Snowflake: AI Evolution Overplayed
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Snowflake Inc.'s stock surged after FQ3 earnings but is considered overvalued due to limited AI revenue and slowing growth. The company targets 23% YoY growth in FQ4, with the stock rally driven by AI hype and multiple expansions.
November 27, 2024 | 1:15 am
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Snowflake's stock is considered overvalued despite a post-FQ3 earnings surge, driven by AI hype and multiple expansions. The company targets 23% YoY growth in FQ4, but limited AI revenue and decelerating growth raise concerns.
The article highlights that Snowflake's stock surge is based on AI hype rather than substantial AI revenue or growth. The company's limited AI revenue and decelerating growth suggest the stock is overvalued, likely leading to a short-term price decline.
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