging AI orders and record backlog position it for stronger upside potential.
Snowflake earns a Buy rating as current valuation aligns with achievable revenue growth and free cash flow margin assumptions. SNOW's forward expectations require continued beat-and-raise performance, with revenue growth sensitivity outweighing margin expansion in valuation impact. AI-driven demand, especially via Cortex Code, is accelerating bookings and could lock in customers, supporting bullish long-term growth prospects.
In the most recent trading session, Snowflake Inc. (SNOW) closed at $150.76, indicating a -1.06% shift from the previous trading day.
Snowflake Inc. remains a compelling AI-era data platform, with no evidence of disruption from AI agents or vector databases threatening its core business. SNOW's product revenue grew 30% YoY to $1.23B, with RPO up 42% to ~$9.8B, reflecting strong enterprise commitment and AI-driven market expansion. Management projects FY27 product revenue of $5.66B (+27% YoY), leveraging AI integration, internal efficiency gains, and robust customer adoption.
SNOW's AI Data Cloud gains traction as product revenue jumps 30%, fueled by the rapid adoption of Snowflake Intelligence and Cortex Code.
Snowflake (SNOW) is rebounding after a 45% decline, driven by robust enterprise AI adoption. SNOW's AI Data Cloud, strong partnerships, and high customer retention fuel 30% YoY product revenue growth, with $9.77B in remaining performance obligations. Despite a steep price-to-sales ratio (~11.7x TTM), SNOW offers aggressive growth potential, with free cash flow margins around 24.5% and manageable capex.
Zacks.com users have recently been watching Snowflake (SNOW) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
Snowflake (SNOW) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term.
Shares of Snowflake (NYSE:SNOW | SNOW Price Prediction) are climbing in early Thursday trading, jumping roughly 9% intraday to around $152.
The latest trading day saw Snowflake Inc. (SNOW) settling at $139.74, representing a -1.39% change from its previous close.
SNOW stock dips 35% YTD as AI costs and competition weigh on margins, but strong adoption, rising big-spend customers, and product innovation fuel growth outlook.