(Breaking News) Snowflake Inc. lost another believer after its latest earnings report, as Wolfe Research analyst Alex Zukin moved to the sidelines on the cloud-based data warehousing company. Zukin downgraded Snowflake from outperform to peer perform, citing concerns over the company's valuation and competition from Amazon's Redshift and Google's BigQuery. This downgrade came after Snowflake's earnings report, which showed a 110% increase in revenue but a lower-than-expected sales outlook for the next quarter.
(Bloomberg) -- Snowflake Inc.'s stock had its worst day ever after the company gave a quarterly sales outlook that fell short of analyst estimates. The cloud-based data warehousing company's shares fell by 23% on Wednesday, wiping out nearly $16 billion in market value. The company's revenue increased by 110% to $228.9 million, but its sales outlook for the next quarter was below expectations, causing investors to sell off their shares.
Snowflake shares were falling sharply in premarket trading Thursday after the cloud-based data warehousing company posted solid results for the fourth quarter but issued a weak outlook for the current quarter. The company reported revenue of $190.5 million, up 117% year over year, and a net loss of $199.4 million, or $1.01 a share. However, the company's revenue forecast for the current quarter was below expectations, causing concern among investors.
Two big SaaS operations – Snowflake and Zoom – have reported cloud cost cuts boosting their margins. Snowflake's news is even more dramatic: the cloud-based data warehousing company said it had reduced the cost of its cloud services by 62% in the fourth quarter of 2020, compared to the same period in 2019. This cost reduction helped boost Snowflake's gross margins to 63%, up from 38% in the same period last year.
Despite an earnings report that showed poor guidance, CEO of data cloud company Snowflake Frank Slootman is firm in his optimism about the future of the company. In an interview with CNBC, Slootman said that Snowflake's business model is "working like a dream" and that the company is "just scratching the surface" of its potential. Slootman also stated that Snowflake's market opportunity is "massive" and that the company's growth will continue to accelerate.
DataOps.live was built to work specifically with data housed with Snowflake. DataOps.live is a cloud-based data management platform that helps businesses manage and optimize their data workflows. The platform is designed to work seamlessly with Snowflake's cloud data warehouse, allowing businesses to easily move data between the two platforms and streamline their data management processes.
No-Headquarters/BOZEMAN, Mont., May 24, 2023--Snowflake (NYSE: SNOW), the Data Cloud company, today announced the appointment of Steve B. as the company's new Chief Financial Officer. Steve B. brings over 20 years of experience in finance and accounting to Snowflake, and will be responsible for overseeing the company's financial operations and strategy.
Snowflake has announced it will acquire search specialist Neeva for an undisclosed amount. “Search is fundamental to how businesses interact with data in the cloud,” said Snowflake CEO Frank Slootman. “Neeva has built a unique search offering that complements Snowflake’s product capabilities and is a natural fit with our architecture.”
Bob Evans shares details on Snowflake CEO Frank Slootman's thoughts on the capabilities and power of generative AI. Slootman believes that generative AI has the potential to revolutionize the way businesses use data. He sees Snowflake as a key player in this revolution, providing businesses with a platform to store and analyze vast amounts of data, and using generative AI to turn that data into valuable insights and predictions.
