Snowflake Inc (NYSE:SNOW) is one of several software companies facing market pressure heading into quarterly earnings.
Here are the earnings estimates, and what experts are saying ahead of the fourth-quarter (Q4) report, set for release on Wednesday after market close.
Snowflake Q4 Earnings Estimates
Analysts expect Snowflake to report Q4 revenue of $1.25 billion. That’s up from $986.8 million in last year's Q4, according to data from Benzinga Pro.
The company has beaten analyst revenue estimates for more than 15 straight quarters.
Analysts expect Snowflake to report a loss of 10 cents per share in the Q4, down from earnings of 30 cents per share in last year's Q4.
The company has beaten analyst estimates for earnings per share in six straight quarters and in nine of the last 10 quarters overall.
What Snowflake Experts and Analysts Are Saying Ahead of Q4
Freedom Capital Markets Chief Market Strategist Jay Woods said Snowflake shares have fallen as the software sector gets hit, giving the company a chance to answer questions from skeptics after earnings.
"The stock has dropped precipitously with the majority of its software peers as the AI disruption fear trade continues to wreak havoc on the sector," Woods said in a weekly newsletter.
Woods said Snowflake shares traded higher after four of the last five quarterly results, with the third quarter ending a four-quarter winning streak with shares down 11.4%. The stock averages a move of +/- 11% after earnings, according to Woods.
The market expert said Snowflake stock is in a downtrend with momentum favoring the bears. Woods sees technical resistance at $190.
"Given the sector weakness, rallies should be treated as relief in nature and opportunities to sell."
Here are recent analyst ratings on Snowflake and their price targets:
- Stifel: Maintained Buy rating, lowered price target from $280 to $225
- BTIG: Maintained Buy rating, lowered price target from $312 to $235
- TD Cowen: Maintained Buy rating, lowered price target from $300 to $270
- KeyBanc: Maintained Overweight rating, lowered price target from $285 to $235
- Citigroup: Maintained Buy rating, lowered price target from $300 to $270
Key Items to Watch in Snowflake Q4 Results
Snowflake's report comes with pressure on the software sector. Among the risks being highlighted against Snowflake are its per-seat pricing model that could be disrupted with AI agents being able to do the work of more people and company's needing to pay for less per-seat subscriptions with various companies.
Snowflake's net revenue retention rate was 125% in Q3, and that figure could be a key to watch as the company looks to replace lost revenue and grow revenue.
The company's remaining performance obligations stood at $7.88 billion at the end of the third quarter. This could be another key area to watch.
Snowflake also had 688 customers with trailing twelve-month product revenue exceeding $1 million. That figure could be a key to watch as the company seeks to grow recurring revenue and add higher-revenue-driving clients.
The company announced a new partnership with OpenAI recently that will see OpenAI models natively available to Snowflake global customers. This could be a key topic covered during the earnings report and conference call.
Snowflake could also highlight new AI tools for enterprise clients rolled out this month.
With pressure on the software sector, Snowflake may need to beat analyst estimates for revenue and earnings per share and provide guidance that comes in ahead of estimates for shares to gain or stay where they are. Any sign of weakness in guidance or customer retention could see more pressure on the stock.
Snowflake Stock Price Action
The company’s stock price is up 1.9% to $160.63 on Tuesday, within its 52-week trading range of $120.10 to $280.67. Snowflake shares are down 26% year-to-date in 2026.
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