Snowflake Inc. Common Stock (SNOW)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for businesses that earn honest profits, generate cash, and sell at a sensible price. Snowflake is a fast-growing cloud data platform: in fiscal Q2 2027, the quarter ended 2026-07-31, revenue was $1.5B, up from $1.1B in fiscal Q2 2026, the quarter ended 2025-07-31, and the net loss narrowed to $191.7M from $298.0M. That is progress. For full fiscal year 2026, ended 2026-01-31, revenue was $4.7B, but net loss was $1.3B and diluted EPS was -$3.95. Fiscal 2025 and fiscal 2024 also showed losses, and the Lynch screen says no category fits because it has lost money in each of the last four years. So the business has scale and momentum, but no demonstrated earning power. Financial health is mixed. Trailing free cash flow is $1.2B, yet against a $126.2B market cap that is a FairStock FCF yield of only 0.9%. The Piotroski F-Score is 7/9 and Altman Z-Score is 9.97, suggesting accounting progress and low distress risk on those models. Still, ROE is -48.06%, ROCE is -9.02%, and debt-to-equity is 1.29. Valuation leaves no margin of safety. At the close on 2026-10-13, the price was $357.76, with a FairStock P/B of 58.65 and a negative P/E. I want a moat proven by returns on capital and owner earnings; Snowflake has not yet shown that. Growth is real, but the price already assumes a lot.

In plain English: Snowflake sells cloud software that helps companies store and analyze data. The business is growing quickly, but it still loses money, and the latest quarter also showed a loss. At $357.76, the price looks very high compared with its sales, profits, and cash generation.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2027 10-Q (period ended 2026-07-31) · fiscal Q1 2027 10-Q (period ended 2026-04-30) · fiscal Q3 2026 10-Q (period ended 2025-10-31) · fiscal Q2 2026 10-Q (period ended 2025-07-31) · FY2026 10-K (period ended 2026-01-31) · FY2025 10-K (period ended 2025-01-31) · FY2024 10-K (period ended 2024-01-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer