Snowflake’s (NYSE: SNOW) Price Target Raised to $200

Oppenheimer has raised its price target on Snowflake ‘s stock (NYSE: SNOW) to $200 from $180, underscoring the firm's confidence in the software company's prospects. Snowflake retains an Outperform rating from the analyst firm, as it stands out as a top pick into 2025. The firm bases its optimism on a set of compelling forward-looking financial indicators and market dynamics.

Snowflake's shares depicted a modest downturn in the pre-market, dropping 1.53% as news of the upgrade comes in. As of the last check, Snowflake was trading at $159.98 on the New York Stock Exchange under the ticker symbol SNOW. This recent price movement keeps the stock within a tight range, near the midpoint of its 52-week low of $107.13 and a high of $237.72.

Snowflake Inc., operating within the technology sector as a shining example of the Software – Application industry, provides a cutting-edge cloud-based data platform internationally. With its headquarters in Bozeman, Montana, Snowflake stands out by enabling organizations to centralize data, paving the way for significant business insights, the creation of data-driven applications, and the efficient sharing of data products. Since its incorporation in 2012, Snowflake has become a prominent name by applying artificial intelligence to address complex business challenges.

At present, Snowflake boasts a market capitalization of approximately $53.62 billion with no dividend yield to speak of, indicating a reinvestment strategy into business growth. The company reported an impressive total revenue of roughly $3.20 billion, yet reflecting a net income to common of approximately -$1.01 billion, illustrating aggressive investment in its expansive suite of data solutions. Institutional ownership stands strong at 61.43%, signifying substantial investment interest and confidence in the company’s strategic direction and market position.

According to Oppenheimer, Snowflake's progressive trajectory can largely be attributed to its financial setup for FY26, new product offerings and AI workloads, and the realigned expectations for its Iceberg initiative – all of which are poised to potentially enhance consumption and drive revenue. The growing momentum of Cortex/AI, as well as Snowflake's independence from cloud and large language models (LLMs), presents an encouraging environment for customers to develop applications with the company's platform.

Additionally, there is room for operating margin expansion as the company's investments normalize after an increased investment period in FY25. Snowflake’s commitment to innovation and the continuous release of value-driving features are central to Oppenheimer’s bullish thesis, positioning the company favorably for an ongoing beat-and-raise cadence as FY26 unfolds .