Snowflake (NYSE:SNOW) Stock Price Up 2.2% on Better-Than-Expected Earnings

Snowflake Inc. (NYSE:SNOW) shares were up 2.2% during trading on Wednesday after the company announced better than expected quarterly earnings. The company traded as high as $267.97 and last traded at $265.3360. Approximately 10,820,690 shares changed hands during trading, an increase of 112% from the average daily volume of 5,112,332 shares. The stock had previously closed at $259.68.

The company reported $0.35 EPS for the quarter, topping analysts’ consensus estimates of $0.31 by $0.04. Snowflake had a negative net margin of 30.76% and a negative return on equity of 43.84%. The business had revenue of $1.21 billion during the quarter, compared to analysts’ expectations of $1.18 billion. During the same period last year, the company posted $0.20 earnings per share. The business’s quarterly revenue was up 28.7% on a year-over-year basis.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on SNOW shares. The Goldman Sachs Group raised their price target on shares of Snowflake from $230.00 to $260.00 and gave the stock a “buy” rating in a research note on Thursday, August 28th. Cowen reissued a “buy” rating on shares of Snowflake in a research report on Thursday. Macquarie increased their price target on Snowflake from $235.00 to $250.00 and gave the stock a “neutral” rating in a research note on Thursday. Wells Fargo & Company boosted their price objective on Snowflake from $275.00 to $290.00 and gave the company an “overweight” rating in a research note on Thursday. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Snowflake in a report on Wednesday, October 8th. Two investment analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating, three have assigned a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, Snowflake currently has an average rating of “Moderate Buy” and an average price target of $275.05.

Insider Activity

In other news, EVP Christian Kleinerman sold 10,000 shares of the firm’s stock in a transaction on Wednesday, October 1st. The shares were sold at an average price of $223.88, for a total transaction of $2,238,800.00. Following the sale, the executive vice president owned 532,450 shares in the company, valued at approximately $119,204,906. This trade represents a 1.84% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Frank Slootman sold 7,551 shares of the company’s stock in a transaction dated Tuesday, September 16th. The stock was sold at an average price of $221.24, for a total value of $1,670,583.24. Following the completion of the transaction, the director owned 153,226 shares of the company’s stock, valued at $33,899,720.24. The trade was a 4.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 170,564 shares of company stock valued at $41,676,989 over the last 90 days. Company insiders own 6.80% of the company’s stock.

Institutional Trading of Snowflake

Several large investors have recently modified their holdings of the business. Brighton Jones LLC lifted its position in 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 during the period. Natixis Advisors LLC boosted its position in shares of Snowflake by 16.1% in the 1st quarter. Natixis Advisors LLC now owns 13,808 shares of the company’s stock worth $2,018,000 after purchasing an additional 1,914 shares in the last quarter. PNC Financial Services Group Inc. grew its stake in shares of Snowflake by 7.1% in the 1st quarter. PNC Financial Services Group Inc. now owns 17,908 shares of the company’s stock worth $2,617,000 after buying an additional 1,193 shares during the last quarter. Scotia Capital Inc. increased its position in Snowflake by 5.8% during the 1st quarter. Scotia Capital Inc. now owns 8,826 shares of the company’s stock valued at $1,290,000 after buying an additional 483 shares in the last quarter. Finally, New Age Alpha Advisors LLC purchased a new stake in shares of Snowflake in the first quarter worth $1,462,000. 65.10% of the stock is owned by institutional investors.

Snowflake Price Performance

The company has a quick ratio of 1.48, a current ratio of 1.48 and a debt-to-equity ratio of 0.96. The firm has a fifty day moving average price of $251.34 and a two-hundred day moving average price of $226.24. The stock has a market capitalization of $77.73 billion, a P/E ratio of -56.79 and a beta of 1.09.

About Snowflake

Snowflake Inc provides a cloud-based data platform for various organizations in the United States and internationally. Its platform offers Data Cloud, which enables customers to consolidate data into a single source of truth to drive meaningful business insights, build data-driven applications, and share data and data products, as well as applies artificial intelligence (AI) for solving business problems.