Snowflake (SNOW) Slashes 11% Despite Impressive Q3. Here’s Why

We precocious published 10 Stocks Losing Their Fire. Snowflake Inc. (NYSE:SNOW) is 1 of the worst performers connected Thursday.

Snowflake snapped a four-day winning streak connected Thursday, losing 11.41 percent to adjacent astatine $234.77 apiece arsenic investors resorted to profit-taking portion already pricing successful a beardown net show successful the 3rd 4th of fiscal twelvemonth 2026.

In an updated study connected Wednesday, Snowflake Inc. (NYSE:SNOW) said that it narrowed its nett nonaccomplishment by 9.3 percent to $293.9 cardinal from $324.2 cardinal successful the aforesaid play past year.

Revenues, connected the different hand, surged by 29 percent to $1.2 cardinal from $942 cardinal year-on-year, chiefly driven by a 29 percent maturation successful merchandise revenues.

“Snowflake is the cornerstone for our customers’ information and AI strategies, driving existent concern interaction astatine scale,” said Snowflake Inc. (NYSE:SNOW) CEO Sridhar Ramaswamy.

“Snowflake Intelligence, our endeavor AI agent, saw the fastest adoption ramp successful Snowflake past and is transforming however businesses interact with their data, delivering real-time, actionable intelligence. Combined with our strategical partnerships with the world’s starring AI exemplary providers, clouds, and exertion platforms, Snowflake is supercharging the full information lifecycle with AI-driven capabilities,” helium added.

Encouraged by the results, Snowflake Inc. (NYSE:SNOW) said it expects the merchandise revenues to leap by 27 percent to a scope of $1.195 cardinal to $1.2 cardinal successful the 4th fourth of the year.

While we admit the imaginable of SNOW arsenic an investment, our condemnation lies successful the content that immoderate AI stocks clasp greater committedness for delivering higher returns and person constricted downside risk. If you are looking for an highly inexpensive AI banal that is besides a large beneficiary of Trump tariffs and onshoring, spot our escaped study connected the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double successful 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This nonfiction is primitively published at Insider Monkey.