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Snowflake Inc. (SNOW) Advances While Market Declines: Some Information for Investors

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Snowflake Inc. (SNOW - Free Report) closed the latest trading day at $188.12, indicating a +0.05% change from the previous session's end. This change outpaced the S&P 500's 0.56% loss on the day. Meanwhile, the Dow experienced a drop of 0.25%, and the technology-dominated Nasdaq saw a decrease of 0.59%.

Prior to today's trading, shares of the company had lost 5.53% over the past month. This has lagged the Computer and Technology sector's gain of 1.27% and the S&P 500's gain of 1.2% in that time.

Investors will be eagerly watching for the performance of Snowflake Inc. in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.17, indicating a 21.43% growth compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $757.98 million, reflecting a 28.69% rise from the equivalent quarter last year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.79 per share and revenue of $2.79 billion, indicating changes of +216% and +35.05%, respectively, compared to the previous year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Snowflake Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, Snowflake Inc. boasts a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Snowflake Inc. has a Forward P/E ratio of 238.93 right now. This signifies a premium in comparison to the average Forward P/E of 33.93 for its industry.

The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 49, finds itself in the top 20% echelons of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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