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Snowflake Pushes to Be Enterprise AI Control Layer as Analysts Raise Price Targets

Recent earnings beats, higher full‑year product revenue guidance and live CoCo demonstrations have convinced brokers that Snowflake can grow AI‑driven usage.

Overview

  • The company reported a fiscal Q1 revenue beat and raised full‑year product revenue guidance to $5.84 billion, signaling stronger-than-expected demand for its platform.
  • After the June 2 Investor Day, major brokerages including BofA and Truist lifted price targets to about $300 and Barclays raised its target to $285 based on CoCo traction.
  • Snowflake is rolling out Cortex Code (CoCo) across desktop, VS Code, Excel, Slack and mobile to help customers build workflows, migrate workloads and create AI solutions from enterprise data.
  • Reuters reported a reported five‑year, $6 billion collaboration with AWS for AI infrastructure and integrations, a development described as supportive but not independently confirmed by the company.
  • Investors remain focused on whether AI features will drive sustained consumption and protect margins as management targets GAAP profitability by Q4 of fiscal 2028 and expands its addressable market forecasts.