Snowflake stock down, slower growth expected, CEO change led to stock plunge, introduced new AI model.

From Nasdaq: 2024-04-30 16:17:08

Snowflake Ltd. (SNOW) is a data cloud company serving over 3,000 customers globally, worth $52 billion, and based in Montana. However, Snowflake stock is down 21% YTD and 34% from its 52-week high.

Snowflake reported strong 4Q results, with revenue of $774.7 million and a 32% YoY growth rate. However, its 1Q 2025 revenue outlook of $745 million to $750 million signifies slower growth. CEO change led to an 18% stock plunge.

Snowflake introduced its new AI model, “Snowflake Arctic,” designed for complex workloads with commercial usability. CEO Ramaswamy called it a “watershed moment,” with availability on various platforms. Snowflake Cortex offers temporary access to the model.

Snowflake’s CEO made a notable $5 million insider purchase, suggesting confidence in the company. Analysts rate SNOW stock as a “Moderate Buy,” with a mean price target of $205.76, indicating a 31.6% upside potential. Of the 41 analysts covering the stock, 25 rate it a “Strong Buy.”



Read more at Nasdaq: Is This Underperforming AI Software Stock a Buy on Its ‘Watershed Moment’?