Snowflake (SNOW) Stock Analysis
This is a peer-relative look at Snowflake (SNOW): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Software & Services peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | SNOW |
|---|---|
| Name | Snowflake Inc. Common Stock |
| Country/Region | United States |
| GICS Sector | Information Technology |
| GICS Industry Group | Software & Services |
| GICS Industry | IT Services |
| GICS Sub-Industry | Internet Services & Infrastructure |
| Market Capitalization | 97.33 billion USD |
| Currency | USD |
| Exchange | NYSE |
| Listing Date | September 16, 2020 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Total Return (1Y) | 10.92% | -3.00% |
| Total Return (3Y, Annualized) | 23.09% | 8.28% |
| Total Return (5Y, Annualized) | -5.00% | -7.91% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 67.14% | 61.69% |
| Beta (5Y) | 1.33 | 1.06 |
| Max Drawdown (5Y) | -72.99% | -76.52% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 0.10 | -0.13 |
| Sortino Ratio (1Y) | 0.17 | -0.19 |
Profitability
ROE (TTM)
Snowflake (SNOW) has negative ROE of -48.06%. That can come from trailing losses or negative book equity, so it is a warning state rather than a clean capital-efficiency measure.
SNOW
Software & Services industry group
-48.06%
Group distribution
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- SNOW
- -48.06%
- Min
- -50.52%
Largest peers
- ORCL
- 41.19%
- PLTR
- 40.91%
- IBM
- 34.77%
- MSFT
- 34.22%
- SAP
- 18.18%
- PANW
- 1.74%
- SNOW
- -48.06%
Net Margin (TTM)
Snowflake (SNOW) has negative net margin of -20.07%. The trailing period ended in a net loss, so the bottom-line conversion read is a warning rather than a profitability strength.
SNOW
Software & Services industry group
-20.07%
Group distribution
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- SNOW
- -20.07%
- Min
- -33.17%
Largest peers
- PLTR
- 50.34%
- MSFT
- 41.17%
- ORCL
- 26.36%
- SAP
- 20.41%
- IBM
- 15.99%
- PANW
- 2.67%
- SNOW
- -20.07%
Operating Margin (TTM)
Snowflake (SNOW) has negative operating margin of -17.00%. Core operations were loss-making before interest and taxes over the trailing period.
SNOW
Software & Services industry group
-17.00%
Group distribution
- Max
- 46.89%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- SNOW
- -17.00%
- Min
- -30.45%
Largest peers
- MSFT
- 49.76%
- PLTR
- 46.89%
- ORCL
- 35.63%
- SAP
- 29.50%
- IBM
- 16.97%
- PANW
- 5.40%
- SNOW
- -17.00%
Profitability Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| ROE (TTM) | -48.06% | 6.59% |
| ROA (TTM) | -9.02% | 2.45% |
| Net Margin (TTM) | -20.07% | 4.63% |
| Operating Margin (TTM) | -17.00% | 8.73% |
| Gross Margin (TTM) | 67.03% | 70.07% |
Growth
Revenue Growth
Snowflake (SNOW) grew revenue 29.16%, in the upper peer quartile. The top line is expanding faster than at most industry peers, which points to share gains or stronger pricing.
EPS Growth
No usable EPS growth is available for Snowflake (SNOW) this period, so the earnings-momentum read is skipped.
Growth Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 29.16% | 14.22% |
| Revenue Growth (3Y CAGR) | 31.38% | 13.52% |
| EPS Growth (YoY) | -- | 7.85% |
| EPS Growth (3Y CAGR) | -- | 18.19% |
Financial Strength
Current Ratio (MRQ)
Snowflake (SNOW) has current ratio of 0.94, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.
SNOW
Software & Services industry group
0.94
Group distribution
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- SNOW
- 0.94
- Min
- 0.03
Largest peers
- PLTR
- 7.10
- MSFT
- 1.23
- ORCL
- 1.17
- SAP
- 1.16
- SNOW
- 0.94
- PANW
- 0.87
- IBM
- 0.86
Debt / Equity (MRQ)
Snowflake (SNOW) has debt-to-equity ratio of 1.29, in the higher-leverage quartile for its industry. The heavier reliance on borrowing can make earnings, rates, or refinancing conditions matter more.
SNOW
Software & Services industry group
1.29
Group distribution
- Max
- 2.52
- SNOW
- 1.29
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
Largest peers
- ORCL
- 2.52
- IBM
- 1.85
- SNOW
- 1.29
- MSFT
- 0.28
- SAP
- 0.23
- PANW
- 0.09
- PLTR
- 0.02
Financial Strength Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 0.94 | 1.67 |
| Debt / Equity (MRQ) | 1.29 | 0.40 |
| Net Debt / EBITDA | -- | 0.17 |
Dividends
Dividend Yield (TTM)
Snowflake (SNOW) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.
SNOW
Software & Services industry group
0.00%
Group distribution
- SNOW
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 2.73%
- ORCL
- 1.74%
- SAP
- 1.03%
- MSFT
- 0.69%
- SNOW
- 0.00%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Payout Ratio (TTM)
Snowflake (SNOW) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.
SNOW
Software & Services industry group
0.00%
Group distribution
- SNOW
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- IBM
- 57.51%
- SAP
- 36.45%
- ORCL
- 31.35%
- MSFT
- 19.00%
- SNOW
- 0.00%
- PLTR
- 0.00%
- PANW
- 0.00%
Dividend Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
No usable P/E ratio is available for Snowflake (SNOW) this period, so the trailing-earnings valuation read is skipped.
SNOW
Software & Services industry group
--
Group distribution
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
- SNOW
- --
Largest peers
- PANW
- 784.60
- PLTR
- 112.94
- SAP
- 29.07
- MSFT
- 27.69
- IBM
- 20.90
- ORCL
- 18.20
- SNOW
- --
P/S Ratio (TTM)
Snowflake (SNOW) trades at 17.91 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.
SNOW
Software & Services industry group
17.91
Group distribution
- SNOW
- 17.91
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
Largest peers
- PLTR
- 53.02
- PANW
- 22.37
- SNOW
- 17.91
- MSFT
- 11.37
- SAP
- 6.84
- ORCL
- 5.04
- IBM
- 3.31
P/B Ratio (MRQ)
Snowflake (SNOW) trades at 45.23 on P/B ratio, above the industry benchmark range. Investors are putting an unusually rich price on each dollar of book equity relative to peers.
SNOW
Software & Services industry group
45.23
Group distribution
- SNOW
- 45.23
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Largest peers
- SAP
- 73.25
- SNOW
- 45.23
- PLTR
- 34.41
- PANW
- 9.30
- MSFT
- 8.38
- IBM
- 6.52
- ORCL
- 5.68
Valuation Metrics
| Metric | Current stock: SNOW | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | -- | 32.91 |
| P/S Ratio (TTM) | 17.91 | 4.25 |
| P/B Ratio (MRQ) | 45.23 | 4.30 |
| Free Cash Flow Yield (TTM) | 1.79% | 3.98% |