Snowflake (SNOW) Revenue Beats Expectations with 30% Year-Over-Year Growth, Macquarie Maintains Neutral

Snowflake Inc. (NYSE:SNOW) ranks among the best growth stocks to buy and hold for the long term. Following the company’s Q4 earnings results, Macquarie reduced its price target for Snowflake Inc. (NYSE:SNOW) to $177 from $250 and maintained a Neutral rating on the company’s shares. The company reported $1.23 billion in product revenue for the quarter, a 30% year-over-year increase that exceeded the upper end of forecasts by $27 million.

During the quarter, Snowflake Inc. (NYSE:SNOW) added 740 net new customers, setting a company record. The company also booked a historic $1.9 billion in remaining performance commitments, which includes its largest deal ever, worth $400 million.

Snowflake Inc. (NYSE:SNOW) issued initial fiscal 2027 product revenue projections of $5.66 billion, representing a 27% year-over-year increase and $116 million above average expectations. The guidance includes the Observe acquisition, which is projected to bring one percentage point of growth.

Snowflake Inc. (NYSE:SNOW) offers a cloud-based data platform that enables organizations to store, manage, analyze, and securely share data across multiple cloud providers.

While we acknowledge the risk and potential of SNOW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SNOW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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