Key Takeaways
- SNOW shares have surged 46% in 2026, currently trading between $319 and $331 ahead of Wednesday’s report
- Wall Street forecasts adjusted earnings of $0.45 per share and revenue reaching $1.48 billion for the second fiscal quarter
- Rosenblatt Securities boosted its target to $345; overall analyst consensus stands at “Moderate Buy” with a $333.08 average target
- Company insiders have divested more than 1.1 million shares totaling $321 million over the last three months
- Threats from Microsoft, Databricks, and emerging AI technologies present ongoing competitive challenges
The cloud data warehousing giant Snowflake (SNOW) has experienced a remarkable 2026 so far. Shares have climbed 46% year-to-date, hovering around $319, with a substantial portion of those gains materializing on May 28 following an impressive first fiscal quarter performance.
Market participants are now preparing for the next critical milestone. The company is scheduled to release its second fiscal quarter results Wednesday after market close, and anticipation is building.
Wall Street consensus calls for adjusted earnings of $0.45 per share, representing growth from $0.35 in the year-ago period. Revenue projections point to approximately 30% year-over-year expansion, reaching $1.48 billion, though this marks a modest deceleration from last quarter’s 33% growth rate.
Management’s forward guidance projected product revenue between $1.415 billion and $1.42 billion, accompanied by an adjusted operating margin target of 12.5%.
Wall Street Elevates Price Projections
Rosenblatt Securities increased its price objective on SNOW from $285 to $345 this Tuesday, reaffirming its Buy recommendation. This target suggests roughly 4% potential appreciation from Tuesday’s closing price.
Cantor Fitzgerald demonstrated even more optimism, pushing its target to $405 while keeping an Overweight stance. The firm anticipates product revenue will exceed company guidance by over 3%.
KeyBanc similarly maintained its Overweight rating while elevating its price target from $325 to $375. Across 34 analysts with buy ratings, the aggregate view reflects a “Moderate Buy” sentiment with an average price objective of $333.08.
UBS analyst Karl Keirstead maintains a Buy rating alongside a $425 target. His analysis highlights that Snowflake’s consumption-based revenue model provides better insulation from AI disruption compared to conventional seat-based software licensing.
Potential Headwinds Before the Report
Despite the positive momentum, several concerns warrant attention. At approximately $331, SNOW commands a valuation of roughly 16 times forward revenue, significantly exceeding the broader software ETF (IGV) multiple of 7.7 times. Keirstead cautioned that this premium valuation “leaves little room for error.”
Insider trading activity has tilted toward selling. During the past three months, company insiders have sold 1.16 million shares valued at approximately $321.7 million. EVP Christian Kleinerman disposed of 25,000 shares in August at $325 per share.
Short interest has also reached elevated levels. Near-record short positions indicate meaningful skepticism among certain market participants despite the stock’s strong 2026 performance.
Competitive dynamics present another consideration. Microsoft, privately-held Databricks, and AI models themselves are vying for the same enterprise data infrastructure budgets. Some respondents in KeyBanc’s surveys indicated plans to leverage large-language models to optimize and potentially decrease their Snowflake expenditures.
However, these optimization initiatives remain largely theoretical. Additionally, the fundamental premise that AI agents require robust data access could ultimately benefit Snowflake’s market position.
Historical volatility surrounding earnings suggests significant movement ahead. The stock has experienced a median swing of 14.1% in either direction following its previous eight quarterly reports. Options pricing indicates expectations for another substantial move this week.
Snowflake’s 12-month trading range spans from a low of $118.30 to a high of $341.95. The 50-day moving average currently sits at $289.86.
The company will announce results Wednesday afternoon.
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