Why Snowflake Stock Dropped -- Then Popped -- After Earnings
Shares of cloud computing software company Snowflake (NYSE: SNOW) tumbled more than 6% early this morning, after reporting earnings last night -- and just a couple weeks after analysts at Rosenblatt Securities had given the all-clear and predicted a strong first quarter for Snowflake.
As of 2:30 p.m. EDT, however, the stock has turned around and is now up 3.3%.
Heading into the fiscal first quarter of 2022 (that's right, Snowflake's financial calendar is a year ahead), analysts were looking for Snowflake to report sales of $212.9 million, and lose only $0.16 per share on those sales. Rosenblatt thought those expectations conservative, and therefore upgraded the stock in expectation of a sales beat. As it turned out, the analyst was right about that.
Source Fool.com
