company background image
SNOW

Snowflake NYSE:SNOW Stock Report

Last Price

US$148.15

Market Cap

US$47.1b

7D

24.1%

1Y

-40.2%

Updated

27 Jun, 2022

Data

Company Financials +
SNOW fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance0/6
Financial Health6/6
Dividends0/6

SNOW Stock Overview

Snowflake Inc. provides a cloud-based data platform in the United States and internationally.

Snowflake Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Snowflake
Historical stock prices
Current Share PriceUS$148.15
52 Week HighUS$405.00
52 Week LowUS$110.27
Beta0
1 Month Change14.04%
3 Month Change-38.19%
1 Year Change-40.18%
3 Year Changen/a
5 Year Changen/a
Change since IPO-41.66%

Recent News & Updates

Jun 13

Snowflake: Rapid Growth Doesn't Cut It Just Yet

Snowflake continues to grow at a rapid pace and, more importantly, the business is now generating positive cash flows and EBITDA. This trend looks set to continue and will likely allow bottom line performance to improve drastically. However, even this rapid growth makes justifying the company's current share price difficult. Eventually, the company will grow into its valuation, but this could take a good deal of time.

Shareholder Returns

SNOWUS ITUS Market
7D24.1%7.8%6.3%
1Y-40.2%-32.5%-18.8%

Return vs Industry: SNOW underperformed the US IT industry which returned -32% over the past year.

Return vs Market: SNOW underperformed the US Market which returned -18.4% over the past year.

Price Volatility

Is SNOW's price volatile compared to industry and market?
SNOW volatility
SNOW Average Weekly Movement12.2%
IT Industry Average Movement10.2%
Market Average Movement8.1%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market3.2%

Stable Share Price: SNOW is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: SNOW's weekly volatility (12%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20124,559Frank Slootmanhttps://www.snowflake.com

Snowflake Inc. provides a cloud-based data platform in the United States and internationally. The company’s platform offers Data Cloud, which enables customers to consolidate data into a single source of truth to drive meaningful business insights, build data-driven applications, and share data. Its platform is used by various organizations of sizes in a range of industries.

Snowflake Fundamentals Summary

How do Snowflake's earnings and revenue compare to its market cap?
SNOW fundamental statistics
Market CapUS$47.12b
Earnings (TTM)-US$642.52m
Revenue (TTM)US$1.41b

33.4x

P/S Ratio

-73.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SNOW income statement (TTM)
RevenueUS$1.41b
Cost of RevenueUS$509.02m
Gross ProfitUS$903.77m
Other ExpensesUS$1.55b
Earnings-US$642.52m

Last Reported Earnings

Apr 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-2.02
Gross Margin63.97%
Net Profit Margin-45.48%
Debt/Equity Ratio0%

How did SNOW perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

SNOW key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue29.9x
Enterprise Value/EBITDA-63.2x
PEG Ration/a

Price to Sales Ratio vs Peers

How does SNOW's PS Ratio compare to its peers?

SNOW PS Ratio vs Peers
The above table shows the PS ratio for SNOW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average13.2x
NET Cloudflare
22x29.4%US$16.1b
TWLO Twilio
5.6x22.5%US$17.7b
AKAM Akamai Technologies
4.3x9.3%US$15.2b
MDB MongoDB
20.8x24.9%US$20.4b
SNOW Snowflake
33.4x35.3%US$47.1b

Price-To-Sales vs Peers: SNOW is expensive based on its Price-To-Sales Ratio (33.4x) compared to the peer average (13.2x).


Price to Earnings Ratio vs Industry

How does SNOW's PE Ratio compare vs other companies in the US IT Industry?

Price-To-Sales vs Industry: SNOW is expensive based on its Price-To-Sales Ratio (33.4x) compared to the US IT industry average (2.5x)


Price to Sales Ratio vs Fair Ratio

What is SNOW'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.

SNOW PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio33.4x
Fair PS Ratio22x

Price-To-Sales vs Fair Ratio: SNOW is expensive based on its Price-To-Sales Ratio (33.4x) compared to the estimated Fair Price-To-Sales Ratio (22x).


Share Price vs Fair Value

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

Below Fair Value: SNOW ($148.15) is trading below our estimate of fair value ($248.15)

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


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SNOW's PEG Ratio to determine if it is good value.


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Future Growth

How is Snowflake forecast to perform in the next 1 to 3 years based on estimates from 30 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


25.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNOW is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: SNOW is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: SNOW is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: SNOW's revenue (35.3% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: SNOW's revenue (35.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SNOW is forecast to be unprofitable in 3 years.


Discover growth companies

Past Performance

How has Snowflake performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-36.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SNOW is currently unprofitable.

Growing Profit Margin: SNOW is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SNOW is unprofitable, and losses have increased over the past 5 years at a rate of 36.1% per year.

Accelerating Growth: Unable to compare SNOW's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SNOW is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (21.4%).


Return on Equity

High ROE: SNOW has a negative Return on Equity (-11.77%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Snowflake's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: SNOW's short term assets ($4.3B) exceed its short term liabilities ($1.4B).

Long Term Liabilities: SNOW's short term assets ($4.3B) exceed its long term liabilities ($201.0M).


Debt to Equity History and Analysis

Debt Level: SNOW is debt free.

Reducing Debt: SNOW has not had any debt for past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable SNOW has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: SNOW is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 89.6% per year.


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Dividend

What is Snowflake current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate SNOW's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SNOW's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SNOW's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SNOW's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as SNOW has not reported any payouts.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

3.5yrs

Average management tenure


CEO

Frank Slootman (62 yo)

3.17yrs

Tenure

US$775,196

Compensation

Mr. Frank Slootman serves as Member of Advisory Board at Lacework, Inc. He serves as Director of Maplebear Inc. (alternate name: Instacart) since March 2021. He has been Chief Executive Officer of Snowflak...


CEO Compensation Analysis

Compensation vs Market: Frank's total compensation ($USD775.20K) is below average for companies of similar size in the US market ($USD13.43M).

Compensation vs Earnings: Frank's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: SNOW's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: SNOW's board of directors are considered experienced (3.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 7.4%.


Top Shareholders

Company Information

Snowflake Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Snowflake Inc.
  • Ticker: SNOW
  • Exchange: NYSE
  • Founded: 2012
  • Industry: Internet Services and Infrastructure
  • Sector: Software
  • Implied Market Cap: US$47.124b
  • Shares outstanding: 318.08m
  • Website: https://www.snowflake.com

Number of Employees


Location

  • Snowflake Inc.
  • 106 East Babcock Street
  • Suite 3A
  • Bozeman
  • Montana
  • 59715
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/04/30
Annual Earnings2022/01/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.