Reported 11 months ago
Despite a 48% decline in Snowflake's stock price, driven by issues like management changes and competition, savvy investors may find an opportunity due to the company's positive Q1 results and raised revenue guidance. Snowflake's growing product revenue, expansion in total addressable market with AI products like Cortex AI and Document AI, increasing customer base, and potential for future revenue growth make it an attractive investment. Although Snowflake's margins might be impacted by investments in AI initiatives, the current valuation with a price-to-sales ratio of 14 presents an appealing entry point, with analysts predicting a 60% upside potential. Therefore, considering Snowflake's long-term growth prospects, it could be a promising investment choice.
Source: YAHOO