Snowflake Inc.

DB:5Q5 Stock Report

Market Cap: €53.9b

Snowflake Valuation

Is 5Q5 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 5Q5 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 5Q5 (€160.44) is trading below our estimate of fair value (€274.06)

Significantly Below Fair Value: 5Q5 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 5Q5?

Key metric: As 5Q5 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 5Q5. This is calculated by dividing 5Q5's market cap by their current revenue.
What is 5Q5's PS Ratio?
PS Ratio16.4x
SalesUS$3.41b
Market CapUS$56.13b

Price to Sales Ratio vs Peers

How does 5Q5's PS Ratio compare to its peers?

The above table shows the PS ratio for 5Q5 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average11.3x
IOS IONOS Group
2.1x8.3%€3.2b
NEM Nemetschek
12.5x14.1%€11.5b
NET Cloudflare
22.8x19.9%US$35.8b
SAP SAP
7.9x10.3%€262.8b
5Q5 Snowflake
16.4x18.5%€56.1b

Price-To-Sales vs Peers: 5Q5 is expensive based on its Price-To-Sales Ratio (16.4x) compared to the peer average (11.3x).

Price to Sales Ratio vs Industry

How does 5Q5's PS Ratio compare vs other companies in the DE IT Industry?

1 CompanyPrice / SalesEstimated GrowthMarket Cap
ASKN asknet Solutions
0.01x20.1%US$984.32k
No more companies available in this PS range
5Q5 16.4xIndustry Avg. 0.7xNo. of Companies6PS00.61.21.82.43+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 5Q5 is expensive based on its Price-To-Sales Ratio (16.4x) compared to the German IT industry average (0.7x).

Price to Sales Ratio vs Fair Ratio

What is 5Q5's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

5Q5 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio16.4x
Fair PS Ratio15.4x

Price-To-Sales vs Fair Ratio: 5Q5 is expensive based on its Price-To-Sales Ratio (16.4x) compared to the estimated Fair Price-To-Sales Ratio (15.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 5Q5 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€160.44
€172.48
+7.5%
12.3%€216.07€110.43n/a39
Nov ’25€108.14
€154.38
+42.8%
15.0%€203.17€96.97n/a37
Oct ’25€100.00
€149.82
+49.8%
14.7%€196.86€93.95n/a37
Sep ’25€102.22
€149.74
+46.5%
14.1%€196.57€93.82n/a37
Aug ’25€113.00
€177.00
+56.6%
14.6%€217.76€96.88n/a37
Jul ’25€132.74
€183.99
+38.6%
12.9%€224.71€117.04n/a37
Jun ’25€124.78
€188.45
+51.0%
11.3%€221.21€115.21n/a38
May ’25€147.06
€192.91
+31.2%
12.6%€229.27€116.50n/a40
Apr ’25€150.20
€191.63
+27.6%
12.6%€227.13€115.41n/a39
Mar ’25€173.20
€191.35
+10.5%
14.3%€267.61€110.74n/a40
Feb ’25€182.00
€202.33
+11.2%
29.9%€552.00€110.40n/a41
Jan ’25€181.40
€198.29
+9.3%
30.2%€548.64€109.73n/a41
Dec ’24€170.00
€197.22
+16.0%
30.9%€551.70€110.34n/a41
Nov ’24€137.20
€187.07
+36.3%
34.3%€566.52€99.14€108.1441
Oct ’24€143.00
€185.73
+29.9%
34.7%€561.54€98.27€100.0040
Sep ’24€146.80
€183.44
+25.0%
35.1%€555.18€97.16€102.2239
Aug ’24€161.40
€180.22
+11.7%
34.9%€545.64€95.49€113.0040
Jul ’24€163.60
€174.98
+7.0%
30.2%€458.20€96.22€132.7438
Jun ’24€152.60
€168.78
+10.6%
31.9%€466.05€97.87€124.7838
May ’24€130.00
€167.33
+28.7%
33.2%€453.75€95.29€147.0636
Apr ’24€137.86
€166.94
+21.1%
33.9%€460.95€96.80€150.2038
Mar ’24€145.72
€176.67
+21.2%
33.8%€473.95€99.53€173.2039
Feb ’24€140.26
€170.68
+21.7%
33.8%€460.15€96.63€182.0039
Jan ’24€131.00
€179.35
+36.9%
32.3%€468.00€98.28€181.4036
Dec ’23€142.64
€187.64
+31.5%
31.2%€475.00€99.75€170.0035
Nov ’23€165.28
€220.98
+33.7%
27.9%€511.05€127.76€137.2035

Analyst Forecast: Target price is less than 20% higher than the current share price.

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