Snowflake Inc. (SNOW) closed the most recent trading day at $178.83, moving -2.05% from the previous trading session. This move lagged the S&P 500's daily loss of 0.01%. On the other hand, the Dow registered a loss of 0.13%, and the technology-centric Nasdaq decreased by 0.16%.
Shares of the company have depreciated by 12.8% over the course of the past month, underperforming the Computer and Technology sector's loss of 1.54%, and the S&P 500's loss of 0.28%.
Analysts and investors alike will be keeping a close eye on the performance of Snowflake Inc. in its upcoming earnings disclosure. The company's earnings report is set to go public on February 25, 2026. The company is forecasted to report an EPS of $0.27, showcasing a 10% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $1.25 billion, indicating a 26.85% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.2 per share and a revenue of $4.65 billion, representing changes of +44.58% and +28.2%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Snowflake Inc. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.27% increase. Snowflake Inc. is currently sporting a Zacks Rank of #4 (Sell).
From a valuation perspective, Snowflake Inc. is currently exchanging hands at a Forward P/E ratio of 113.1. Its industry sports an average Forward P/E of 20.43, so one might conclude that Snowflake Inc. is trading at a premium comparatively.
We can additionally observe that SNOW currently boasts a PEG ratio of 3.23. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 1.13.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 139, putting it in the bottom 44% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Snowflake Inc. (SNOW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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