Snowflake (NYSE:SNOW) Trading Down 4.2% – Time to Sell?

Snowflake Inc. (NYSE:SNOW)’s share price traded down 4.2% during mid-day trading on Thursday . The stock traded as low as $223.56 and last traded at $223.7190. 4,331,183 shares changed hands during trading, an increase of 4% from the average session volume of 4,170,790 shares. The stock had previously closed at $233.50.

More Snowflake News

Here are the key news stories impacting Snowflake this week:

• Positive Sentiment: Snowflake’s expanded AI portfolio and deeper cloud partnerships are being highlighted as drivers of strong revenue growth and positioning the company as central to enterprise AI — a tailwind for long-term demand. SNOW’s Robust Portfolio Fuels Revenue Growth
• Positive Sentiment: Snowflake announced a deal to acquire Observe — an AI/observability platform built on Snowflake — in a transaction reported around $1B. Management says the deal accelerates AIops and observability features (helps troubleshoot AI agents and apps), which could expand product stickiness and cross-sell opportunities. The acquisition is subject to customary closing conditions; the purchase price and integration execution will be watched closely. Snowflake announces intent to buy Observe The Numbers Behind Snowflake’s $1 Billion Acquisition
• Positive Sentiment: Recent analyst support: Argus upgraded SNOW to Buy with a $300 target and Raymond James reiterated/assigned Outperform, reinforcing optimism about Snowflake’s transition from data warehouse to AI platform — analyst upgrades can boost sentiment and attract flows. (Coverage noted in market reports.)
• Neutral Sentiment: Last reported results showed a revenue beat and continued high growth (revenue up ~29% year/year and an EPS beat in early December), supporting the narrative of strong enterprise traction — but profitability remains negative and is being closely scrutinized by the market.
• Negative Sentiment: An executive (EVP) sold about $2.2M of SNOW stock, which can be interpreted by some investors as a near-term negative signal about insider confidence or a simple liquidity/portfolio move. EVP Stock Sale
• Negative Sentiment: Valuation and profitability concerns remain loud in the market — commentary argues Snowflake’s “profitability pivot” could trade off growth investments, and some analysts urge caution despite AI tailwinds. Those critiques can pressure the shares as investors weigh growth vs margin expansion. Profitability Pivot May Be A Trap
• Negative Sentiment: SNOW has shown intra-session weakness recently while the broader market gained, indicating short-term profit-taking or rotation into other AI names; watch volume and whether the stock holds near its 200-day SMA for technical support. SNOW Stock Dips While Market Gains

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on SNOW shares. Raymond James Financial set a $250.00 target price on shares of Snowflake in a report on Monday, December 15th. JMP Securities boosted their price target on shares of Snowflake from $283.00 to $325.00 and gave the company a “market outperform” rating in a research report on Tuesday, October 28th. Scotiabank reaffirmed an “outperform” rating on shares of Snowflake in a report on Thursday, December 4th. Piper Sandler reiterated an “overweight” rating and issued a $285.00 target price on shares of Snowflake in a research note on Thursday, December 4th. Finally, Argus raised Snowflake from a “hold” rating to a “buy” rating and set a $300.00 target price on the stock in a report on Thursday. Two research analysts have rated the stock with a Strong Buy rating, thirty-six have assigned a Buy rating, three have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, Snowflake currently has an average rating of “Moderate Buy” and an average price target of $275.97.

Snowflake Stock Performance

The company has a debt-to-equity ratio of 1.07, a quick ratio of 1.37 and a current ratio of 1.37. The company has a market cap of $74.87 billion, a price-to-earnings ratio of -54.16 and a beta of 1.14. The firm’s 50-day moving average price is $238.70 and its 200 day moving average price is $229.06.

Snowflake (NYSE:SNOW) last announced its quarterly earnings data on Wednesday, December 3rd. The company reported $0.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.31 by $0.04. The firm 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 business’s revenue for the quarter was up 28.7% on a year-over-year basis. During the same period last year, the firm earned $0.20 earnings per share. On average, sell-side analysts anticipate that Snowflake Inc. will post -2.36 EPS for the current year.

Insider Buying and Selling at Snowflake

In related news, EVP Christian Kleinerman sold 10,000 shares of the company’s stock in a transaction dated Friday, January 2nd. The stock was sold at an average price of $219.90, for a total value of $2,199,000.00. Following the completion of the sale, the executive vice president owned 471,351 shares in the company, valued at approximately $103,650,084.90. This represents a 2.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CAO Emily Ho sold 1,072 shares of the firm’s stock in a transaction dated Tuesday, December 23rd. The stock was sold at an average price of $223.63, for a total value of $239,731.36. Following the transaction, the chief accounting officer owned 43,809 shares in the company, valued at approximately $9,797,006.67. This trade represents a 2.39% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 418,681 shares of company stock valued at $96,073,145 over the last quarter. 6.80% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Snowflake

Several hedge funds have recently bought and sold shares of SNOW. Total Clarity Wealth Management Inc. lifted its position in Snowflake by 2.7% during the third quarter. Total Clarity Wealth Management Inc. now owns 1,508 shares of the company’s stock valued at $340,000 after purchasing an additional 40 shares in the last quarter. Diligent Investors LLC raised its stake in shares of Snowflake by 0.9% in the third quarter. Diligent Investors LLC now owns 4,594 shares of the company’s stock worth $1,036,000 after buying an additional 40 shares during the period. Coastline Trust Co raised its stake in shares of Snowflake by 1.0% in the third quarter. Coastline Trust Co now owns 4,183 shares of the company’s stock worth $943,000 after buying an additional 42 shares during the period. Capital Advantage Inc. grew its stake in shares of Snowflake by 1.1% during the 2nd quarter. Capital Advantage Inc. now owns 4,412 shares of the company’s stock valued at $987,000 after acquiring an additional 48 shares during the period. Finally, Wedbush Securities Inc. grew its stake in shares of Snowflake by 1.3% during the 2nd quarter. Wedbush Securities Inc. now owns 3,717 shares of the company’s stock valued at $832,000 after acquiring an additional 48 shares during the period. 65.10% of the stock is currently 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.