If You Invested $10,000 in Snowflake in 2020, This Is How Much You Would Have Today
Don't let the frosty name fool you -- Snowflake (NYSE: SNOW) has been a hot growth stock lately. Shares of the cloud services company leapt higher following the release of its latest quarterly results on Aug. 24. The results indicated a still-blistering rate of revenue growth, which should continue at a high-double-digit clip.
But one quarter does not a stock make, and in fact, Snowflake's share price has melted since the company's splashy late-2020 initial public offering (IPO). If you'd put $10,000 into shares at its opening price, you'd have quite a bit less than that now. Let's explore the dynamic behind that decline and figure out whether the stock is a buy.
Snowflake has the distinction of being the largest software industry IPO in history. In coming to the stock market -- which included a $250 million IPO buy-in from none other than the once-tech-averse Warren Buffett, via his investment vehicle Berkshire Hathaway -- the company raised a staggering $4 billion.
Source Fool.com
