Snowflake Stock Is Falling Monday: What's Going On?

Snowflake Inc SNOW shares are moving lower Monday. Traders appear to be circling a threat intelligence blog post related to a recent cyber attack.

What Happened: In a blog post on Monday, Alphabet Inc GOOG cybersecurity subsidiary Mandiant said it identified a threat campaign targeting Snowflake customer database instances for data theft and extortion.

Mandiant identified UNC5537 as the threat actor behind the attack. The financially motivated threat actor is suspected to have stolen a significant volume of records from Snowflake customer environments. 

Mandiant said UNC5537 is systematically compromising Snowflake customer instances using stolen customer credentials, advertising victim data for sale on cybercrime forums and attempting to extort many of the victims.

Importantly, Mandiant’s investigation has not found any evidence to suggest that unauthorized access to Snowflake customer accounts stemmed from a breach of Snowflake’s enterprise environment. Every incident was instead traced back to compromised customer credentials.

Mandiant and Snowflake have notified approximately 165 potentially exposed organizations to date. Snowflake customer support has been directly engaged with these customers to ensure the safety of their accounts and data.

The post states that Mandiant and Snowflake have been conducting a joint investigation into this ongoing threat campaign and are coordinating with relevant law enforcement agencies. 

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SNOW Price Action: Snowflake shares were down 2.2% at $128.34 at the time of publication, according to Benzinga Pro.

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