Categories: Invest

Snowflake shares are up 15% after-hours: what happened?

Snowflake Inc (NYSE: SNOW) shares jumped nearly 15% in extended trading on revenue that more than doubled in Q3 and expectations that it will double again in the current quarter.

Key takeaways in the Q3 report

Snowflake reported $334.4 million in revenue for the third quarter versus the year-ago figure of $160 million. But its quarterly loss still ballooned 51 cents a share from last year’s 28 cents a share.


Are you looking for fast-news, hot-tips and market analysis?

Sign-up for the Invezz newsletter, today.

The cloud-based data warehousing company said its product revenue stood at $312.5 million, with professional services accounting for the rest. According to FactSet, experts had forecast $284 million product sales for total revenue of $306 million but a much narrower 6 cents of per-share loss.

Other notable figures include $1.8 billion in remaining performance obligation, representing a 94% annualised increase – roughly in line with what experts anticipated. Net revenue-retention rate printed at 173%.

Snowflake now has 5,416 customers versus 3,554 in the same quarter of fiscal 2021. 148 of these, the NYSE-listed company revealed, spent over $1.0 million in the trailing twelve months.

Guidance for the future

For the fiscal fourth quarter, Snowflake forecasts up to $350 million in product revenue. Analysts, in comparison, were calling for $316 million. The U.S. company raised its sales guidance for the full year to $1.13 billion.

In the earnings press release, CEO Frank Slootman said:

Snowflake saw momentum accelerate in Q3, with product revenue up 110%. Continued international expansion resulted in product revenue from the EMEA and APJ regions up 174% and 219%, respectively. Our vertical industry focus is an important evolution of our selling motion, and Snowflake continues to see broad industry adoption.

The stock had closed the regular session down nearly 9.0% on Wednesday. While it’s still down over 10% from its year-to-date high of $402 on November 16th, Credit Suisse has a price target of $455 on Snowflake that represents another 30% upside from here.

Invest in crypto, stocks, ETFs & more in minutes with our preferred broker,

eToro






10/10

67% of retail CFD accounts lose money

admin

Share
Published by
admin

Recent Posts

Is there a way for the crypto sector to avoid Bitcoin’s halving-related bear markets?

There is good reason to be afraid. Previous down markets have seen declines in excess…

2 years ago

UPS and FedEx are good dividend stocks, but which should you take?

United Parcel Service, Inc. (NYSE:UPS) and FedEx Corporation (NYSE:FDX) are two robust logistics companies. Both…

2 years ago

Bitfarms sold 3K Bitcoin as part of strategy to improve liquidity and pay debts

Canadian crypto mining firm Bitfarms sold roughly $62 million worth of Bitcoin (BTC) in June,…

2 years ago

This biotech stock is up 100% on Tuesday: here’s the catalyst

Invezz does not provide financial advice. Our aim is to simplify information about investing, enabling…

2 years ago

Japanese film studio announces the production of a series based on crypto

Noma, a Japanese film studio, has announced that it is producing three feature films that…

2 years ago

Bitcoin price taps 5-day highs as Shiba Inu leads altcoin gains

Bitcoin (BTC) saw continued strength on June 21 as Wall Street trading opened with a…

2 years ago