In This Article:
Snowflake Inc. (SNOW) closed the latest trading day at $181.02, indicating a +0.27% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.73% for the day. Elsewhere, the Dow saw a downswing of 0.64%, while the tech-heavy Nasdaq appreciated by 1.61%.
Coming into today, shares of the company had gained 24.9% in the past month. In that same time, the Computer and Technology sector gained 11.93%, while the S&P 500 gained 9.07%.
Market participants will be closely following the financial results of Snowflake Inc. in its upcoming release. The company plans to announce its earnings on May 21, 2025. The company is expected to report EPS of $0.22, up 57.14% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1 billion, up 21.13% from the prior-year quarter.
SNOW's full-year Zacks Consensus Estimates are calling for earnings of $1.15 per share and revenue of $4.44 billion. These results would represent year-over-year changes of +38.55% and +22.47%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Snowflake Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.1% lower. At present, Snowflake Inc. boasts a Zacks Rank of #3 (Hold).
Investors should also note Snowflake Inc.'s current valuation metrics, including its Forward P/E ratio of 157.28. This valuation marks a premium compared to its industry's average Forward P/E of 29.19.
Investors should also note that SNOW has a PEG ratio of 12.21 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.16 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 36% of all 250+ industries.