Snowflake Inc Ordinary Shares - Class A

SNOW: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$488.00	Ssj	Fqqhtmnph

Snowflake Earnings: Stable Buying Patterns With Consumption Trends Up; Shares Attractive

Julie Bhusal Sharma

Aug 22, 2024

We are maintaining our fair value estimate of $187 per share for no-moat Snowflake after it reported second-quarter earnings slightly above our expectations. It is showing all the right signs of healthy results in the near term and beyond. We were pleased that the firm signed two nine-figure deals in the quarter, indicating massive potential when other customers’ workloads go into production. In addition, we continue to believe there is ample upside from our $187 fair value estimate, given the early seedlings of a network effect that we see in Snowflake’s smaller data marketplace business.

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