Snowflake (NYSE: SNOW) is set to report its second-quarter fiscal 2025 results on Aug 21.
The Zacks Consensus Estimate for revenues is pegged at $848.15 million, indicating an increase of 25.83% from the year-ago quarter's reported figure.
The consensus mark for earnings has been stable in the past 30 days at 15 cents per share. The figure suggests a decrease of 31.82% from the year-ago quarter's levels.
SNOW's earnings beat the Zacks Consensus Estimate in three of the trailing four quarters, the average surprise being 74.84%.
Let's see how things have shaped up for SNOW prior to this announcement.
Snowflake Inc. Price and EPS Surprise
Snowflake Inc. price-eps-surprise | Snowflake Inc. Quote
Factors to Note
SNOW has been suffering from challenging macroeconomic conditions, including persistent inflation, which have hurt customer spending patterns.
Increased GPU-related costs as Snowflake aggressively invests in AI initiatives are expected to have kept margins under pressure. Moreover, stiff competition from the likes of Databricks and increasing pricing pressure.
However, SNOW's top-line growth is expected to have benefited from a strong portfolio with new capabilities, including Marketplace Listing Auto-Fulfillment & Monetization, account replication & failover, Query Acceleration Service, geospatial analytics and Snowpipe Streaming.
SNOW Shares Underperform Sector, S&P 500
Snowflake shares have declined 35.7%, underperforming the Zacks Computer & Technology sector's return of ...
