Snowflake Inc (NYSE:SNOW) is gaining momentum as it sharpens its go-to-market strategy and scales its cloud platform to meet soaring enterprise demand for artificial intelligence solutions, driving stronger deal flow and deeper integration across industries.
- SNOW is building positive momentum. Find out why here.
The company continues to expand its AI Data Cloud, with half of new customers using Snowflake for AI workloads and 25% engaging its AI capabilities weekly.
It is a sign that its innovation engine and partnerships, are fueling long-term growth in the fast-evolving data infrastructure market.
Also Read: Snowflake's Palantir Deal Is Key To Unlock Massive AI, Government Data Opportunities: Analyst
Analyst Take
Wedbush analyst Daniel Ives maintained Snowflake with an Outperform rating and raised the price forecast from $250 to $270.
Ives cited accelerating momentum as the company fine-tunes its go-to-market strategy and scales its platform through stronger engineering, innovation, and marketing execution.
The analyst said Snowflake still has significant room to expand as it integrates simplicity and scalability across its data cloud, positioning itself to capture a larger share of the AI market opportunity.
He emphasized that Snowflake remains in the early stages of monetizing AI demand, with a growing share of its customer base leveraging the platform for advanced AI use cases.
Ives commented that half of new customers now use Snowflake for AI-related workloads, while approximately 25% of existing organizations rely on Snowflake's AI capabilities on a weekly basis.
Snowflake continues to enhance its Cortex platform, focusing on improving retrieval quality and unifying data early in the lifecycle to optimize workflows and drive efficiency, the analyst told.
AI
Despite facing intense competition in a multi-trillion-dollar AI and data infrastructure market, he believes Snowflake's "innovation engine" remains a major differentiator.
Ives highlighted that enterprises are increasingly adopting Snowflake's easy-to-use AI products to streamline operations, boost productivity, and consolidate data workflows across cloud environments.
The analyst said Snowflake is still in the early innings of modernizing data infrastructure for the generative AI era, with large enterprises across sectors turning to the platform for data preparation, analytics, and storage.
The company continues to expand its data engine by combining analytical and transactional capabilities and allowing users to act on larger datasets that historically existed outside Snowflake's environment, he said.
Ives noted that Snowflake's AI Data Cloud has evolved into a connected ecosystem of shared data applications, with thousands of customers securely collaborating via the Snowflake Marketplace.
This ecosystem supports enterprise-grade performance and cross-industry data sharing, the analyst noted.
Palantir Partnership
Ives also pointed to Snowflake's strategic partnership with Palantir Technologies Inc (NYSE:PLTR) as a growth catalyst.
The integration of Snowflake's Data Cloud with Palantir's Foundry and AIP platforms enables faster analytics, stronger data pipelines, and more trusted AI-driven applications for commercial and federal clients,as per Ives.
The analyst called Snowflake a "second-derivative winner" of the AI boom and one of Wedbush's top picks in its AI 30 list, expecting it to capitalize on growing AI adoption over the next 12 to 18 months.
Ives projected third-quarter revenue of $1.18 billion and EPS of $0.35. He projected fiscal 2026 revenue of $4.61 billion and EPS of $1.30.
SNOW Price Action: Snowflake shares were up 1.20% at $243.64 at the time of publication on Monday. The stock is approaching its 52-week high of $255.39, according to Benzinga Pro data.
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