Snowflake Inc. shares surged 20.9% in after-hours trading to $369.89 on Thursday, extending beyond its prior 52-week high of $341.95, following the release of fiscal second-quarter results for 2027.
The cloud data platform reported adjusted earnings per share of $0.62, exceeding the $0.45 consensus estimate from analysts polled by Refinitiv. Total revenue reached $1.55 billion, topping the $1.48 billion estimate and rising 35% year-over-year. Product revenue, the company’s core metric, climbed 37% to $1.49 billion, marking the third consecutive quarter of accelerating growth.
Snowflake raised its full-year fiscal 2027 product revenue guidance to $6.07 billion, up from the prior forecast of $5.84 billion. The company also increased its adjusted operating margin target to 14.5%, from the 13.5% projected in May. For the current quarter, product revenue is projected at approximately $1.59 billion, surpassing the roughly $1.50 billion expected by analysts.
The company highlighted the performance of its CoCo AI coding agent, which achieved 9,100 accounts during the quarter. Snowflake emphasized growing enterprise adoption of AI workloads as a key driver of its performance.
Ahead of the earnings release, multiple financial firms raised their price targets on Snowflake, citing confidence in the company’s positioning within the AI and data infrastructure market. Firms including Wells Fargo, Cantor Fitzgerald, UBS, Rosenblatt, and BTIG adjusted their outlooks following the results.
