Why Snowflake Stock Soared Higher in August
After what had been a difficult second quarter for many young tech companies, investors came into Snowflake (NYSE: SNOW) results unsure what to expect. The company delivered stronger-than-expected revenue and boosted its guidance for the full fiscal year, helping to fuel a 20.7% gain in August, according to data provided by S&P Global Market Intelligence.
This has been a tough year for most of the tech universe. Rising inflation and fear of a recession have caused corporate clients to scale back on expansion, and investors who in previous years had tended to see the glass as half-full are now suddenly more in tune to the risks that come with high-flying tech stocks.
Snowflake shares have lost nearly half of their value year to date and were down nearly 60% for the year coming into August.
Source Fool.com
