Snowflake (SNOW) Soars 21% on Highly Optimistic Outlook

We recently published 10 Stocks With Double-Digit to 100% Upside in Just a Week. Snowflake Inc. (NYSE:SNOW) is one of the worst performers on Friday.

Snowflake Inc. saw its share prices climb by 21.26 percent week-on-week as investor sentiment was boosted by an impressive earnings performance in the second quarter and a highly optimistic growth outlook heading into the third quarter.

In its financial statement, Snowflake Inc. (NYSE:SNOW) said it narrowed its attributable net loss by 6 percent to $298 million from $317 million in the same period last year. Revenues jumped by 32 percent to $1.14 billion from $868.8 million year-on-year on the back of strong product revenues.

“Thousands of customers are betting their business on Snowflake and more than 6,100 accounts are using Snowflake’s AI every week. Customers love that our platform is easy to use, connected to enable fluid access to data wherever it sits, and trusted by companies of all sizes and industries. We have an enormous opportunity ahead as we continue to empower every enterprise to achieve its full potential through data and AI,” said Snowflake Inc. (NYSE:SNOW) CEO Sridhar Ramaswamy.

For the third quarter of the year, the company expects product revenues to grow by 25 to 26 percent to $1.125 billion to $1.13 billion, and by 27 percent to $4.395 billion in the full fiscal year of 2026.

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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Disclosure: None. This article is originally published at Insider Monkey.