May. 22, 2025 at 4:02 PM ET6 min read

Will Snowflake Stock Keep Soaring?

Tim BohenAvatar
Written by Tim Bohen
Reviewed by Ben Sturgill Fact-checked by Ellis Hobbs

Snowflake Inc. stocks have been trading up by 13.47 percent amid strong market sentiment following promising Q3 performance insights.

The Latest Highlights

  • A veteran from Dell Technologies, Bill Scannell, has joined Snowflake’s Board of Directors to bolster their growth in the AI Data Cloud domain.
  • Snowflake announced stellar results for the first quarter of fiscal 2026, showcasing a significant increase in product revenue as well as a stronger customer base.
  • The company’s Q1 results for 2025 blew past expectations, with earnings per share landing at 26 cents, surpassing the anticipated 21 cents, and a revenue of over $1 billion.
  • Price targets for Snowflake have been updated by Mizuho and Jefferies, both firms giving a boost based on strong software development and AI growth prospects.
  • With achieving better-than-expected earnings, Snowflake’s stock experienced a 6% surge, alongside an upward revision of its product revenue projection.

Candlestick Chart

Live Update At 16:02:24 EST: On Thursday, May 22, 2025 Snowflake Inc. stock [NYSE: SNOW] is trending up by 13.47%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

A Quick Overview of Snowflake’s Recent Earnings

In the vast sea of tech companies, Snowflake Inc. rapidly emerges as a key player, proudly reporting mighty numbers for its latest quarter. Their Q1 financials for fiscal 2026 seem to exude applause-worthy vigor with sparkling product revenue—like an artist on a red carpet receiving ovations from an eager crowd. It wasn’t just the numbers, but the novel steps towards strengthening ties with industry giants like Microsoft highlighted a burgeoning trust in its capabilities. For traders keen on understanding market dynamics, it’s important to heed the words of Tim Bohen, lead trainer with StocksToTrade, who says, “I focus on momentum that’s visible right now. Speculation on future moves is outside my playbook.” The announcement of $1.035B to $1.04B projected Q2 product revenue surpassed analyst expectations by a notable margin. The market appears optimistic, and the ripple effects are clear from Snowflake’s post-earnings share price jump to $190. Such momentum reflects the current enthusiasm surrounding Snowflake’s performance and strategic advances.

A sharp eye reveals a 26% year-over-year growth in product revenue, with remaining performance obligations hitting $6.7 billion. While earnings whispered to a $0.26 EPS, beating estimates handsomely, cash flow tales muttered something less melodic with a slightly conservative margin outlook. Yet, enthusiasts cheer on Snowflake, seeing their resilience in the financial coliseum, even when facing the labyrinth of AI uncertainty and competing gladiators.

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Their gross profit galas also unfold with a 66.5% margin, painting quite the picture of balance and tenacity, though not without a dance with negative profit margins.

Insights from Key Ratios and Market Dynamics

Peering through the looking glass of Snowflake’s financial metrics: a net income dip looked stark, but the overall image gains nuance with stellar revenue figures. Silence greets the price-to-earnings ratio as it stands mute, but evens out with buoyancy from observing a firm’s price-to-sales ratio at 16.5. Snowflake’s scorecard on financial health sings a song of competitive athletics with a leverage ratio leaning towards a balanced competition at 3. Meanwhile, revenue growth over five years carts up to 86.5%, illustrating Snowflake’s dynamic trajectory within its tech jungle.

Snowflake’s recent marketing emphasizes their beefing up business with colossal companies for critical services. However, some bumps appear on the AI road with Snowflake considering cautious optimism while competitors speed up.

Snowflake’s stock price jets through diverse market expectations, a promising 6% boost arriving on the heels of better-than-predicted earnings. With analysts resetting their price targets to loftier heights, spectators wonder if this trend is just an intermission before another act, or the climax of a growing narrative.

How News Impacts Snowflake

The intricate dance between Snowflake’s successes and market perceptions often feels like tracing a complex melody. Analysts’ upbeat projections now play to the ears of traders, reverberating enthusiasm as everything from the remarkable Q1 earnings sheet to promising future expectations takes center stage.

The table is set for Snowflake’s lofty projections, with expectations for robust future performance being vital notes in the company’s soaring symphony. New alliances with seasoned experts like Bill Scannell demonstrate an intentional groundwork for navigating growth in AI domains – a strategic move echoing an orchestra preparing for a pivotal crescendo in technological advancements. Yet challenges persist, as defenders of AI solutions grapple with hesitation around adoption timelines and consumer readiness.

As Snowflake navigates these complexities, confidence can be drawn from words of wisdom echoed by seasoned market figures. As Tim Bohen, lead trainer with StocksToTrade says, “Time and experience have taught me that missed opportunities are part of the game. There’s always another setup around the corner.”

With the stock inching upward, will there be more exhilarating periods ahead or is Snowflake scaling its zenith? It’s a tale of resilience, opportunities, and fortitude as seasoned experts cheer Snowflake’s gallant leap, while cautiously eyeing future hurdles. Only time will tell whether this ascent marks a narrative playing out with gusto or winding gently to a slower cadence.

This is stock news, not investment advice. StocksToTrade News delivers real-time stock market updates tailored to highlight the key catalysts driving short-term price movements. Our coverage is designed for active traders and investors who thrive in fast-moving markets, with a focus on volatile sectors like penny stocks, AI stocks, Robinhood stocks and other momentum plays. From earnings reports and FDA approvals to mergers, new contracts, and unusual trading volume, we break down the events that can spark significant price action.

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