Snowflake (NYSE:SNOW) Shares Up 5% – Should You Buy?

Snowflake Inc. (NYSE:SNOW)’s share price shot up 5% on Wednesday . The stock traded as high as $119.81 and last traded at $119.15. 4,239,765 shares traded hands during trading, a decline of 37% from the average session volume of 6,689,940 shares. The stock had previously closed at $113.52.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the stock. DA Davidson reiterated a “buy” rating and issued a $175.00 target price on shares of Snowflake in a report on Thursday, October 3rd. Needham & Company LLC reduced their target price on Snowflake from $210.00 to $160.00 and set a “buy” rating on the stock in a report on Thursday, August 22nd. Wells Fargo & Company lowered their price target on Snowflake from $130.00 to $125.00 and set an “equal weight” rating for the company in a report on Thursday, August 22nd. Barclays cut their price objective on Snowflake from $191.00 to $146.00 and set an “equal weight” rating on the stock in a report on Monday, August 19th. Finally, Jefferies Financial Group lowered their target price on Snowflake from $160.00 to $145.00 and set a “buy” rating for the company in a research note on Thursday, August 22nd. Two investment analysts have rated the stock with a sell rating, twelve have given a hold rating and twenty-five have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $174.74.

Snowflake Price Performance

The business’s 50-day moving average is $116.49 and its 200 day moving average is $135.11. The firm has a market capitalization of $40.11 billion, a P/E ratio of -42.70 and a beta of 0.83.

Snowflake (NYSE:SNOW) last released its earnings results on Wednesday, August 21st. The company reported $0.18 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.16 by $0.02. The company had revenue of $868.80 million for the quarter, compared to analyst estimates of $851.72 million. Snowflake had a negative return on equity of 19.62% and a negative net margin of 31.73%. Snowflake’s quarterly revenue was up 28.9% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.52) EPS. Analysts anticipate that Snowflake Inc. will post -2.41 EPS for the current fiscal year.

Insider Activity at Snowflake

In related news, EVP Christian Kleinerman sold 15,000 shares of the stock in a transaction that occurred on Wednesday, August 7th. The shares were sold at an average price of $120.00, for a total value of $1,800,000.00. Following the completion of the transaction, the executive vice president now owns 718,773 shares of the company’s stock, valued at $86,252,760. This represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In other news, EVP Christian Kleinerman sold 15,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 7th. The stock was sold at an average price of $120.00, for a total value of $1,800,000.00. Following the completion of the transaction, the executive vice president now owns 718,773 shares of the company’s stock, valued at $86,252,760. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director Frank Slootman sold 6,251 shares of the business’s stock in a transaction that occurred on Tuesday, September 17th. The stock was sold at an average price of $114.39, for a total transaction of $715,051.89. Following the sale, the director now directly owns 208,735 shares in the company, valued at $23,877,196.65. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 29,538 shares of company stock valued at $3,449,994 over the last ninety days. 7.80% of the stock is owned by corporate insiders.

Institutional Trading of Snowflake

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Comerica Bank lifted its stake in shares of Snowflake by 17.2% in the 1st quarter. Comerica Bank now owns 29,267 shares of the company’s stock valued at $4,729,000 after purchasing an additional 4,296 shares during the period. Choreo LLC lifted its stake in Snowflake by 18.6% in the first quarter. Choreo LLC now owns 8,267 shares of the company’s stock valued at $1,336,000 after buying an additional 1,294 shares during the period. DekaBank Deutsche Girozentrale boosted its holdings in shares of Snowflake by 23.4% during the 1st quarter. DekaBank Deutsche Girozentrale now owns 227,100 shares of the company’s stock worth $37,484,000 after buying an additional 43,062 shares in the last quarter. Ridgewood Investments LLC acquired a new stake in shares of Snowflake during the 1st quarter worth approximately $244,000. Finally, Cetera Investment Advisers increased its stake in shares of Snowflake by 201.5% in the 1st quarter. Cetera Investment Advisers now owns 63,688 shares of the company’s stock valued at $10,292,000 after acquiring an additional 42,563 shares in the last quarter. Institutional investors and hedge funds own 65.10% of the company’s stock.

Snowflake Company Profile

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.