Should You Buy Snowflake Inc (SNOW) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
212.750
1 Day change
0.70%
52 Week Range
280.670
Analysis Updated At
2026/01/26
Snowflake Inc. (SNOW) is not a strong buy for a beginner, long-term investor at this moment. While the company has strong growth potential and positive analyst sentiment, the current technical indicators, financial performance, and lack of strong trading signals suggest a hold position until a better entry point arises.
Technical Analysis
The MACD histogram is negative and contracting (-0.279), indicating bearish momentum. RSI is neutral at 42.536, and moving averages are converging, showing no clear trend. The stock is trading below the pivot level of 213.889, with key support at 205.237 and resistance at 222.541. These indicators suggest a lack of strong upward momentum in the short term.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
The put-call ratios indicate a slightly bullish sentiment, with more call options being traded relative to puts. However, implied volatility is high (59.93), suggesting uncertainty in price movement.
Moving Average Consensus
Sell
6
Buy
4
Positive Catalysts
2026/01/26 05:28:35
Analysts have recently upgraded the stock, with Argus upgrading to Buy and setting a $300 price target, citing strong revenue growth and expanding margins.
The company is well-positioned to benefit from AI-related growth trends and enterprise adoption of data solutions.
Gross margin has improved to 67.77%, indicating operational efficiency.
Neutral/Negative Catalysts
2026/01/26 05:28:35
The stock is down -0.62% in pre-market trading, and technical indicators do not show strong upward momentum.
Financial performance in Q3 showed a decline in net income (-9.35% YoY) and EPS (-11.22% YoY), reflecting profitability challenges.
Competitive pressures from other database vendors and inconsistent revenue growth due to the consumption-based model remain concerns.
Financial Performance
In Q3 2026, revenue grew by 28.75% YoY to $1.21 billion, but net income dropped by -9.35% YoY to -$293.96 million, and EPS fell by -11.22% YoY to -0.87. Gross margin improved to 67.77%, up 2.78% YoY, indicating better cost management despite profitability challenges.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Analysts are generally positive on Snowflake. Recent upgrades include Argus to Buy with a $300 price target and Morgan Stanley raising its target to $299. Analysts highlight Snowflake's strong growth potential in AI and data solutions, though some note slower product revenue growth and competitive pressures.
Wall Street analysts forecast SNOW stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SNOW is 285.29 USD with a low forecast of 237 USD and a high forecast of 325 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
34 Analyst Rating
Wall Street analysts forecast SNOW stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SNOW is 285.29 USD with a low forecast of 237 USD and a high forecast of 325 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
32 Buy
2 Hold
0 Sell
Strong Buy
Current: 211.270
Low
237
Averages
285.29
High
325
Current: 211.270
Low
237
Averages
285.29
High
325
Argus
Hold
to
Buy
upgrade
AI Analysis
2026-01-08
Reason
Argus
Price Target
AI Analysis
2026-01-08
upgrade
Hold
to
Buy
Reason
Argus upgraded Snowflake to Buy from Hold.
Argus
Hold
to
Buy
upgrade
$300
2026-01-08
Reason
Argus
Price Target
$300
2026-01-08
upgrade
Hold
to
Buy
Reason
As previously reported, Argus upgraded Snowflake to Buy from Hold with a $300 price target. The firm sees a "good entry point for investors" after the market took shares down a notch following a disappointing Q3 report, the analyst stated. While acknowledging that Snowflake's consumption-based revenue model may lead to some inconsistent results from time to time, the firm highlights that the company continues to grow revenue near management's "north star" target of 30%, which it notes is much faster than most companies in the IT space, "let alone the market as a whole," while margins are also expanding.
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