Snowflake (SNOW) Stock Price

Financial Performance

Snowflake's recent financial performance shows mixed results. The company has seen an increase in revenue of 8.4% from the previous quarter and a year over year growth of 13.7%, indicating growing sales. Gross profit also increased by 9% from the last quarter and by a significant 16.2% YoY, showing improved cost efficiency in product/service delivery. However, operating income is down both quarterly (-3.1%) and yearly (-5.4%), suggesting increasing operational costs or decreasing pricing power.

The negative EBITDA ratio of -0.43 indicates that Snowflake is not currently generating positive earnings before interest, tax, depreciation, and amortization.

Stock Price

The stock price has been on a downward trend with a decrease of -3.7% in the last month and -15.6% YoY at $161.41 currently as compared to its 200-day moving average of $138.15 which could be concerning for investors looking for capital appreciation.

RSI (Relative Strength Index) value is at around mid-range (49.92), indicating neither overbought nor oversold conditions presently but leaning towards oversold territory.

Alternative Data Signals

The alternative data signals present some causes for concern: web traffic has decreased significantly both MoM (-13%) and YoY (-23%). This might suggest less interest or engagement with their platform.
However, job postings have increased by nearly 27% MoM but are down YoY (-12%), indicating that while there may be short-term expansion plans they may not be hiring as aggressively as they were previously.

Around three-quarters (75%) of employees report a positive business outlook, which is down by 6.3% both MoM and YoY. This suggests that while the majority of employees are optimistic about the company's future, there has been a slight decrease in morale.

On social media, Snowflake has seen significant growth in followers across all platforms (Twitter up 15%, Instagram up 101%, Facebook up 29%), suggesting an increasing brand awareness and engagement with their audience.

Conclusion

In conclusion, Snowflake's stock performance presents mixed signals. While there are positive indicators such as increased revenue and gross profit, negative factors such as declining operating income and web traffic may be cause for concern. The alternative data signals suggest a growing interest on social media but decreased employee morale and web traffic could be potential red flags.
Therefore, based on this analysis we would rate Snowflake's stock as neutral to slightly bearish.

Note: This AI Stock Analysis is based on data as of January 13. Our members can refresh and get access to an up-to-date AI stock analysis.

Sign up

Based on a combination of financial analysis, technical indicators, and insights from alternative data, we predict that the stock price of Snowflake (SNOW), currently trading at $225.3, will... Sign up to access price prediction.