Is Snowflake Stock a Buy Now?
Snowflake (NYSE: SNOW) started out its life as a public company with high ambitions and plenty of market enthusiasm. However, since late 2021, it has been a somewhat disappointing investment for long-term shareholders. Just in 2024, share prices of the cloud-based data platform provider are down 44% even as the Nasdaq-100 Technology Sector index gained 6%.
Snowflake has been a perennial underachiever and it has lost 56% of its value since it went public in September 2020. Judging by the market sentiment regarding the stock, it looks like there isn't going to be a reprieve for its investors anytime soon.
After the market closed on Aug. 21, the company released results for its fiscal 2025 second quarter, which ended July 31. In the next day's trading session, share prices of Snowflake fell by 15% even though its revenue increased at a faster-than-expected pace and its earnings landed ahead of Wall Street's expectations. It appears that concerns about the company's slowing growth as well as disappointing guidance led investors to press the panic button again.
Source Fool.com
