Snowflake Gets Hit With Sell Rating After Spectacular Debut
Snowflake (NYSE: SNOW) had a rather impressive debut last week following the cloud-based data warehousing company's IPO. After the offering priced at $120, the stock opened the following day at $245 and proceeded to soar as high as $319 before pulling back. The investor enthusiasm is palpable, and the gains were primarily driven by retail investors as opposed to institutional players, according to Axios.
Snowflake announced on Friday that underwriters had exercised their greenshoe option in full, purchasing another 4.2 million shares to satisfy overwhelming investor demand. However, Snowflake is now fetching an insanely premium valuation that is well above any enterprise tech peers, which has already earned the stock its first sell rating.
Less than a week after going public, Snowflake is getting its first sell rating. Image source: Getty Images.
Source Fool.com
