SNOW - Major long opportunity! Look for this to enterThis is super interesting and we could be near a great level to get in for a longer term hold.
Many confluences on this one so keep this one on the list!
Happy Trading :)
SNOWD trade ideas
Snowflake Buy RangeIf this lower trendline can hold, this is a great buy opportunity for SNOW. My fortune 500 employer has adopted snowflake and I've read their licensing agreements are more profitable and sustainable than competitors. I have opened a position at these levels.
Fundamentals have also been trending positively if you look at their revenue and EPS.
SNOW Snowflake Options Ahead of EarningsIf you haven`t bought the dip on SNOW:
Then analyzing the options chain and the chart patterns of SNOW Snowflake prior to the earnings report this week,
I would consider purchasing the 230usd strike price Calls with
an expiration date of 2024-5-17,
for a premium of approximately $22.10.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Snowflake Unveils Data Clean Rooms: A Secure Cross- CloudData Clean Rooms, a technology born out of the need for secure data collaboration, have now been democratized by Snowflake ( NYSE:SNOW ), making them accessible to enterprises of all sizes. With the general availability of Snowflake Data Clean Rooms in AWS East, AWS West, and Azure West, businesses can now revolutionize how they share and collaborate on sensitive data, all within the secure confines of the Data Cloud.
The integration of Samooha, a leading data clean room technology provider, into Snowflake's Data Cloud marks a significant milestone in the realm of data privacy and security. Recognized as one of the most innovative data science companies of 2024 by Fast Company, Samooha brings its expertise to Snowflake, enhancing the platform with advanced compliance, security, and privacy capabilities.
Empowering Businesses Across Industries
Data Clean Rooms have emerged as a vital solution for organizations grappling with the complexities of sharing sensitive data while adhering to strict privacy regulations. Previously, this technology was primarily accessible to large enterprises with dedicated data privacy experts. However, Snowflake's initiative changes the game by making Data Clean Rooms available as a native app within its platform.
Businesses can now leverage Snowflake Data Clean Rooms to:
1. Unlock Value Through Secure Collaboration: Snowflake Data Clean Rooms enable teams to collaborate on sensitive data securely and cost-effectively. With pre-built industry-specific workflows and templates, organizations can derive actionable insights from their data without compromising security.
2. Tap into an Interoperable Ecosystem: Snowflake's open and interoperable Data Cloud ecosystem allows seamless collaboration with partners, regardless of their cloud provider. This eliminates barriers to collaboration and fosters innovation across industries.
3. Leverage Built-in Privacy and Governance Features: Built on the Snowflake Native App Framework, Data Clean Rooms ensure that data never leaves the secure environment of Snowflake. This enables organizations to maintain privacy while gaining deeper analytical insights with partners.
A Shift in Data Collaboration Dynamics
Snowflake's introduction of Data Clean Rooms signifies a paradigm shift in how businesses approach data collaboration. With third-party cookie deprecation looming large, the need for secure, cloud-agnostic collaboration has never been greater. Snowflake ( NYSE:SNOW ) is at the forefront of this revolution, empowering marketers and enterprises to unlock high-value business outcomes while safeguarding data privacy.
As industries evolve and regulatory landscapes change, the adoption of Data Clean Rooms is expected to expand beyond media and entertainment into highly regulated sectors like finance and healthcare. Snowflake's platform, coupled with Data Clean Rooms, equips businesses with the tools they need to navigate the complexities of data collaboration in the modern digital landscape.
$SNOW - Attractive entry pointNYSE:SNOW Snowflake is checking back to the multi-year trendline from which it has bounced previously. This could potentially be an attractive entry point.
If it fails to bounce from the trendline area, a drop to the $140 area is possible.
Upside Targets:
$171
$184
$195
Risk:
$140
SNOW March 24: Some Lessons LearnedNYSE:SNOW was one of a very good acting stocks from the low of November 23, at around $145, it increased to $236 on Feb 28, 24. A nearly 60% run.
Its key moving averages (MA50/150/200) had been acting very well.
On Feb 29, 24, NYSE:SNOW broke down hard violating its MA-50 on huge volume, after earnings.
The big gap down of -18% made it looks like a bargain. However, in the stock market, cheap is not equivalent to a good buy.
Even if we bought it on the low of that day, at the time of this writing (March 24) the stock went down another 12%.
Never bottom fishing.
Focus on the strongest stocks.
Trade only the stocks which are above its rising MA-50/150/200
Scale down before earnings is a good idea.
SNOW is Rising this Winter❄️Hello TradingView Family / Fellow Traders. This is Richard, also known as theSignalyst.
📈 SNOW has been overall bullish , trading within the rising channel in red.
Currently, SNOW is in a correction phase and approaching the lower bound of the channel.
Moreover, it is retesting a strong support in green at $140.
🏹 Thus, the highlighted blue circle is a strong area to look for buy setups as it is the intersection of the green support and lower red trendline.
📚 As per my trading style:
As #SNOW approaches the blue circle zone, I will be looking for bullish reversal setups (like a double bottom pattern, trendline break , and so on...)
📚 Always follow your trading plan regarding entry, risk management, and trade management.
Good luck!
All Strategies Are Good; If Managed Properly!
~Rich
SNOW Options Puts Update - SNOW Approaching $150 TargetSNOW is approaching my price target and there has been a slight rebound. I think there could be more dips into the light blue trendline over the next few days within the next 1-2 weeks. I would look to close out the options puts trade here and would look for a buying opportunity. The price targets on the way up are $178 and $229.
$SNOW almost bottomed here but Mind the Gap! I think the continued fall into the gap below is too obvious. I can see NYSE:SNOW recovering next week into $160, and perhaps overextend a bit above $160, but later failing and filling the gap below the red dotted line. Once this is complete, perhaps NYSE:SNOW is ready for a long recovery until year-end. See the triangle by zooming out! I think NYSE:SNOW will move along this large yellow triangle for the next 12 months or so. Perhaps failing again and retesting the gap below and then by 2025 I see a better chance of recovery. Let's see how this plays out. Trade safe. I like call spreads into April 12 or April 19 at 165-160 strikes, and perhaps a small short term hedge for next week in case the wedge pattern continues to the downside breaking the red dotted line.
SNOW Continues its Meltdown Towards $149-150SNOW has been playing out very well, I thought there would be some bounces along the way, but it has been a lot of downside with little bounces. I'm patiently waiting for $149-150. I wouldn't be surprised to see a move down to the yellow trendline at $142.20 either, we'll track and see how SNOW is doing over the next few weeks.
SNOW - buy the disappointment discount sale LONGSNOW beat the earnings estimates by 150% and slightly exceeded revenue estimates. Price
dropped in printing a bear flag in a 22% move yesterday at the close. Buying from the bottom
has begun and I have the idea that I should join. My pre-earnings play was closed going into the
earnings in the high liquidity that proceeds it. I got my ask price on that position. The chart
shows today's buyng volume and volatility. On the slow resumption of bullish price action, I have
taken a long trade from the near bottom after this morning's reversal and call options
ITM for the July monthy.
SNOW a software megacap approaches earnings in one week LONGSNOW has been running since about the 1st of February. It beat earnings in November by 50%.
Right now it is situated at the mean-anchored VWAP where institutions pick up and drop off
shares the most. Price is at the lower boundary of an ascending parallel channel and is now
about 8% less than the double top of last week at the top of the channel. Price at the mean
VWAP brings out volume and volatility. So does an earnings run. I see SNOW as a great
earnings play as ARM and PLTR were only weeks ago. This could be a huge trade like those
were. Good Luck to traders who take this trade!
SNOW Melts With a 20% Decline After Q4 Earnings (Options Puts)Options Puts Trade
This is an options puts trade setup above $229.26 resistance. SNOW has already reached the first price target, I can see SNOW dropping down to around $152 - $153 over the next few weeks.
SNOW Declines by 20%+ After Q4 Earnings
Snowflake Inc. (NYSE:SNOW) concluded its fiscal year 2023 on a high note, surpassing earnings expectations with a reported EPS of $0.35 against an anticipated $0.17. Despite this achievement, the company faced a significant stock price drop of 19.47% following the announcement, highlighting market sensitivities to leadership transitions and forward guidance. This analysis explores the strengths and challenges highlighted in Snowflake's Q4 2023 earnings call, providing insight into its financial health and future prospects.
Financial Performance Overview
Strengths:
Earnings and Revenue Beat: Snowflake reported significant beats on both sales and earnings, with non-GAAP earnings per share of $0.35 on sales of $774.6 million, far exceeding analyst expectations.
Impressive Product Revenue Growth: FY '24 product revenue grew 38% year-over-year to reach $2.67 billion, showcasing strong demand for Snowflake's cloud data platform.
Robust Free Cash Flow: Non-GAAP adjusted free cash flow stood at $810 million, representing a 56% year-over-year growth, indicating efficient capital management and operational excellence.
Expansion of Global Footprint: The addition of 14 Global 2000 customers in the quarter and growth in international markets underscore Snowflake's expanding global reach and market penetration.
Challenges:
Market Reaction to CEO Transition: The announcement of Frank Slootman's retirement as CEO and the appointment of Sridhar Ramaswamy as his successor led to market unease, reflected in a sharp decline in stock price. Leadership transitions can be perceived as potential instability or strategic shifts, contributing to investor apprehension.
Underwhelming Forward Guidance: Despite outperforming in Q4, Snowflake's guidance for fiscal 2025 suggests a deceleration in growth, forecasting product revenue growth between 26% and 27% for Q1 and 22% for the full year. This indicates a normalization of growth rates from the hyper-growth experienced in recent years.
Increased Investment in AI Initiatives: The planned investment in AI initiatives, including approximately $50 million in GPU-related costs, represents a significant bet on future growth areas but also adds to the short-term expense burden without immediate revenue recognition.
Strategic Initiatives and Future Outlook
Snowflake is positioning itself at the forefront of the generative AI revolution, with a clear focus on integrating AI capabilities into its cloud data platform. The leadership transition to Sridhar Ramaswamy, with his extensive background in driving Google's advertising product growth, signals Snowflake's ambition to lead in AI-driven data analytics.
Focus on AI and Data Strategy:
Snowflake's emphasis on AI and the necessity of a robust data strategy to support AI initiatives present a substantial growth opportunity. The company's efforts to make AI simple and secure through Snowflake's Cortex and other AI-related product launches are poised to address the burgeoning demand for AI applications.
Investment in Technology and Talent:
The company plans to add approximately 1,000 employees, inclusive of M&A, focusing on supporting its AI and product development initiatives. This investment in talent underscores Snowflake's commitment to innovation and maintaining its competitive edge.
Conclusion
Snowflake Inc.'s Q4 2023 earnings underscore its strong financial performance and strategic positioning for future growth. Despite facing challenges such as market reactions to its CEO transition and a forecasted deceleration in growth, Snowflake's focus on AI and data strategy, coupled with its global expansion and operational efficiency, positions it well for sustained success. Investors and stakeholders should monitor the company's execution of its AI initiatives and its ability to navigate the changing growth dynamics in the coming fiscal year.
Snowflake Shares Plunge On Weak Sales Outlook Amid CEO ChangeSnowflake Inc. ( NYSE:SNOW ) finds itself at a crossroads as it navigates through a significant leadership transition and grapples with market volatility triggered by a weaker-than-expected sales outlook. The cloud software company's shares plunged 19% following the announcement of CEO Frank Slootman's retirement and the appointment of Sridhar Ramaswamy, former Google ad chief, as his successor.
The abrupt leadership change, coupled with a subdued sales outlook for the first quarter, has sparked a flurry of reactions from investors and analysts alike. While some express concerns over potential competitive threats and operational uncertainties, others view Slootman's departure as a long-awaited opportunity for renewal and strategic realignment.
Analysts at Morgan Stanley downgraded Snowflake's ( NYSE:SNOW ) stock rating and slashed their price target, citing heightened competitive concerns and uncertainties surrounding the company's growth trajectory. However, Macquarie Equity Research took a more optimistic stance, upgrading the stock to an outperform and emphasizing confidence in Ramaswamy's leadership and Snowflake's strategic focus on artificial intelligence and machine learning (AI/ML) solutions.
Ramaswamy's extensive experience at Google and his previous venture, Neeva, position him as a seasoned leader capable of steering Snowflake through turbulent waters and capitalizing on emerging market opportunities. His leadership, coupled with Snowflake's robust product offerings and sales organization, instills confidence in the company's ability to navigate challenges and drive sustained growth in the dynamic cloud software landscape.
Snowflake's ( NYSE:SNOW ) journey under Slootman's stewardship has been marked by significant milestones and transformative growth, propelling the company to the forefront of the cloud computing revolution. However, as Snowflake ( NYSE:SNOW ) enters a new chapter under Ramaswamy's leadership, the focus shifts towards strategic agility, innovation, and market adaptation in an increasingly competitive environment.
The company's decision to acquire Neeva underscores its commitment to enhancing its AI capabilities and expanding its market reach, signaling a strategic shift towards diversification and innovation-driven growth initiatives. With Ramaswamy at the helm, Snowflake is poised to capitalize on its strengths, address operational challenges, and capitalize on emerging market trends to drive long-term shareholder value.
Snowflake Forecasts Weak 1st-Quarter Revenue, Shares SlumpSnowflake Inc. ( NYSE:SNOW ), a leading cloud data analytics company, faced a significant setback as it forecasted first-quarter product revenue below Wall Street estimates. This unexpected announcement, coupled with the anticipation of reduced spending from customers amidst economic uncertainty, led to a sharp decline of over 24% in its share price during extended trading. Furthermore, the company announced the appointment of Sridhar Ramaswamy as its new chief executive, succeeding Frank Slootman, who retired on February 27. Let's explore the implications of Snowflake's Q1 revenue forecast and its impact on the company's future trajectory.
Economic Uncertainty and Its Impact on Spending:
Snowflake's ( NYSE:SNOW ) downward revision of its first-quarter product revenue forecast reflects broader concerns surrounding economic uncertainty. With clients expected to scale back spending on cloud and technology services amidst high interest rates and persistent inflationary pressures, Snowflake ( NYSE:SNOW ) finds itself navigating a challenging operating environment. The company's reliance on robust customer spending for revenue growth makes it particularly vulnerable to shifts in economic conditions.
Leadership Transition Amidst Turbulent Times:
The announcement of Sridhar Ramaswamy as Snowflake's ( NYSE:SNOW ) new chief executive adds another layer of complexity to the company's current situation. Ramaswamy assumes leadership at a critical juncture, tasked with steering Snowflake ( NYSE:SNOW ) through turbulent economic waters and restoring investor confidence. His strategic vision and leadership style will be closely scrutinized as Snowflake navigates the challenges posed by evolving market dynamics.
Comparative Analysis with Peer Salesforce (CRM.N):
Snowflake's revenue forecast shortfall echoes a similar sentiment observed in its peer, Salesforce ( NYSE:CRM ), which also forecasted fiscal 2025 revenue below estimates. This parallel underscores the broader headwinds facing companies operating in the cloud and technology sector, as they contend with macroeconomic uncertainties and shifting customer priorities. The challenges faced by Snowflake and Salesforce highlight the need for adaptive strategies to sustain growth amidst changing market dynamics.
Implications for Investors:
Snowflake's ( NYSE:SNOW ) disappointing revenue forecast for the first quarter has undoubtedly rattled investors, prompting concerns about the company's ability to deliver sustained growth in the face of economic headwinds. The sharp decline in Snowflake's share price reflects investor apprehension regarding its near-term prospects and underscores the importance of closely monitoring developments within the company and its industry peers.
Conclusion:
Snowflake's ( NYSE:SNOW ) downward revision of its first-quarter revenue forecast, coupled with the appointment of a new chief executive, signifies a period of transition and adaptation for the company. As economic uncertainties persist and customer spending patterns evolve, Snowflake ( NYSE:SNOW ) faces significant challenges in maintaining its growth trajectory. However, with strong leadership and a commitment to innovation, Snowflake remains well-positioned to navigate the complexities of the current operating environment and emerge stronger in the long run.
