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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

Company profile fields for Snowflake (SNOW)
Profile ItemSNOW
NameSnowflake Inc. Common Stock
Country/RegionUnited States
GICS SectorInformation Technology
GICS Industry GroupSoftware & Services
GICS IndustryIT Services
GICS Sub-IndustryInternet Services & Infrastructure
Market Capitalization97.33 billion USD
CurrencyUSD
ExchangeNYSE
Listing DateSeptember 16, 2020
Security TypeCommon Stock

Price Performance

Cumulative Growth

SNOW
GSPC
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Snowflake (SNOW) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Snowflake (SNOW) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Snowflake (SNOW) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry 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

SNOW
GSPC
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Snowflake (SNOW) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Snowflake (SNOW) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry group median
Volatility (1Y, Annualized)67.14%61.69%
Beta (5Y)1.331.06
Max Drawdown (5Y)-72.99%-76.52%

Risk-Adjusted Performance

Risk-Return Positioning

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Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. SNOW is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry 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%
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Where Snowflake (SNOW) stands on ROE within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

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%
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Where Snowflake (SNOW) stands on net margin within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

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%
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Where Snowflake (SNOW) stands on operating margin within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry 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.

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Snowflake (SNOW): Revenue Growth across different time periods, set against Software & Services industry-group medians.

EPS Growth

No usable EPS growth is available for Snowflake (SNOW) this period, so the earnings-momentum read is skipped.

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Snowflake (SNOW) doesn't report EPS Growth this period; the bars show the Software & Services industry-group medians on their own.

Growth Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry 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
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Where Snowflake (SNOW) stands on current ratio within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

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
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Where Snowflake (SNOW) stands on debt-to-equity ratio within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry group median
Current Ratio (MRQ)0.941.67
Debt / Equity (MRQ)1.290.40
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%
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Where Snowflake (SNOW) stands on dividend yield within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

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%
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Where Snowflake (SNOW) stands on payout ratio within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry 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
--
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Snowflake (SNOW) doesn’t report P/E ratio this period; the box shows the Software & Services group’s distribution and the dots its largest members.

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
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Where Snowflake (SNOW) stands on P/S ratio within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

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
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Where Snowflake (SNOW) stands on P/B ratio within its Software & Services peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Snowflake (SNOW) metric values compared with Software & Services industry-group medians
MetricCurrent stock: SNOWIndustry group median
P/E Ratio (TTM)--32.91
P/S Ratio (TTM)17.914.25
P/B Ratio (MRQ)45.234.30
Free Cash Flow Yield (TTM)1.79%3.98%