Snowflake Stock Soars After Smashing Billion Revenue Milestone and Boosted Analyst Price Targets

Snowflake $SNOW stock is on fire jumping 11.1% after the company posted blowout Q1 earnings that blew past Wall Street expectations. The cloud data storage leader just hit a major milestone: surpassing $1 billion in quarterly revenue for the first time in its history, solidifying its position as a top-tier tech player in the competitive cloud computing market.

The company reported adjusted earnings of $0.24 per share, outpacing analyst estimates of $0.20. Total revenue hit $1.04 billion, exceeding the expected $1.00 billion. Even more impressive was Snowflake’s product revenue, which surged 26% year-over-year to $996.8 million, easily beating Wall Street’s $962 million forecast. This growth reflects increased usage of Snowflake’s compute, storage, and data transfer services by enterprise clients.

Strong Outlook for Q2 and FY2025

Looking ahead, Snowflake projects Q2 product revenue between $1.035 billion and $1.04 billion, well above the $1.02 billion consensus. For the full fiscal year, the company expects to bring in $4.33 billion, surpassing analyst expectations of $4.28 billion. These strong forecasts point to continued momentum and robust demand across Snowflake’s platform.

The stellar performance and optimistic guidance led to a flurry of analyst upgrades:

Joel Fishbein of Truist Securities raised his price target from $210 to $235, maintaining a Buy rating, citing “strong execution and increased guidance to kick off the fiscal year.”

Thomas Blakey of Cantor Fitzgerald was even more bullish, lifting his target from $183 to $242.

Out of 49 analysts covering the stock, 39 recommend a Buy, while 10 suggest holding, with an average price target of $218.17.

Snowflake’s stock is now up 27% year-to-date, dramatically outperforming the S&P 500, which has slipped 0.6% in the same period. Investors see the company as a key beneficiary of the AI-driven wave of enterprise digital transformation, with growing demand for scalable, cloud-based data infrastructure.

CEO Mike Scarpelli reassured investors that the company has not seen any negative impact from geopolitical tensions or recent tariffs imposed by President Trump. He noted that if there were an impact, it would be reflected in a slowdown in customer growth which hasn't occurred. This reinforces that demand for Snowflake’s services remains strong and stable, even amid macroeconomic uncertainty.

Snowflake currently trades at a market cap of $66.8 billion, with shares climbing 29% year-to-date and 22% over the past 12 months.

SNOW Stock Analysis

Total Score

 

 

score

4.14

 

Strong Sell

Hold

Strong Buy

 

 

Risk Level

 

LOW

HIGH

 

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