Citizens JMP raises Snowflake stock target to $201

On Thursday, Citizens JMP analyst Joe Goodwin updated his outlook on Snowflake Inc . (NYSE: NYSE:SNOW), raising the price target to $201 from $190, while reiterating a Market Outperform rating. Currently trading at $166.19, Snowflake’s stock has seen a significant 43.8% gain over the past six months, despite a recent 10% pullback. According to InvestingPro data, analyst targets range from $115 to $235, reflecting mixed sentiment about the company’s prospects. Goodwin’s optimism is fueled by several factors he believes are pivotal to the company’s success.

Goodwin highlighted Snowflake’s product differentiation under the guidance of CEO Frank Slootman and CFO Mike Scarpelli. He noted the company’s focus on ease of use and cost-effectiveness, paired with an emphasis on product cohesion. Under their leadership, Snowflake has doubled its product capabilities, introducing 400 new features in the past year. This innovation has contributed to impressive revenue growth of 30.3% in the last twelve months, with analysts forecasting 28% growth for the coming year.

The company’s rapid innovation pace is seen as a key driver for its future growth. Goodwin pointed out that Snowflake is tapping into a massive market opportunity, which is projected to grow from $152 billion in 2023 to $342 billion in 2028. He believes this space is ample for Snowflake and its peers, like Databricks, to thrive.

Another significant factor contributing to Snowflake’s positive assessment is its flourishing partner ecosystem. The company has witnessed a 26% year-over-year increase in marketplace listings, now exceeding 3,000. Additionally, Snowflake has strengthened its collaboration with Microsoft (NASDAQ:MSFT), integrating OpenAI directly into its Snowflake Cortex offering.

Goodwin also praised the combination of Slootman’s leadership and technological expertise with Scarpelli’s operational and financial acumen. This blend of skills is seen as a cornerstone for the company’s ongoing success and market performance.

In other recent news, Snowflake Inc. has reported its fourth-quarter earnings, surpassing expectations with a 28% year-over-year increase in product revenue. The company also reported a $35 million top-line beat against mid-point guidance, indicating strong financial performance. Analysts have responded positively to these results, with Raymond (NSE:RYMD) James raising the stock target to $196 and Cantor Fitzgerald increasing it to $228, both maintaining favorable ratings on the stock. Piper Sandler and Jefferies also adjusted their price targets to $215 and $220, respectively, while retaining their positive outlooks.

Cantor Fitzgerald highlighted Snowflake’s most significant fourth-quarter beat in three years, attributing it to consistent consumption trends and contributions from its developer framework, Snowpark. Piper Sandler noted the robust demand environment and the growth of new products like Snowpark, which contributed significantly to product sales. Jefferies emphasized Snowflake’s 24% year-over-year revenue growth forecast for fiscal year 2026, underscoring the company’s potential in the AI sector.

Canaccord Genuity maintained a Buy rating with a $220 price target, acknowledging Snowflake’s strong performance across key metrics and a slight dip in Net Revenue Retention. Additionally, Snowflake announced the upcoming retirement of CFO Michael Scarpelli, who will stay in his role until a successor is found, ensuring a smooth transition. These developments indicate a positive outlook for Snowflake, with multiple analyst firms expressing confidence in the company’s growth trajectory.

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