Snowflake stock: analyst says shares could double from here
- Rosenblatt's Blair Abernethy says Snowflake Inc could be a $255 stock.
- He dubs SNOW down 70% from its year-to-date high an attractive buy.
- Snowflake Inc is scheduled to report its fiscal Q1 results on Wednesday.
Snowflake Inc (NYSE: SNOW) has been in a freefall since the start of this year, but a Rosenblatt Securities’ analyst says there’s reason to believe the days of pain are finally behind it.
Snowflake stock could climb to $255 a share
Blair Abernethy, on Tuesday, lifted his rating on the stock to “buy” and announced a price target of $255 a share that represents a close to 100% upside from here. The analyst wrote:
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Given ongoing enterprise digital transformation momentum, strong Q1 growth reported by leading cloud service providers, and Snowflake’s healthy 160%+ NRR, it’ll meet or marginally exceed our Q1 product revenue growth estimate of 81% YoY.
Shares of Snowflake Inc are down nearly 70% versus their year-to-date high in mid-November 2021, which, as per Abernethy, makes its very attractive from the valuation standpoint as well.
Snowflake to report Q1 results on Wednesday
Wall Street seems to agree with the bullish call as well. It rates SNOW at “overweight” and sees upside to an even higher $275 a share on average.
Abernethy’s note arrives a day before the cloud-computing based data warehousing company is scheduled to report its fiscal Q1 results. Experts forecast the company to narrow its per-share loss this quarter to a cent on a 79% YoY growth in revenue.
Earlier in May, the Bozeman-headquartered company announced a partnership with Dell Technologies that aims to combined the latter’s on-premise storage systems with the former’s cloud data technology.