Snowflake Poised to Exceed $1.32B Q1 Revenue Estimate on AI Demand
SNOW•Wedbush expects Snowflake to surpass the Street’s $1.32 billion fiscal Q1 revenue estimate as enterprise AI spending on data infrastructure accelerates. The firm maintained an Outperform rating and $270 target, highlighting potential upside ahead of results.
1. Elevated Q1 Revenue Outlook
Analysts now anticipate Snowflake’s fiscal Q1 revenue will top the $1.32 billion consensus as corporations increase AI workloads on their internal data platforms. This projection implies upside risk for the Street estimate, reflecting heightened demand for scalable data cloud services.
2. Maintained Outperform Rating and $270 Target
Following the revenue revision, analysts upheld an Outperform rating and a $270 price target, underscoring confidence in the company’s growth trajectory. Snowflake’s positioning on a leading AI research list further supports market optimism ahead of its earnings release.
3. AI-Driven Infrastructure Growth
Enterprise budgets are shifting toward AI-driven data management, fueling accelerated adoption of Snowflake’s platform. This trend bolsters expectations for product upgrades, increased consumption, and stronger net revenue retention.
4. Track Record of Strong Beats
Snowflake has beaten analyst revenue estimates for over 20 consecutive quarters, with Q1 projections reflecting roughly 27% year-over-year growth. Consistent EPS gains—up more than 33% annually last quarter—underscore the firm’s ability to capitalize on rising data demand.
