DA Davidson has reiterated its Buy recommendation on Snowflake Inc. (NYSE: SNOW), assigning a price objective of $300.00. That target represents nearly 50% upside relative to the stock’s prevailing price of $200.54, and reflects the research firm's continued conviction in the cloud data specialist despite persistent pressure across the software sector. Snowflake carries a market capitalization of $68.23 billion.
In its succinct note, DA Davidson framed the current environment for software stocks as one in which selective buying makes sense for companies capable of navigating the market's challenges. The firm underscored that Snowflake has delivered robust top-line expansion, citing a roughly 28.48% revenue increase over the past 12 months according to InvestingPro data, while noting that the company has not yet reached profitability.
DA Davidson used candid language to characterize its stance, saying it had "no desire to fight the holy war quite yet," but that some software names still present attractive entry points. Within that context, the research house singled out Snowflake as a business that could more readily "break the doomsday narrative" than certain peers amid current market dynamics.
The firm also stated its update was "simple and brief," and that it was not adding "material checks or analysis" to its prior work on Snowflake's prospects. That conservatism in due diligence did not, however, change DA Davidson's positive recommendation.
Snowflake itself has been active on the product and M&A fronts. The company rolled out new Energy Solutions aimed at power, utilities, and oil and gas firms to help unify fragmented data systems. That initiative comprises over 30 partner-developed solutions and is intended to give energy companies real-time visibility to improve performance and decision-making.
Separately, Snowflake announced its intent to acquire Observe, a provider of AI-powered observability. The deal is planned to integrate Observe’s platform into Snowflake’s AI Data Cloud, enabling enterprises to manage telemetry data more affordably as part of their IT operations management software stack.
The analyst landscape around Snowflake shows differing perspectives from major houses. Morgan Stanley reaffirmed an Overweight rating with a $299 price target, citing solid demand trends despite investor concern. Barclays moved in the opposite direction, downgrading Snowflake from Overweight to Equalweight and trimming its price objective to $250, noting more limited upside. Goldman Sachs entered coverage with a Buy rating and a $286 price target, pointing to potential growth tied to accelerating cloud migrations driven by AI.
Taken together, the research notes and Snowflake’s product and strategic moves reflect active interest from both investors and the company, even as opinions on near-term upside vary across large brokerage desks.