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Snowflake Expands in Cloud Analytics: A Sign for More Upside?
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Key Takeaways
SNOW posted 30% YoY product revenue growth to $1.22B, driven by AI and analytics demand.
Snowflake Intelligence and Cortex Code saw rapid adoption across thousands of enterprise accounts.
SNOW faces rising competition from Oracle and Alphabet, expanding cloud analytics offerings.
Snowflake (SNOW - Free Report) is benefiting from its strong position as a leader in cloud-based data analytics and AI-driven solutions, which is driving robust growth. In the fourth quarter of fiscal 2026, Snowflake’s product revenues were $1.22 billion, which accounted for 96% of total revenues. The figure represents a year-over-year increase of 30%.
The company’s AI-driven products, particularly Snowflake Intelligence and Cortex Code, have been a major growth driver. In 2026, Snowflake Intelligence, which provides enterprise-grade agent capabilities, has been adopted by more than 2,500 accounts within just three months of its launch, nearly doubling quarter over quarter. Cortex Code, a transformational coding agent, has been embraced by more than 4,400 customers, enabling faster development and deployment of AI-powered applications.
SNOW’s expanding portfolio has been a major growth driver. The company recently introduced Project SnowWork, an autonomous enterprise AI platform that acts as a proactive AI partner for business users. It enables business users to securely plan and execute complex multi-step workflows, generate actionable insights and deliver end-to-end outcomes directly from governed enterprise data through conversational prompts.
Snowflake’s innovative portfolio is expected to drive the company’s top-line growth. For the first quarter of fiscal 2027, Snowflake expects product revenues in the range of $1.262-$1.267 billion. The projection range indicates year-over-year growth of 27%.
SNOW Suffers From Stiff Competition
Snowflake is facing stiff competition from major players such as Oracle (ORCL - Free Report) and Alphabet (GOOGL - Free Report) . Both Oracle and Alphabet are expanding their footprints in the cloud analytics space.
Alphabet is expanding its presence in the cloud analytics market with its cloud computing platform, Google Cloud’s BigQuery, a strong serverless data warehouse solution. Alphabet has been growing quickly in the booming cloud market. In the fourth quarter of 2025, Google Cloud revenues surged 47.8% year over year to $17.66 billion and accounted for 15.5% of the quarter’s total revenues.
Oracle’s cloud infrastructure business is experiencing remarkable expansion, with multi-cloud database services gaining significant traction across enterprise customers. The company’s cloud infrastructure revenues surged 84% in the third quarter of fiscal 2026, fueled by strong AI workload and multicloud demand, supported by strategic partnerships and competitive pricing that attract enterprise workload migrations.
SNOW’s Share Price Performance, Valuation and Estimates
Snowflake shares have lost 27.2% in the trailing six-month period, underperforming the broader Zacks Computer & Technology sector and the Internet Software industry’s decline of 1.6% and 24.4%, respectively.
SNOW Stock Performance
Image Source: Zacks Investment Research
Snowflake stock is trading at a premium, with a forward 12-month Price/Sales ratio of 9.07X compared with the Internet Software industry’s 3.83X. SNOW has a Value Score of F.
SNOW Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for SNOW’s fiscal 2027 earnings is pegged at $1.80 per share, which has increased 11.8% over the past 30 days. The figure indicates a 44% year-over-year increase.
View the Zacks #1 Rank List
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Snowflake Expands in Cloud Analytics: A Sign for More Upside?
Key Takeaways
Snowflake (SNOW - Free Report) is benefiting from its strong position as a leader in cloud-based data analytics and AI-driven solutions, which is driving robust growth. In the fourth quarter of fiscal 2026, Snowflake’s product revenues were $1.22 billion, which accounted for 96% of total revenues. The figure represents a year-over-year increase of 30%.
The company’s AI-driven products, particularly Snowflake Intelligence and Cortex Code, have been a major growth driver. In 2026, Snowflake Intelligence, which provides enterprise-grade agent capabilities, has been adopted by more than 2,500 accounts within just three months of its launch, nearly doubling quarter over quarter. Cortex Code, a transformational coding agent, has been embraced by more than 4,400 customers, enabling faster development and deployment of AI-powered applications.
SNOW’s expanding portfolio has been a major growth driver. The company recently introduced Project SnowWork, an autonomous enterprise AI platform that acts as a proactive AI partner for business users. It enables business users to securely plan and execute complex multi-step workflows, generate actionable insights and deliver end-to-end outcomes directly from governed enterprise data through conversational prompts.
Snowflake’s innovative portfolio is expected to drive the company’s top-line growth. For the first quarter of fiscal 2027, Snowflake expects product revenues in the range of $1.262-$1.267 billion. The projection range indicates year-over-year growth of 27%.
SNOW Suffers From Stiff Competition
Snowflake is facing stiff competition from major players such as Oracle (ORCL - Free Report) and Alphabet (GOOGL - Free Report) . Both Oracle and Alphabet are expanding their footprints in the cloud analytics space.
Alphabet is expanding its presence in the cloud analytics market with its cloud computing platform, Google Cloud’s BigQuery, a strong serverless data warehouse solution. Alphabet has been growing quickly in the booming cloud market. In the fourth quarter of 2025, Google Cloud revenues surged 47.8% year over year to $17.66 billion and accounted for 15.5% of the quarter’s total revenues.
Oracle’s cloud infrastructure business is experiencing remarkable expansion, with multi-cloud database services gaining significant traction across enterprise customers. The company’s cloud infrastructure revenues surged 84% in the third quarter of fiscal 2026, fueled by strong AI workload and multicloud demand, supported by strategic partnerships and competitive pricing that attract enterprise workload migrations.
SNOW’s Share Price Performance, Valuation and Estimates
Snowflake shares have lost 27.2% in the trailing six-month period, underperforming the broader Zacks Computer & Technology sector and the Internet Software industry’s decline of 1.6% and 24.4%, respectively.
SNOW Stock Performance
Image Source: Zacks Investment Research
Snowflake stock is trading at a premium, with a forward 12-month Price/Sales ratio of 9.07X compared with the Internet Software industry’s 3.83X. SNOW has a Value Score of F.
SNOW Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for SNOW’s fiscal 2027 earnings is pegged at $1.80 per share, which has increased 11.8% over the past 30 days. The figure indicates a 44% year-over-year increase.
Snowflake Inc. Price and Consensus
Snowflake Inc. price-consensus-chart | Snowflake Inc. Quote
Snowflake currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.