Why Snowflake Stock Is Trading At New 52-Week High

Snowflake Inc. SNOW shares are trading higher Friday after Raymond James analyst Simon Leopold maintained an Outperform rating on the stock and raised his price target from $190 to $223.

The Details:

Raymond James noted current public cloud trends as positive and specifically highlighted Amazon.com’s AMZN fourth-quarter AWS revenue growth re-acceleration as favorable to Snowflake as its Cloud Data Warehouse platform is built and deployed mainly on Amazon’s AWS.

The analyst also noted the flexibility of Snowflake’s consumption-based model which is appreciated by its enterprise-level buyers and sees another boost to growth with “Snowflake acting as an on-ramp to AI platforms.”

Snowflake’s stock has gained more than 13% over the past month as excitement surround artificial intelligence and associated technologies builds.

According to data from Benzinga Pro, Snowflake shares are trading above the stock’s 50-day moving average of $191.49 and are currently trading at a new 52-week high.

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Is SNOW A Good Stock To Buy:

Wall Street analysts view Snowflake SNOW on the whole as a Outperform, given the history of coverage over the past three months. Mark Murphy from JP Morgan in Snowflake is the most optimistic, expecting a 17.65% rise in the stock in the coming year.

But looking at how the market as a whole thinks of the stock, you can reference historical price action for views on whether investors feel strongly about the stock one way or another. In the past 3 months, Snowflake rose 42.69%, which indicates that opinion improved on the business and how attractive it is to own based on either its stock price, or underlying fundamentals, like revenue, which rose 31.8% over the past year.

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SNOW Price Action: According to Benzinga Pro, Snowflake shares are up 7.76% at $215.45 at the time of publication.

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