PREVIEW: Snowflake falls ahead of report, AI adoption in focus

Snowflake

02/09/2026 17:17

** Shares of cloud firm Snowflake SNOW.N falling 4.4% to $305.83 on Weds ahead of qtrly report due after market close, with investors watching for continued momentum in AI-driven revenue
** Analysts expect Q2 rev to rise ~29% yr/yr to $1.48 bln and adj EPS of $0.45, up from $0.35 a yr ago, per LSEG
** On May 28, SNOW shares surged ~36% after co raised its annual product rev forecast and signed $6 bln deal with Amazon Web Services AMZN.O amid strong enterprise AI adoption
** Rosenblatt, which has a 'buy' rating on the stock, hiked its PT from $285 to $345 on Tues
** "We continue to see Snowflake as having a significant medium-term growth opportunity driven by ongoing data warehouse migration to the Snowflake platform and the utilization of the new AI capabilities of its data-native coding agent CoCo," Rosenblatt wrote in note to clients
** With the decline, stock up ~40% YTD. That compares to nearly 3% decline in the iShares Expanded Tech-Software Sector ETF IGV.P in 2026
** Of 52 brokerages covering SNOW, recommendation breakdown is 46 "strong buy" or "buy", 5 "hold" and 1 "sell"; median PT of $331 up from $300 a month ago

(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@tr.com 1-646-279-6380))