SNOWFLAKE INC (SNOW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SNOW - US8334451098 - Common Stock
219.09 USD
-4.7 (-2.1%)
219.43 USD
+0.34 (+0.16%)
We assign a fundamental rating of 4 out of 10 to SNOW. SNOW was compared to 88 industry peers in the IT Services industry. The financial health of SNOW is average, but there are quite some concerns on its profitability. SNOW shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year SNOW was profitable.
In the past year SNOW had a positive cash flow from operations.
In the past 5 years SNOW always reported negative net income.
SNOW had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SNOW's Return On Assets of -16.40% is on the low side compared to the rest of the industry. SNOW is outperformed by 76.14% of its industry peers.
SNOW has a worse Return On Equity (-63.27%) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -16.4% | ||
| ROE | -63.27% | ||
| ROIC | N/A |
ROA(3y)-11.57%
ROA(5y)-10.81%
ROE(3y)-24.53%
ROE(5y)-19.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SNOW has a Gross Margin of 67.07%. This is amongst the best in the industry. SNOW outperforms 87.50% of its industry peers.
In the last couple of years the Gross Margin of SNOW has grown nicely.
The Profit Margin and Operating Margin are not available for SNOW so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 67.07% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.14%
GM growth 5Y3.51%
2. Health
2.1 Basic Checks
SNOW does not have a ROIC to compare to the WACC, probably because it is not profitable.
SNOW has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for SNOW has been increased compared to 5 years ago.
The debt/assets ratio for SNOW is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.08 indicates that SNOW is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.08, SNOW belongs to the best of the industry, outperforming 82.95% of the companies in the same industry.
SNOW has a debt to FCF ratio of 2.96. This is a good value and a sign of high solvency as SNOW would need 2.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.96, SNOW is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
A Debt/Equity ratio of 1.07 is on the high side and indicates that SNOW has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.07, SNOW is doing worse than 65.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 2.96 | ||
| Altman-Z | 6.08 |
ROIC/WACCN/A
WACC9.07%
2.3 Liquidity
A Current Ratio of 1.37 indicates that SNOW should not have too much problems paying its short term obligations.
With a Current ratio value of 1.37, SNOW is not doing good in the industry: 64.77% of the companies in the same industry are doing better.
SNOW has a Quick Ratio of 1.37. This is a normal value and indicates that SNOW is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SNOW (1.37) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
SNOW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.53%, which is quite impressive.
Measured over the past years, SNOW shows a very strong growth in Earnings Per Share. The EPS has been growing by 334.45% on average per year.
Looking at the last year, SNOW shows a very strong growth in Revenue. The Revenue has grown by 28.48%.
The Revenue has been growing by 68.78% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)42.53%
EPS 3Y334.45%
EPS 5YN/A
EPS Q2Q%75%
Revenue 1Y (TTM)28.48%
Revenue growth 3Y43.81%
Revenue growth 5Y68.78%
Sales Q2Q%28.75%
3.2 Future
The Earnings Per Share is expected to grow by 39.35% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 23.67% on average over the next years. This is a very strong growth
EPS Next Y50.64%
EPS Next 2Y42.47%
EPS Next 3Y41.09%
EPS Next 5Y39.35%
Revenue Next Year29.42%
Revenue Next 2Y26.73%
Revenue Next 3Y25.39%
Revenue Next 5Y23.67%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 176.69, which means the current valuation is very expensive for SNOW.
The rest of the industry has a similar Price/Earnings ratio as SNOW.
Compared to an average S&P500 Price/Earnings ratio of 27.19, SNOW is valued quite expensively.
A Price/Forward Earnings ratio of 131.62 indicates a quite expensive valuation of SNOW.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SNOW is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, SNOW is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 176.69 | ||
| Fwd PE | 131.62 |
4.2 Price Multiples
SNOW's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 96.48 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as SNOW's earnings are expected to grow with 41.09% in the coming years.
PEG (NY)3.49
PEG (5Y)N/A
EPS Next 2Y42.47%
EPS Next 3Y41.09%
5. Dividend
5.1 Amount
No dividends for SNOW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
219.09
-4.7 (-2.1%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners73.59%
Inst Owner Change0%
Ins Owners2.34%
Ins Owner Change-0.84%
Market Cap74.23B
Revenue(TTM)4.39B
Net Income(TTM)-1.35B
Analysts81.79
Price Target288.97 (31.9%)
Short Float %3.71%
Short Ratio2.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.9%
Min EPS beat(2)10.63%
Max EPS beat(2)29.18%
EPS beat(4)4
Avg EPS beat(4)29.73%
Min EPS beat(4)10.37%
Max EPS beat(4)68.73%
EPS beat(8)7
Avg EPS beat(8)28.63%
EPS beat(12)11
Avg EPS beat(12)66.06%
EPS beat(16)14
Avg EPS beat(16)111.07%
Revenue beat(2)2
Avg Revenue beat(2)1.9%
Min Revenue beat(2)0.66%
Max Revenue beat(2)3.15%
Revenue beat(4)4
Avg Revenue beat(4)1.62%
Min Revenue beat(4)0.66%
Max Revenue beat(4)3.15%
Revenue beat(8)8
Avg Revenue beat(8)1.61%
Revenue beat(12)11
Avg Revenue beat(12)1.2%
Revenue beat(16)15
Avg Revenue beat(16)1.34%
PT rev (1m)5.84%
PT rev (3m)7.12%
EPS NQ rev (1m)-3.11%
EPS NQ rev (3m)-8.91%
EPS NY rev (1m)1.11%
EPS NY rev (3m)1.21%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)1.67%
Revenue NY rev (1m)1.13%
Revenue NY rev (3m)1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 176.69 | ||
| Fwd PE | 131.62 | ||
| P/S | 16.92 | ||
| P/FCF | 96.48 | ||
| P/OCF | 84.98 | ||
| P/B | 34.8 | ||
| P/tB | 105.83 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.24
EY0.57%
EPS(NY)1.66
Fwd EY0.76%
FCF(TTM)2.27
FCFY1.04%
OCF(TTM)2.58
OCFY1.18%
SpS12.95
BVpS6.3
TBVpS2.07
PEG (NY)3.49
PEG (5Y)N/A
Graham Number13.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -16.4% | ||
| ROE | -63.27% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 67.07% | ||
| FCFM | 17.54% |
ROA(3y)-11.57%
ROA(5y)-10.81%
ROE(3y)-24.53%
ROE(5y)-19.6%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.14%
GM growth 5Y3.51%
F-Score4
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 2.96 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 49.21% | ||
| Cap/Sales | 2.37% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 6.08 |
F-Score4
WACC9.07%
ROIC/WACCN/A
Cap/Depr(3y)67.21%
Cap/Depr(5y)189.07%
Cap/Sales(3y)2.66%
Cap/Sales(5y)4.12%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.53%
EPS 3Y334.45%
EPS 5YN/A
EPS Q2Q%75%
EPS Next Y50.64%
EPS Next 2Y42.47%
EPS Next 3Y41.09%
EPS Next 5Y39.35%
Revenue 1Y (TTM)28.48%
Revenue growth 3Y43.81%
Revenue growth 5Y68.78%
Sales Q2Q%28.75%
Revenue Next Year29.42%
Revenue Next 2Y26.73%
Revenue Next 3Y25.39%
Revenue Next 5Y23.67%
EBIT growth 1Y-3.68%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year254.09%
EBIT Next 3Y82.41%
EBIT Next 5Y65.79%
FCF growth 1Y21.94%
FCF growth 3Y149.6%
FCF growth 5YN/A
OCF growth 1Y21.18%
OCF growth 3Y105.76%
OCF growth 5YN/A
SNOWFLAKE INC / SNOW FAQ
What is the ChartMill fundamental rating of SNOWFLAKE INC (SNOW) stock?
ChartMill assigns a fundamental rating of 4 / 10 to SNOW.
What is the valuation status for SNOW stock?
ChartMill assigns a valuation rating of 2 / 10 to SNOWFLAKE INC (SNOW). This can be considered as Overvalued.
What is the profitability of SNOW stock?
SNOWFLAKE INC (SNOW) has a profitability rating of 2 / 10.
What is the valuation of SNOWFLAKE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SNOWFLAKE INC (SNOW) is 176.69 and the Price/Book (PB) ratio is 34.8.
What is the earnings growth outlook for SNOWFLAKE INC?
The Earnings per Share (EPS) of SNOWFLAKE INC (SNOW) is expected to grow by 50.64% in the next year.