Snowflake stock surges 32.8% post Q3 earnings, beating estimates and expecting strong revenue growth.

From Nasdaq: 2024-11-26 11:33:00

Snowflake (SNOW) shares surged 32.8% after reporting impressive Q3 fiscal 2025 results, with non-GAAP earnings of 20 cents per share, beating estimates by 33.33%. Despite a 13.8% YTD dip, SNOW remains strong with new capabilities and partnerships with Microsoft and ServiceNow to improve data interoperability.

SNOW expects product revenues to grow 23% in Q4 and 29% for fiscal 2025, reaching $3.43 billion. The company’s strong portfolio, expanding partner base, and acquisitions like Datavolo position it for future growth. However, SNOW’s stretched valuation and modest growth prospects indicate a risky short-term investment.

Investors should consider SNOW’s valuable partnerships, strong portfolio, and positive guidance when deciding to buy, sell, or hold the stock. With a Zacks Rank #3 (Hold), waiting for a more favorable entry point may be wise. SNOW’s future growth prospects remain promising despite near-term uncertainties.



Read more at Nasdaq: Snowflake Rises Post Q3 Earnings: How Should You Play the Stock?