Snowflake (SNOW) Slashes 11% Despite Impressive Q3. Here's Why

We recently published 10 Stocks Losing Their Fire. Snowflake Inc. (NYSE:SNOW) is one of the worst performers on Thursday.

Snowflake snapped a four-day winning streak on Thursday, losing 11.41 percent to close at $234.77 apiece as investors resorted to profit-taking while already pricing in a strong earnings performance in the third quarter of fiscal year 2026.

In an updated report on Wednesday, Snowflake Inc. (NYSE:SNOW) said that it narrowed its net loss by 9.3 percent to $293.9 million from $324.2 million in the same period last year.

Revenues, on the other hand, surged by 29 percent to $1.2 billion from $942 million year-on-year, primarily driven by a 29 percent growth in product revenues.

“Snowflake is the cornerstone for our customers’ data and AI strategies, driving real business impact at scale,” said Snowflake Inc. (NYSE:SNOW) CEO Sridhar Ramaswamy.

“Snowflake Intelligence, our enterprise AI agent, saw the fastest adoption ramp in Snowflake history and is transforming how businesses interact with their data, delivering real-time, actionable intelligence. Combined with our strategic partnerships with the world’s leading AI model providers, clouds, and application platforms, Snowflake is supercharging the entire data lifecycle with AI-driven capabilities,” he added.

Encouraged by the results, Snowflake Inc. (NYSE:SNOW) said it expects the product revenues to jump by 27 percent to a range of $1.195 billion to $1.2 billion in the fourth quarter of the year.

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Disclosure: None. This article is originally published at Insider Monkey.