This Snowflake Analyst Is Turning Bullish On Innovation, Valuation

Snowflake Inc’s (NYSE: SNOW) analyst day and customer conference highlighted innovations that could lead to higher consumption and better monetization, according to Canaccord Genuity.

The Snowflake Analyst: David Hynes upgraded Snowflake from Hold to Buy while establishing a price target of $185.

The Snowflake Takeaways: The public preview of native Python support indicated that demand is “through the roof,” Hynes said in the upgrade note.

Snowflake has launched a native application framework that “lets data scientists transform data models into applications that business users can engage with,” the analyst said. 

The company also unveiled Unistore, “a hybrid table that enables users to work with both transactional and analytical data in a single platform,” he said. 

“Each of these innovations opens the aperture of what customers can do with Snowflake, which is synonymous with increased consumption and ultimately better monetization,” Hynes said.

The latest pullback in the stock “gives us an opportunity to step up,” the analyst said. 

SNOW Price Action: Shares of Snowflake were trading 7.25% higher at $122.13 midday Wednesday.