What's Going On With Snowflake Stock? (UPDATED)
Portfolio Pulse from Erica Kollmann
Snowflake Inc. (NYSE:SNOW) shares are trading lower due to a reported data breach and mixed first-quarter results. The company beat revenue estimates but missed earnings expectations and lowered its margin forecasts due to AI infrastructure expenses. Despite this, Snowflake projects strong product revenue growth for the second quarter and full year. Analysts have mixed ratings, with an average 12-month price target suggesting potential upside.
May 31, 2024 | 6:01 pm
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Snowflake shares are down due to a reported data breach and mixed Q1 results. The company beat revenue estimates but missed earnings expectations and lowered its margin forecasts due to AI infrastructure expenses. Despite this, Snowflake projects strong product revenue growth for the second quarter and full year.
The data breach report and mixed Q1 results, including missed earnings and lowered margin forecasts, are likely to negatively impact Snowflake's stock in the short term. However, strong revenue growth projections and analyst price targets suggest potential for recovery.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100