Snowflake Inc. (SNOW), Financial Analysis
Insights derived from analysing SEC filings. Independent analysis, not a publication of the SEC.
Figures are read from the Form 424B4 prospectus of September 2020, the Forms 10-K for FY2021 to FY2026, the Forms 10-Q for Q1 FY2026 to Q2 FY2027, the Forms 8-K of March 2021 to October 2026 and their quarterly earnings exhibits 99.1, the proxy statements of May 2025 and May 2026, Schedules 13G, Forms 13F and Forms 3, 4 and 144 on the record for central index key 1640147, together with the comparable filings of seven peers. Accession numbers for every filing used appear in the Sources appendix. Market prices are closing prices of 9 October 2026.
Snowflake shares closed at $368.89 on 9 October 2026, which values the company at 23.7x trailing revenue on an enterprise value of $128.8bn. Q2 FY2027 product revenue rose 36.8% to $1.49bn, remaining performance obligations (RPO) were $9.00bn, and $3.75bn of 0% convertible notes issued on 1 October 2026 lift convertible principal to $5.79bn.
Key findings
- Q2 FY2027 (quarter ended 31 July 2026) revenue rose 35.1% year on year to $1.55bn, GAAP operating loss was $263m, (17.0)% of revenue, and non GAAP operating income was $237m, 15.3% of revenue.
- FY2027 product revenue guidance rose to $6.07bn on 2 September 2026, 36% growth, from $5.84bn in May and $5.66bn in February; Q2 product revenue was 5.2% above the guidance midpoint.
- RPO of $9.00bn at 31 July 2026 is 30% above 31 July 2025 and (7.9)% from $9.77bn at 31 January 2026; new capacity contracts averaged 2.1 years in H1 FY2027 against 2.9 years in H1 FY2026.
- Notes issued on 1 October 2026 raise convertible principal to $5.79bn against pro forma cash and investments of $7.10bn, which leaves pro forma net cash of $1.3bn; filed net cash at 31 July 2026 was $2.05bn.
- Shares trade at 23.7x EV / sales against a peer median of 10.3x and at 108.9x free cash flow (FCF) against 80.7x; trailing revenue growth is 32.0% against a peer median of 21.6% (market data, 9 October 2026).
- Advisory vote on executive compensation received 43.6% of votes cast at the 29 June 2026 annual meeting (30.2% in 2025), and a stockholder proposal for majority voting in director elections received 64.9%.
- Insiders sold 4.72m shares for $1.21bn in open market transactions between 8 October 2025 and 7 October 2026; open market purchases were 0 shares; Forms 4 flag a Rule 10b5-1 plan for 96% of shares sold.
- Three scenarios to FY2030 return implied prices of $161, $405 and $718 a share; each is an arithmetic outcome of stated assumptions on growth, FCF margin, share count and exit multiple.
Table 0.1 Snowflake at a glance
| Metric | Value | Period or date |
|---|---|---|
Share price | $368.89 | Close, 9 October 2026 |
Market cap | $130.1bn | 352.8m shares of common stock at 21 August 2026 |
Enterprise value (EV) | $128.8bn | Pro forma for notes issued 1 October 2026 |
Net cash, pro forma | $1.3bn | Cash and investments $7.10bn less convertible principal $5.79bn |
TTM revenue | $5.43bn | Trailing twelve months (TTM) to 31 July 2026 |
Revenue growth | 35.1% | Q2 FY2027 year on year; TTM 32.0% |
Operating margin, GAAP | (17.0)% | Q2 FY2027; TTM (22.8)% |
Operating margin, non GAAP | 15.3% | Q2 FY2027; TTM 12.4% |
FCF margin | 22.0% | TTM; FCF $1.20bn |
RPO | $9.00bn | 31 July 2026; 54% expected as revenue within 12 months |
EV / sales | 23.7x | EV over TTM revenue |
P / FCF | 108.9x | Market cap over TTM FCF; P / E n/a on GAAP net loss |
Diluted shares | 349.3m | Q2 FY2027 weighted, GAAP; FY2027 non GAAP guidance 380m |
Source: 10-Q Q2 FY2027, 10-K FY2026, 8-K, 2 October 2026 via SEC-API.io; market data, 9 October 2026. FCF is operating cash flow less purchases of property and equipment and capitalised internal use software. GAAP diluted share count equals basic share count in loss periods.
1 Revenue & Business Model
Product revenue reached $1.49bn in Q2 FY2027 (quarter ended 31 July 2026), up 36.8% year on year and 96% of total revenue of $1.55bn, per 10-Q for Q2 FY2027. Professional services and other revenue was $55m, up 1%.
How Snowflake makes money
Snowflake sells a cloud data platform as a service and charges for compute, storage and data transfer consumed. Product revenue tracks usage and RPO tracks contracted capacity still unconsumed.
Table 1.1 Consumption revenue model, from contract to revenue
| Step | Mechanism as filed | Latest figure |
|---|---|---|
Capacity contract | Customer commits to an amount of consumption at set prices for one to four years, usually billed annually in advance | Existing capacity customers were 97% of Q2 FY2027 revenue |
On demand | Usage billed monthly in arrears, free of commitment | About 3% of Q2 FY2027 revenue |
Consumption | Revenue is recognised when compute, storage and data transfer are used; unused capacity can roll over, generally when more capacity is bought at renewal | Product revenue $1.49bn in Q2 FY2027 |
RPO | Deferred revenue plus contracted amounts yet to be invoiced; on demand usage is excluded | $9.00bn at 31 July 2026 |
Net revenue retention (NRR) | Product revenue from a capacity customer cohort in the latest 12 months divided by the same cohort one year earlier | 126% at 31 July 2026 |
Source: 10-Q Q2 FY2027, 10-K FY2026, 424B4 prospectus.
Product revenue, RPO and customer metrics
Customers above $1m in trailing 12 month product revenue numbered 828 at 31 July 2026 and generated 68% of product revenue; 156 were above $5m and 65 above $10m. Total customers were 14,554, after 692 net additions in Q2 FY2027.
Table 1.2 Revenue, RPO and customer metrics by fiscal year (years end 31 January)
| FY2019 | FY2020 | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 | |
|---|---|---|---|---|---|---|---|---|
Product revenue | $95.7m | $252m | $554m | $1.14bn | $1.94bn | $2.67bn | $3.46bn | $4.47bn |
Product revenue growth | n/a | 164% | 120% | 106% | 70% | 38% | 30% | 29% |
Professional services and other revenue | $1.0m | $12.5m | $38.3m | $78.9m | $127m | $140m | $164m | $212m |
Total revenue | $96.7m | $265m | $592m | $1.22bn | $2.07bn | $2.81bn | $3.63bn | $4.68bn |
Product share of revenue | 99% | 95% | 94% | 94% | 94% | 95% | 95% | 95% |
RPO at year end | $128m | $426m | $1.33bn | $2.65bn | $3.66bn | $5.17bn | $6.87bn | $9.77bn |
NRR | 180% | 169% | 168% | 178% | 158% | 133% | 126% | 125% |
Total customers | 948 | 2,392 | 4,139 | 5,967 | 7,744 | 9,384 | 10,996 | 13,245 |
Customers above $1m trailing 12 month product revenue | 14 | 41 | 79 | 186 | 329 | 449 | 576 | 733 |
Forbes Global 2000 customers | n/a | n/a | 403 | 540 | 655 | 716 | 750 | 790 |
Source: 424B4, 10-K FY2022, FY2023, FY2024, FY2025, FY2026. Each cell is as stated in the latest filing that reports it; Snowflake restates customer counts for acquisitions and consolidations. Total customers at 31 January 2026 are 13,245 as restated in the Q2 FY2027 10-Q; the 10-K first reported 13,328.
Table 1.3 Quarterly customer metrics, Q2 FY2026 to Q2 FY2027
| Q2 FY2026 | Q3 FY2026 | Q4 FY2026 | Q1 FY2027 | Q2 FY2027 | |
|---|---|---|---|---|---|
Product revenue | $1.09bn | $1.16bn | $1.23bn | $1.33bn | $1.49bn |
NRR | 125% | 125% | 125% | 126% | 126% |
Total customers | n/a | n/a | 13,245 | 13,862 | 14,554 |
Customers above $1m trailing 12 month product revenue | 654 | 688 | 733 | 780 | 828 |
Forbes Global 2000 customers | 786 | 791 | 804 | 815 | 829 |
Source: 10-Q Q2 FY2027. Total customers for Q1 FY2027 are derived as 14,554 less 692 net additions in Q2 FY2027 (8-K Exhibit 99.1); the 10-Q Q1 FY2027 reported 13,912 on its own basis. Quarterly RPO is in Table 3.3.
Revenue by region
United States generated 74.5% of Q2 FY2027 revenue, against 75.2% in FY2026. EMEA revenue grew 38% and Asia Pacific and Japan 39% in H1 FY2027. Customers at 10% or more of revenue: 0.
Table 1.4 Share of revenue by region
| FY2022 | FY2023 | FY2024 | FY2025 | FY2026 | H1 FY2027 | Q2 FY2027 | |
|---|---|---|---|---|---|---|---|
United States | 80.1% | 79.1% | 77.2% | 76.2% | 75.2% | 74.7% | 74.5% |
Other Americas | 2.2% | 2.3% | 2.6% | 2.8% | 2.7% | 2.6% | 2.6% |
EMEA | 13.9% | 14.2% | 15.4% | 15.8% | 16.3% | 16.7% | 16.7% |
Asia Pacific and Japan | 3.8% | 4.5% | 4.8% | 5.2% | 5.8% | 6.0% | 6.1% |
Total revenue | $1.22bn | $2.07bn | $2.81bn | $3.63bn | $4.68bn | $2.94bn | $1.55bn |
Source: 10-K FY2024, FY2026, 10-Q Q2 FY2027.
Cloud provider concentration
Platform runs on AWS, Microsoft Azure and Google Cloud across 55 regional deployments (10-Q Q2 FY2027), and the 10-K states that a substantial majority of business runs on AWS. Minimum purchase commitments to cloud and AI providers are in Table 5.3.
2 Financial Analysis & Ratios
Snowflake revenue rose 35.1% year on year to $1.55bn in Q2 FY2027 and GAAP operating loss narrowed to $263m from $340m (10-Q). Non GAAP operating income was $237m, 15.3% of revenue (8-K Exhibit 99.1).
Snowflake Q2 FY2027 results and what changed
Table 2.1 What changed, Q2 FY2027 and H1 FY2027 against prior year periods
| Metric | Q2 FY2027 | Q2 FY2026 | Change | H1 FY2027 | H1 FY2026 | Change |
|---|---|---|---|---|---|---|
Revenue | $1.55bn | $1.14bn | 35.1% | $2.94bn | $2.19bn | 34.3% |
Product revenue | $1.49bn | $1.09bn | 36.8% | $2.83bn | $2.09bn | 35.4% |
Gross profit | $1.04bn | $773m | 34.1% | $1.96bn | $1.47bn | 33.9% |
Gross margin | 67.0% | 67.5% | (0.5) pts | 66.8% | 67.1% | (0.2) pts |
Operating income, GAAP | ($263m) | ($340m) | $77m | ($589m) | ($788m) | $198m |
Operating margin, GAAP | (17.0)% | (29.7)% | 12.7 pts | (20.1)% | (36.0)% | 16.0 pts |
Stock based compensation (SBC) | $424m | $404m | 4.8% | $826m | $784m | 5.4% |
SBC as % of revenue | 27.4% | 35.3% | (7.9) pts | 28.1% | 35.8% | (7.7) pts |
Operating income, non GAAP | $237m | $128m | 85.8% | $403m | $219m | 83.7% |
Operating margin, non GAAP | 15.3% | 11.1% | 4.2 pts | 13.7% | 10.0% | 3.7 pts |
Net income | ($192m) | ($298m) | $106m | ($487m) | ($728m) | $241m |
Diluted EPS, GAAP | ($0.55) | ($0.89) | $0.34 | ($1.40) | ($2.18) | $0.78 |
Operating cash flow | $91m | $75m | 22.0% | $335m | $303m | 10.3% |
Capital expenditure | $8m | $17m | (54.7)% | $18m | $62m | (70.8)% |
FCF | $84m | $58m | 43.9% | $317m | $242m | 31.0% |
FCF margin | 5.4% | 5.1% | 0.3 pts | 10.8% | 11.0% | (0.3) pts |
Weighted diluted shares | 349.3m | 335.2m | 4.2% | 347.4m | 334.0m | 4.0% |
Table 2.2 Balance sheet at 31 July 2026 against 31 January 2026 and 31 July 2025
| Item | 31 Jul 2026 | 31 Jan 2026 | 31 Jul 2025 | Change in 6 months | Change in 12 months |
|---|---|---|---|---|---|
Cash and investments | $4.33bn | $4.78bn | $4.60bn | (9.5)% | (5.9)% |
Accounts receivable | $718m | $1.30bn | $647m | (44.9)% | 11.1% |
Goodwill and intangibles | $2.07bn | $1.44bn | $1.46bn | 43.3% | 41.4% |
Total assets | $8.69bn | $9.13bn | $8.20bn | (4.8)% | 6.0% |
Deferred revenue | $2.60bn | $3.36bn | $2.28bn | (22.8)% | 13.9% |
Convertible senior notes, carrying value | $2.28bn | $2.28bn | $2.28bn | 0.2% | 0.4% |
Net cash, as filed | $2.05bn | $2.50bn | $2.32bn | (18.4)% | (12.0)% |
Stockholders' equity | $2.15bn | $1.92bn | $2.37bn | 11.7% | (9.4)% |
Shares outstanding | 352.5m | 343.9m | 338.8m | 2.5% | 4.0% |
Source: 10-Q Q2 FY2027, 8-K Exhibit 99.1 for Tables 2.1 and 2.2. Net cash is cash and investments less carrying value of notes; the figure pro forma for notes issued on 1 October 2026 is $1.3bn (Table 9.1).
Net loss narrowed by $106m against $77m at the operating line; the cash flow statement shows a $35m gain on strategic investments against a $6m loss a year earlier. Goodwill and intangibles rose $624m in six months with the Observe and Natoma acquisitions (Table 5.3).
Snowflake income statement, balance sheet and cash flow
Table 2.3 Income statement, balance sheet and cash flow, FY2020 to FY2026
| Item | FY2020 | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|---|
Revenue | $265m | $592m | $1.22bn | $2.07bn | $2.81bn | $3.63bn | $4.68bn |
Gross profit | $148m | $349m | $761m | $1.35bn | $1.91bn | $2.41bn | $3.15bn |
Operating income, GAAP | ($358m) | ($544m) | ($715m) | ($842m) | ($1.09bn) | ($1.46bn) | ($1.44bn) |
Operating income, non GAAP | n/a | n/a | ($31m) | $95m | $230m | $232m | $490m |
Net income | ($349m) | ($539m) | ($680m) | ($797m) | ($836m) | ($1.29bn) | ($1.33bn) |
Diluted EPS, GAAP | ($7.77) | ($3.81) | ($2.26) | ($2.50) | ($2.55) | ($3.86) | ($3.95) |
SBC | $78m | $301m | $605m | $862m | $1.17bn | $1.48bn | $1.60bn |
Operating cash flow | ($177m) | ($45m) | $110m | $546m | $848m | $960m | $1.22bn |
Capital expenditure | $23m | $40m | $29m | $49m | $69m | $76m | $102m |
FCF | ($199m) | ($86m) | $81m | $496m | $779m | $884m | $1.12bn |
Cash and investments | $458m | $5.07bn | $5.11bn | $5.08bn | $4.76bn | $5.29bn | $4.78bn |
Convertible senior notes | $0m | $0m | $0m | $0m | $0m | $2.27bn | $2.28bn |
Total assets | $1.01bn | $5.92bn | $6.65bn | $7.72bn | $8.22bn | $9.03bn | $9.13bn |
Deferred revenue | $330m | $643m | $1.17bn | $1.68bn | $2.21bn | $2.60bn | $3.36bn |
Stockholders' equity | ($545m) | $4.94bn | $5.05bn | $5.46bn | $5.18bn | $3.00bn | $1.92bn |
Weighted diluted shares | 44.8m | 141.6m | 300.3m | 318.7m | 328.0m | 332.7m | 337.5m |
Table 2.4 Quarterly results, Q1 FY2026 to Q2 FY2027
| Item | Q1 FY2026 | Q2 FY2026 | Q3 FY2026 | Q4 FY2026 | Q1 FY2027 | Q2 FY2027 |
|---|---|---|---|---|---|---|
Revenue | $1.04bn | $1.14bn | $1.21bn | $1.28bn | $1.39bn | $1.55bn |
Gross profit | $693m | $773m | $822m | $858m | $926m | $1.04bn |
Operating income, GAAP | ($447m) | ($340m) | ($329m) | ($318m) | ($326m) | ($263m) |
Operating income, non GAAP | $92m | $128m | $131m | $139m | $166m | $237m |
Net income | ($430m) | ($298m) | ($294m) | ($310m) | ($296m) | ($192m) |
Diluted EPS, GAAP | ($1.29) | ($0.89) | ($0.87) | ($0.90) | ($0.86) | ($0.55) |
SBC | $379m | $404m | $412m | $404m | $402m | $424m |
Operating cash flow | $228m | $75m | $138m | $781m | $243m | $91m |
Capital expenditure | $45m | $17m | $24m | $16m | $10m | $8m |
FCF | $183m | $58m | $114m | $765m | $233m | $84m |
Cash and investments | $4.87bn | $4.60bn | $4.39bn | $4.78bn | $4.39bn | $4.33bn |
Total assets | $8.16bn | $8.20bn | $8.23bn | $9.13bn | $8.55bn | $8.69bn |
Deferred revenue | $2.32bn | $2.28bn | $2.43bn | $3.36bn | $2.88bn | $2.60bn |
Stockholders' equity | $2.41bn | $2.37bn | $2.13bn | $1.92bn | $1.94bn | $2.15bn |
Weighted diluted shares | 332.7m | 335.2m | 339.6m | 342.3m | 345.4m | 349.3m |
Source: Tables 2.3 and 2.4 draw on 10-K filings FY2021 to FY2026, 10-Q filings to Q2 FY2027, 424B4 for FY2020, 8-K Exhibit 99.1 releases for non GAAP lines.
Snowflake margins and ratio analysis
Table 2.5 Ratio analysis, FY2022 to FY2026 and trailing twelve months to 31 July 2026
| Group | Ratio | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 | TTM Q2 FY2027 |
|---|---|---|---|---|---|---|---|
Growth | Revenue growth | 106.0% | 69.4% | 35.9% | 29.2% | 29.2% | 32.0% |
Growth | Product revenue growth | 105.9% | 70.0% | 37.6% | 29.8% | 29.2% | 32.6% |
Margin | Gross margin | 62.4% | 65.3% | 68.0% | 66.5% | 67.2% | 67.0% |
Margin | Operating margin, GAAP | (58.6)% | (40.8)% | (39.0)% | (40.2)% | (30.6)% | (22.8)% |
Margin | Operating margin, non GAAP | (2.6)% | 4.6% | 8.2% | 6.4% | 10.5% | 12.4% |
Margin | Net margin | (55.8)% | (38.6)% | (29.8)% | (35.5)% | (28.4)% | (20.1)% |
Margin | FCF margin | 6.7% | 24.0% | 27.8% | 24.4% | 23.9% | 22.0% |
Margin | SBC as % of revenue | 49.6% | 41.7% | 41.6% | 40.8% | 34.1% | 30.2% |
Return | Return on equity | (13.6)% | (15.2)% | (15.7)% | (31.4)% | (54.1)% | (48.2)% |
Return | Return on assets | (10.8)% | (11.1)% | (10.5)% | (14.9)% | (14.7)% | (12.9)% |
Liquidity | Current ratio | 3.29x | 2.50x | 1.85x | 1.78x | 1.30x | 0.94x |
Leverage | Net cash, as filed | $5.11bn | $5.08bn | $4.76bn | $3.02bn | $2.50bn | $2.05bn |
Leverage | Debt to equity | 0.00x | 0.00x | 0.00x | 0.76x | 1.18x | 1.06x |
Leverage | Liabilities to assets | 24.1% | 29.2% | 36.9% | 66.7% | 78.9% | 75.3% |
Efficiency | Days sales outstanding | 126 | 111 | 107 | 93 | 87 | 46 |
Efficiency | Asset turnover | 0.19x | 0.29x | 0.35x | 0.42x | 0.52x | 0.64x |
Per share | Diluted EPS, GAAP | ($2.26) | ($2.50) | ($2.55) | ($3.86) | ($3.95) | ($3.18) |
Per share | FCF per share | $0.27 | $1.56 | $2.37 | $2.66 | $3.32 | $3.47 |
Per share | SBC per share | $2.02 | $2.70 | $3.56 | $4.45 | $4.74 | $4.77 |
Per share | Weighted diluted shares | 300.3m | 318.7m | 328.0m | 332.7m | 337.5m | 344.1m |
Per share | Change in weighted shares | 112.0% | 6.1% | 2.9% | 1.4% | 1.4% | 3.4% |
Source: ratios computed from the filings behind Tables 2.3 and 2.4. TTM diluted EPS is the sum of four quarterly figures. TTM days sales outstanding rests on July receivables of $718m against $1.30bn in January.
Equity fell from $5.18bn at 31 January 2024 to $1.92bn two years later as $2.81bn of repurchases were charged to accumulated deficit alongside net losses (10-K).
Snowflake GAAP operating loss against non GAAP operating income
Table 2.6 GAAP operating loss to non GAAP operating income
| Item | Q2 FY2027 | Q2 FY2026 | H1 FY2027 | H1 FY2026 | FY2026 |
|---|---|---|---|---|---|
Operating income, GAAP | ($263m) | ($340m) | ($589m) | ($788m) | ($1.44bn) |
SBC related charges | $456m | $436m | $890m | $845m | $1.71bn |
Amortization of acquired intangibles | $42m | $28m | $83m | $52m | $110m |
Acquisition and strategic investment expenses | $1.4m | $2.2m | $1.4m | $2.6m | $8.2m |
Restructuring, net | $0m | ($0.5m) | $0m | ($1.2m) | ($13m) |
Office facility exit impairment, net | $0m | $2.1m | $18m | $109m | $109m |
Operating income, non GAAP | $237m | $128m | $403m | $219m | $490m |
Source: 8-K Exhibit 99.1 of 2 September 2026 and 25 February 2026.
SBC related charges of $890m were 90% of the gap between GAAP and non GAAP operating income in H1 FY2027. H1 FY2027 operating margin was (20.1)% with that compensation counted as an operating cost and 13.7% with it excluded.
Snowflake share repurchases and dilution
Table 2.7 Share repurchases against stock based compensation
| Item | FY2023 | FY2024 | FY2025 | FY2026 | H1 FY2027 |
|---|---|---|---|---|---|
Share repurchases | $0m | $592m | $1.93bn | $874m | $300m |
Shares repurchased | 0.0m | 4.0m | 14.8m | 4.9m | 1.7m |
Average repurchase price | n/a | $147.49 | $130.87 | $177.37 | $178.95 |
Tax paid on net share settlement | $185m | $381m | $489m | $673m | $328m |
Repurchases as % of SBC | 0% | 51% | 131% | 55% | 36% |
Repurchases plus net settlement tax as % of SBC | 21% | 83% | 164% | 97% | 76% |
Repurchases as % of FCF | 0% | 76% | 219% | 78% | 95% |
Shares outstanding, period end | 323.3m | 334.5m | 333.9m | 343.9m | 352.5m |
Change in shares outstanding | 3.5% | 3.4% | (0.2)% | 3.0% | 2.5% |
Source: 10-K FY2026, 10-Q Q2 FY2027.
All H1 FY2027 repurchases took place in Q1; remaining authorisation was $803m at 31 July 2026. Convertible note terms are in Table 5.2.
3 MD&A & Management Commentary
Snowflake raised FY2027 product revenue guidance to $6.07bn, 36% growth, on 2 September 2026, $410m above the $5.66bn first given on 25 February 2026, after Q2 FY2027 product revenue of $1.49bn was 5.2% above the guidance midpoint (8-K Exhibit 99.1). Product revenue exceeded the midpoint in each of the last six quarters, by 4.2% on average. Standing guidance implies $1.65bn for Q4 FY2027, growth of 34.8% against 37% to 38% guided for Q3.
Snowflake guidance versus actual product revenue
Table 3.1 Quarterly guidance against actual, product revenue and non GAAP operating margin
| Quarter | Guidance given | Product revenue guidance | Actual | Above midpoint | Growth year on year | Operating margin guidance | Actual margin |
|---|---|---|---|---|---|---|---|
Q1 FY2026 | 26 Feb 2025 | $955m to $960m | $997m | $39m, 4.1% | 26% | 5.0% | 8.8% |
Q2 FY2026 | 21 May 2025 | $1.035bn to $1.040bn | $1.09bn | $53m, 5.1% | 32% | 8.0% | 11.1% |
Q3 FY2026 | 27 Aug 2025 | $1.125bn to $1.130bn | $1.16bn | $31m, 2.7% | 29% | 9.0% | 10.8% |
Q4 FY2026 | 3 Dec 2025 | $1.195bn to $1.200bn | $1.23bn | $29m, 2.4% | 30% | 7.0% | 10.8% |
Q1 FY2027 | 25 Feb 2026 | $1.262bn to $1.267bn | $1.33bn | $70m, 5.5% | 34% | 9.0% | 11.9% |
Q2 FY2027 | 27 May 2026 | $1.415bn to $1.420bn | $1.49bn | $74m, 5.2% | 37% | 12.5% | 15.3% |
Q3 FY2027 | 2 Sep 2026 | $1.588bn to $1.593bn | n/a | n/a | 37% to 38% guided | 15.5% | n/a |
Source: 8-K Exhibit 99.1 releases linked in the second column; each actual is in the release that follows. Actual margin is non GAAP operating income over revenue.
Table 3.2 Full year guidance at each release, latest first
| Date | Filing | What management stated |
|---|---|---|
2 Sep 2026 | 8-K Exhibit 99.1 | FY2027 product revenue $6.07bn, 36% growth, raised from $5.84bn, 31% growth. Non GAAP operating margin 14.5%, raised from 13.5%. Non GAAP product gross margin 74.0%, against 75.0% in May. Adjusted FCF margin 23.0%. Diluted shares 380m, against 376m. |
27 May 2026 | 8-K Exhibit 99.1 | FY2027 product revenue raised to $5.84bn, 31% growth, from $5.66bn. Operating margin raised to 13.5% from 12.5%. Product gross margin 75.0% and adjusted FCF margin 23.0% unchanged. |
31 Mar 2026 | 8-K Item 7.01 | Guidance for Q1 and FY2027 reaffirmed on the day of the Chief Revenue Officer change; Exhibit 99.1 states that guidance philosophy is unchanged. |
25 Feb 2026 | 8-K Exhibit 99.1 | First FY2027 guidance: product revenue $5.66bn, 27% growth; product gross margin 75.0%; operating margin 12.5%; adjusted FCF margin 23.0%; diluted shares 376m. |
26 Feb 2025 to 3 Dec 2025 | 8-K Exhibit 99.1 to 8-K Exhibit 99.1 | FY2026 product revenue guidance moved from $4.28bn to $4.325bn, $4.395bn and $4.446bn. Actual was $4.47bn, 29% growth, 4.5% above the first figure. |
Snowflake RPO decline and contract duration
RPO was $9.00bn at 31 July 2026, up 30% year on year and (7.9)% from 31 January 2026; in the same six months a year earlier RPO rose 0.9%. Portion expected within 12 months rose about $0.37bn from 31 January 2026 and the later portion fell about $1.13bn. Management said on the 2 September 2026 earnings call that bookings are increasingly weighted towards Q4.
Table 3.3 RPO, expected timing and remaining contract life
| Period end | RPO | Change on prior quarter | Expected within 12 months | Weighted average remaining life | Filing |
|---|---|---|---|---|---|
31 Jan 2025 | $6.87bn | n/a | 48% | n/a | 10-K |
30 Apr 2025 | $6.69bn | (2.6)% | n/a | n/a | 10-Q |
31 Jul 2025 | $6.93bn | 3.7% | 50% | 2.4 years | 10-Q |
31 Oct 2025 | $7.88bn | 13.7% | n/a | n/a | 10-Q |
31 Jan 2026 | $9.77bn | 24.0% | 46% | 2.7 years | 10-K |
30 Apr 2026 | $9.21bn | (5.8)% | 50% | 2.6 years | 10-Q |
31 Jul 2026 | $9.00bn | (2.2)% | 54% | 2.4 years | 10-Q |
Table 3.4 Weighted average term of capacity contracts signed in each period
Snowflake trends and risks flagged by management
Table 3.5 Trends and risks management names, with source and date
| Topic | What management states | Source and date |
|---|---|---|
AI products | CoCo reached 9,100 accounts, adding more than 2,000 in Q2 FY2027, and CoWork 5,800. Accounts using AI features were more than 6,100 each week in Q2 FY2026, over 9,100 in Q4 FY2026 and more than 13,600 in Q1 FY2027. | 8-K Exhibit 99.1 of 2 Sep 2026, 27 May 2026, 25 Feb 2026, 27 Aug 2025 |
AI cost and gross margin | Third party cloud infrastructure cost, including AI inference and GPUs, rose $113.6m in Q2 FY2027 within cost of product revenue and $42.5m within research and development. GAAP product gross margin was 71% against 72%, attributed to "costs attributable to newly launched product capabilities and features that have not yet reached economies of scale". | 10-Q Item 2, 4 Sep 2026 |
Consumption patterns | Product revenue rose $401.4m in Q2 FY2027, attributed primarily to existing customers. Customers "optimize consumption", now including "optimizing AI usage", wording added since the 10-K. Management expects NRR to decrease over the long term as older cohorts become a larger share. | 10-Q Item 2, 4 Sep 2026; 10-K Item 7, 20 Mar 2026 |
Contract duration and RPO | Shortened contract duration is listed among customer responses to budget pressure. RPO is described as influenced by timing and size of renewals, contract terms and seasonality. | 10-Q Item 2, 4 Sep 2026 |
Competition | Named competitors are AWS, Azure and GCP, which also supply Snowflake's infrastructure, plus providers of AI products and observability vendors. Open formats such as Apache Iceberg are described as reducing customer lock in. Mentions of Databricks in Snowflake filings from 1 January 2025 to 10 October 2026: 0. | 10-Q Item 1A, 4 Sep 2026 |
CFO and sales leadership | Brian Robins, CFO of GitLab since October 2020, was appointed CFO with an expected start of 22 September 2025; Chief Revenue Officer changed on 31 March 2026. Three quarters guided since the CFO change exceeded the midpoint by 2.4% to 5.5%. | 8-K, 3 Sep 2025; 8-K, 31 Mar 2026 |
Snowflake earnings call commentary
Table 3.6 Earnings call commentary, last three calls, in indirect speech
| Earnings call | Topic | What management said |
|---|---|---|
2 Sep 2026, Q2 FY2027 | RPO and bookings | CFO said about 54% of RPO converts within 12 months, implying growth of about 42% in that portion, and that bookings are increasingly weighted towards Q4 as customers favour Q4 renewals. |
2 Sep 2026, Q2 FY2027 | AI contribution | CEO said AI products, among them CoCo and CoWork, contributed about half of the acceleration in product revenue growth. |
2 Sep 2026, Q2 FY2027 | Gross margin | CFO attributed the 74% product gross margin guidance to a higher mix of AI workloads, which carry lower contribution margin today. |
2 Sep 2026, Q2 FY2027 | Guidance basis and headcount | CFO said guidance rests on observed consumption with unchanged method and includes about 1 point of growth from Observe. Headcount rose 334 in H1 FY2027, of which 173 from Observe, against 935 a year earlier. |
27 May 2026, Q1 FY2027 | Observe | Management said Observe added less than 1 point to Q1 growth and lowers full year margin and FCF margin by about 150 basis points. |
25 Feb 2026, Q4 FY2026 | Large deals | CFO said Q4 included the largest contract in company history, above $400m with an existing customer, and seven contracts of nine figures against two a year earlier. |
25 Feb 2026, Q4 FY2026 | Stock based compensation | Management said SBC fell from 41% of revenue in FY2025 to 34% in FY2026 and is expected at 27% in FY2027. |
25 Feb 2026, Q4 FY2026 | AI margin and predictability | CFO said newer AI products carry lower margins than the core business; CEO said consumption from AI use cases is harder to model and that spending caps per user and per account are planned. |
Source: public earnings call transcripts; speaker is named where the transcript labels it.
4 Sector & Competitor Analysis
Snowflake grew revenue 32.0% in twelve months to 31 July 2026 against a peer median of 21.6%, and shares trade at 23.7x EV / sales against a peer median of 10.3x (market data, 9 October 2026). GAAP operating margin is (22.8)% against 32.1%.
Cloud data platform market size and growth
Table 4.1 Named research on market size, AI demand and open table formats
| Source | Date | Finding |
|---|---|---|
IDC Semiannual Software Tracker, cited in MongoDB 10-Q 0001628280-26-059830 | May 2026 | Worldwide database management software market $108bn in 2025, about $193bn in 2030, 12% five year compound annual growth |
| 30 Jul 2026 | Cloud infrastructure services revenue $143.4bn in Q2 2026, up 43% year on year; $500bn over trailing twelve months; Amazon 28%, Microsoft 20%, Google 15% share; generative AI named as main driver of faster growth | |
| 21 Apr 2026 | AWS, Microsoft, Oracle, Google and IBM rank first to fifth by database revenue since 2022; Snowflake, Databricks and MongoDB gained share | |
| 19 Feb 2026 | Of 252 data leaders running Apache Iceberg, 58% use it for business critical analytics, 79% plan to move remaining data to Iceberg within 12 months, 95% run or plan AI workloads on it |
AI workloads, consumption pricing and Apache Iceberg
Snowflake product revenue grew 36.8% in Q2 FY2027, level with Amazon Web Services at 36.8% and below Google Cloud at 81.8%. Snowflake's 10-K states that customers have less lock in when its platform processes Apache Iceberg tables held in customer controlled storage, and that this increases competition.
Table 4.2 Consumption pricing and AI demand as filed
| Company | Filing | Statement |
|---|---|---|
Snowflake | 10-K 0001640147-26-000008 | Substantial majority of revenue comes from fees based on compute, storage and data transfer consumed |
Snowflake | 10-Q 0001640147-26-000037 | Cost of revenue rose on third party cloud infrastructure expenses, including AI inference and GPUs, mainly from increased customer consumption |
MongoDB | 10-Q 0001628280-26-059830 | Atlas, billed primarily on usage, was 73% of Q2 FY2027 revenue |
Datadog | 10-Q 0001628280-26-054458 | Reduction in usage from largest customer started in Q3 2026 |
Microsoft | 10-K 0001193125-26-323660 | Azure and other cloud services revenue grew 41% in FY2026; total RPO of $684bn at 30 Jun 2026 against $375bn a year earlier |
Amazon | 10-Q 0001018724-26-000026 | RPO of $496bn at 30 Jun 2026 against $195bn a year earlier |
Alphabet | 10-Q 0001652044-26-000071 | Google Cloud revenue rose 82% to $24.8bn in Q2 2026, driven by infrastructure and platform services |
Snowflake versus competitors on growth and margins
Peer set: Amazon, Microsoft and Alphabet, named as competitors in Snowflake's 10-K, plus Oracle, MongoDB, Datadog and Palantir. Snowflake's rule of 40 score (revenue growth plus FCF margin) of 54.0% ranks third of eight; SBC is 30.2% of revenue against a median of 6.7%. Against MongoDB, Datadog and Palantir alone, median growth is 31.5% and median EV / sales is 25.5x.
Table 4.3 Operating comparison, latest twelve months reported by each filer
| Company | Period | Revenue | Growth | Gross margin | GAAP operating margin | FCF margin | SBC % of revenue | RPO growth | Net revenue retention | Rule of 40 |
|---|---|---|---|---|---|---|---|---|---|---|
Snowflake | TTM to 31 Jul 2026 | $5.4bn | 32.0% | 67.0% | (22.8)% | 22.0% | 30.2% | 29.9% | 126% | 54.0% |
MongoDB | TTM to 31 Jul 2026 | $2.8bn | 25.5% | 72.7% | (0.5)% | 23.7% | 20.3% | 91.3% | 122% | 49.1% |
Datadog | TTM to 30 Jun 2026 | $4.0bn | 31.5% | 79.5% | 0.4% | 27.0% | 20.7% | 43.1% | low 120%s | 58.6% |
Palantir | TTM to 30 Jun 2026 | $6.2bn | 78.9% | 84.8% | 42.8% | 54.6% | 13.6% | 104.2% | n/a | 133.5% |
Oracle | TTM to 31 Aug 2026 | $71.8bn | 21.6% | 64.0% | 32.1% | (40.0)% | 6.7% | 45.8% | n/a | (18.4)% |
Microsoft | FY to 30 Jun 2026 | $331.8bn | 17.8% | 67.9% | 46.8% | 20.2% | 3.7% | 82.4% | n/a | 38.0% |
Amazon | TTM to 30 Jun 2026 | $775.7bn | 15.8% | 50.8% | 12.1% | (1.5)% | 2.5% | 154.4% | n/a | 14.3% |
Alphabet | TTM to 30 Jun 2026 | $445.9bn | 20.1% | 60.9% | 33.1% | 11.9% | 6.3% | 380.1% | n/a | 32.0% |
Peer median | n/a | n/a | 21.6% | 67.9% | 32.1% | 20.2% | 6.7% | 91.3% | n/a | 38.0% |
Databricks and Confluent
Table 4.4 Private and acquired competitors
| Company | Status | Public figures | Source |
|---|---|---|---|
Databricks | Private; EDGAR shows Form D notices as of 10 Oct 2026; S-1 filings: 0 | Revenue run rate above $7bn, growth above 80% in Q2 2026, $5bn raised at $190bn valuation, about 27x run rate (derived); company reported, unaudited | Reuters, 13 Aug 2026; Form D 0001587468-26-000002 |
Confluent | Acquired by IBM on 17 Mar 2026 at $31.00 per share in cash, about $11bn enterprise value; registration terminated 27 Mar 2026 | Last annual report covers FY2025 | IBM release, 17 Mar 2026; Form 15 certification of deregistration 0000950142-26-000892 |
Valuation multiples EV / sales and P / FCF
Snowflake trades at 108.9x FCF, second of six companies with positive FCF (five peers plus Snowflake); peer median is 80.7x. Snowflake EV is pro forma for notes issued on 1 October 2026.
Table 4.5 Valuation and capital structure at 9 October 2026 closing prices
| Company | Price | Market cap | EV | EV / sales | P / FCF | Net cash (debt) | Operating return on capital |
|---|---|---|---|---|---|---|---|
Snowflake | $368.89 | $130.1bn | $128.8bn | 23.7x | 108.9x | $1.3bn | (27.9)% |
MongoDB | $385.93 | $31.1bn | $28.7bn | 10.3x | 47.2x | $2.4bn | (0.5)% |
Datadog | $293.26 | $105.3bn | $101.3bn | 25.5x | 98.2x | $4.0bn | 0.3% |
Palantir | $209.05 | $502.4bn | $493.0bn | 80.1x | 149.6x | $9.4bn | 27.0% |
Oracle | $141.40 | $427.6bn | $515.8bn | 7.2x | n/a | ($88.3bn) | 12.0% |
Microsoft | $535.07 | $3.97tn | $3.94tn | 11.9x | 59.3x | $36.5bn | 32.2% |
Amazon | $262.43 | $2.83tn | $2.84tn | 3.7x | n/a | ($9.2bn) | 13.7% |
Alphabet | $351.66 | $4.30tn | $4.16tn | 9.3x | 80.7x | $142.3bn | 19.9% |
Peer median | n/a | n/a | n/a | 10.3x | 80.7x | n/a | 13.7% |
Source: filings in Table 4.7 via SEC-API.io; market data, 9 October 2026. Snowflake net cash is pro forma (Table 9.1); its operating return on capital uses the 31 July 2026 balance sheet.
Table 4.6 Metric definitions and basis
| Item | Definition or basis |
|---|---|
| TTM | Latest annual report plus latest year to date period less prior year to date period; Microsoft on FY2026, its latest filed period at 10 Oct 2026 |
| FCF | Operating cash flow less purchases of property and equipment and capitalised software; Amazon on gross purchases of property and equipment |
| Rule of 40 | Revenue growth plus FCF margin |
| RPO growth | RPO at latest balance sheet against same date a year earlier; Snowflake $9.00bn against $6.93bn, stated by the company as 30% |
| Net revenue retention | As filed: Snowflake NRR at 31 Jul 2026; MongoDB net ARR (annual recurring revenue) expansion rate at 31 Jul 2026; Datadog trailing 12 month rate at 30 Jun 2026, stated as a range |
| Gross margin | As filed; Amazon, Alphabet and Oracle derived as revenue less cost lines each files |
| EV | Market cap plus debt less cash and marketable securities, leases excluded; Snowflake cash includes long term investments |
| Market cap | Closing price times shares on latest 10-K or 10-Q cover; Alphabet Class A price applied to all three share classes |
| Operating return on capital | GAAP operating income over equity plus debt at latest balance sheet |
| n/a cells | Oracle FCF was ($28.7bn) and Amazon FCF ($11.6bn); net retention metrics in 10-K, 10-Q and 8-K filings from 1 Oct 2025 to 10 Oct 2026 for Palantir, Oracle, Microsoft, Amazon and Alphabet: 0 |
Table 4.7 Filings behind each peer figure
5 Material Events & Contracts
Snowflake priced $3.75bn of 0.00% convertible senior notes on 28 September 2026, the largest transaction among ten 8-K filings made between 10 October 2025 and 10 October 2026 (8-K 0001640147-26-000043).
Snowflake 8-K filings in the last twelve months
Table 5.1 Form 8-K filings, 10 October 2025 to 10 October 2026, newest first
| Filed | Form and items | Event | Accession |
|---|---|---|---|
2 Oct 2026 | 8-K: 1.01, 2.03, 3.02, 8.01, 9.01 | Priced $2.0bn of 0.00% convertible senior notes due 2029 and $1.75bn due 2031 on 28 Sep 2026 under indentures dated 1 Oct 2026; net proceeds about $3.70bn, of which $383.5m paid for capped calls and $548.3m repurchased $261.8m principal of 2027 notes. | 0001640147-26-000043 |
2 Sep 2026 | 8-K: 2.02, 9.01 | Q2 FY2027 results and raised FY2027 guidance (Tables 2.1 and 3.2). | 0001640147-26-000033 |
16 Jul 2026 | 8-K: 5.02 | Compensation committee granted CEO Sridhar Ramaswamy 1.0m performance stock units (PSUs) in five tranches with stock price targets of $324 to $531 over performance periods of two to seven years. | 0001628280-26-048373 |
30 Jun 2026 | 8-K: 5.07 | Annual meeting of 29 Jun 2026; voting results are in Table 6.4. | 0001640147-26-000032 |
27 May 2026 | 8-K: 2.02, 9.01 | Q1 FY2027 revenue $1.39bn, up 33%; product revenue $1.33bn, up 34%; release cites a $6bn agreement with AWS spanning several years and an agreement to acquire Natoma. | 0001640147-26-000027 |
31 Mar 2026 | 8-K: 7.01, 9.01 | Jonathan Beaulier, age 49, appointed Chief Revenue Officer effective 31 Mar 2026, succeeding Michael Gannon, who entered a separation and release agreement with cash payments and a consulting period; Q1 and FY2027 guidance reaffirmed. | 0001640147-26-000013 |
25 Feb 2026 | 8-K: 2.02, 9.01 | Q4 FY2026 revenue $1.28bn, up 30%; product revenue $1.23bn, up 30%; RPO $9.77bn, up 42%; 740 net new customers; first FY2027 product revenue guidance $5.66bn. | 0001628280-26-011631 |
2 Feb 2026 | 8-K: 5.02 | Director Jeremy Burton resigned effective 30 Jan 2026 in connection with the acquisition of Observe, Inc., where he was chief executive, completed 2 Feb 2026 and approved by a special committee of independent directors and the audit committee. | 0001628280-26-004606 |
3 Dec 2025 | 8-K: 2.02, 9.01 | Q3 FY2026 revenue $1.21bn, up 29%; product revenue $1.16bn, up 29%; RPO $7.88bn, up 37%. | 0001640147-25-000207 |
27 Oct 2025 | 8-K: 8.01 | Company stated that an executive officer who discussed future results in a social media interview posted 26 Oct 2025 is outside its list of authorised spokespersons, and reaffirmed Q3 and FY2026 revenue guidance of 27 Aug 2025. | 0001628280-25-046310 |
Snowflake convertible notes, capped calls and buyback
September 2026 offering lifts convertible principal to $5.79bn across four series. Remaining 2024 notes of $2.04bn convert at $157.50 into 12.9m shares; 2026 notes convert into 7.6m shares. Remaining proceeds are for general corporate purposes, which may include share repurchases and acquisitions.
Table 5.2 Financing contracts and capital return authorisation
| Counterparty | What the contract does and key terms | Term | Source |
|---|---|---|---|
U.S. Bank Trust Company, N.A., trustee | Indenture for $2.0bn of 0.00% convertible senior notes due 2029. Senior unsecured, 0.00% interest, principal fixed at face value. Conversion rate 1.9985 shares per $1,000 ($500.38 per share, 52.5% premium). Company may redeem from 20 Apr 2028 if stock trades at 150% of conversion price for 20 of 30 trading days. Holders may require repurchase at 100% of principal on a fundamental change. Cross default threshold $250m. | 1 Oct 2026 to 15 Oct 2029 | 8-K Exhibit 4.1 |
U.S. Bank Trust Company, N.A., trustee | Indenture for $1.75bn of 0.00% convertible senior notes due 2031. Conversion rate 2.0662 shares per $1,000 ($483.98 per share, 47.5% premium). Redeemable from 22 Oct 2029 at a 130% stock price trigger. Settlement in cash, shares or both at company election. Maximum shares issuable are 6,095,200 for 2031 notes and 7,009,480 for 2029 notes, at 3.0476 per $1,000; both maxima cover the option notes, that is $2.0bn of 2031 notes and $2.3bn of 2029 notes. | 1 Oct 2026 to 15 Oct 2031 | 8-K Exhibit 4.3 |
Initial purchasers of the notes | Purchase agreement dated 28 Sep 2026 grants options over a further $300m of 2029 notes and $250m of 2031 notes; net proceeds rise to about $4.24bn if exercised in full. | 13 days from first issue | 8-K Item 1.01 |
Option counterparties (initial purchasers, affiliates, other financial institutions) | Capped calls covering the shares underlying each new series, cost $383.5m. They offset dilution or cash paid above principal on conversion up to a cap price of $820.30, a 150% premium to the $328.12 close of 28 Sep 2026. | Expire 15 Oct 2029 and 15 Oct 2031 | 8-K Exhibit 10.1 |
Holders of 2027 notes | Privately negotiated repurchase of $261.8m principal of 0% notes due 2027 for $548.3m cash, 209.4% of principal. | Sep 2026 | 8-K Exhibit 99.2 |
U.S. Bank Trust Company, N.A., trustee | Indentures of 27 Sep 2024 for $1.15bn of 0% notes due 1 Oct 2027 and $1.15bn due 1 Oct 2029, conversion price $157.50. Fair value at 31 Jul 2026 was $2.17bn and $2.28bn. A 130% sale price trigger was met in Q2 FY2027, so holders may convert during Q3 FY2027. Related capped calls cost $195.5m, cap price $225.00. | To Oct 2027 and Oct 2029 | 10-K exhibits 4.3 to 4.10, 10.19; 10-Q Note 10 |
Board authorisation | Stock repurchase programme of $2.0bn (Feb 2023) plus $2.5bn (Aug 2024). 1.7m shares bought for $300.0m at $178.95 in H1 FY2027, all in Q1; $802.7m remained at 31 Jul 2026. Purchases are at company discretion. | Expires March 2027 | 10-Q Note 12 |
Snowflake cloud infrastructure commitments and acquisitions
April 2026 cloud amendment sets a $6.0bn minimum through 31 March 2031, against $2.68bn of total non cancelable purchase commitments at 31 January 2026, of which $656m was due in FY2027. Third party cloud costs were 75% of cost of product revenue in Q2 FY2027 (10-Q). Counterparties are unnamed in the 10-Q.
Table 5.3 Supplier commitments, acquisition agreements and leases
| Counterparty | What the contract does and key terms | Term | Source |
|---|---|---|---|
Cloud infrastructure provider (Q1 FY2027 release cites a $6bn agreement with AWS) | April 2026 amendment: cumulative minimum spend of $6.0bn, with $900.0m to $1.25bn per contract year. Snowflake pays any shortfall against the cumulative or annual minimum; such payments can be applied to qualifying spend during the term. Replaces the prior commitment under that agreement. | Five years to 31 Mar 2031 | 10-Q Q1 FY2027 Note 11 |
Same provider | June 2026 amendment commits Snowflake to incremental exabytes of storage at contracted rates; estimated minimum obligation $58m at 31 Jul 2026, adjustable for actual usage. | Storage term extended from March 2031 to May 2036 | 10-Q Q2 FY2027 Note 11 |
AI service provider | Three year agreement supporting Snowflake AI products, amended between May and 4 September 2026: $190m added for the first contract year, total minimum $390m, $270m remaining at 31 Jul 2026. Snowflake pays the shortfall for any contract year; services bought through certain public clouds count toward the minimum. | Dec 2025 to Nov 2028 | 10-Q Q2 FY2027 Note 11 |
Cloud infrastructure provider | Aggregate minimum spend of $1.0bn, annual minimum $0; $530.5m remaining at 31 Jan 2026. Shortfall is payable by May 2028 and can be applied to cloud services for up to twelve months. | Jun 2023 to May 2028 | 10-K Note 11 |
Cloud infrastructure provider | Aggregate minimum spend of $530.0m, annual minimum $0; $518.0m remaining at 31 Jan 2026. Up to $100.0m of any shortfall payment can be applied to spend for one year after October 2030. | Nov 2025 to Oct 2030 | 10-K Note 11 |
Observe, Inc. securityholders | Acquisition of the AI powered observability platform for $595.8m: $285.7m cash, 1.5m shares valued at $285.3m, and a prior $25.0m stake remeasured to $22.8m. Goodwill $342.8m. $212.0m of restricted stock units (RSUs) granted to continuing employees. | Closed 2 Feb 2026 | 10-Q Note 7; 10-K Note 16 |
Natoma Labs, Inc. securityholders | Merger agreement dated 24 May 2026 for an enterprise Model Context Protocol platform for AI agents. Consideration $128.3m: $110.5m in stock and $17.7m cash. 0.7m shares issued in total, of which 0.2m vest over three years ($54.4m of stock compensation). | Closed 3 Jun 2026 | 10-Q Note 7 and Part II Item 2 |
Crunchy Data Solutions, Inc. securityholders | Acquisition of the PostgreSQL technology provider for $164.5m in cash. | Closed 6 Jun 2025 | 10-K Note 7 |
Landlords | All offices are leased; Menlo Park is the largest at 562,685 square feet. Remaining operating lease payments were $590.6m at 31 Jan 2026. A US lease signed February 2026 carries a $52.0m commitment; $77.6m of signed leases had yet to commence at 31 Jul 2026. Cash collateralised letters of credit were $32.8m at 31 Jul 2026. | Expiries through fiscal 2039 | 10-K Items 2 and 8; 10-Q Note 11 |
Snowflake executive agreements and governance changes
CEO award was granted on 15 July 2026, 16 days after the 29 June 2026 annual meeting. Lowest target of $324 is 1.3% below the $328.12 close of 28 September 2026 and highest target of $531 is 61.8% above it.
Table 5.4 Executive, director and governance arrangements
| Counterparty | What the contract does and key terms | Term | Source |
|---|---|---|---|
Sridhar Ramaswamy, CEO | Performance award of 1.0m PSUs under the 2020 Equity Incentive Plan, in tranches of 100,000, 150,000, 250,000, 250,000 and 250,000 units at targets of $324, $375, $427, $479 and $531. Each tranche vests when the 90 calendar day average closing price meets its target and service runs to 15 Sep 2029 (tranches 1 and 2) or 15 Sep 2030 (tranches 3 to 5). Earned shares are delivered one year after vesting. 8-K states that the tranches are designed to culminate in adding up to $100bn of stockholder value. Board may claw back on misconduct or restatement. | Granted 15 Jul 2026; up to seven years | 8-K 0001628280-26-048373 |
Jonathan Beaulier, Chief Revenue Officer | Offer letter dated 28 Mar 2026: base salary $500,000, target bonus $500,000, RSU award of $31.5m vesting 8.33% per quarter over three years from June 2026; Tier II severance participant; employment at will. | Effective 31 Mar 2026 | 10-Q Exhibit 10.1 |
Michael Gannon, former Chief Revenue Officer | Separation agreement dated 30 Mar 2026: cash equal to 100% of annual base salary, six months of COBRA premiums, and a consulting term to 21 Sep 2026 during which equity awards keep vesting; the March 2026 PSU award is excluded. Release of claims required; severance plan benefits: $0. | Employment ended 31 Mar 2026 | 10-Q Exhibit 10.2 |
Executive officers | Severance and Change in Control Plan, amended 31 Aug 2026. Involuntary termination: lump sum of 1x base salary for Tiers 1 and 2. In a change in control period: 1x base salary plus target bonus for Tiers 1 and 2, 0.5x for Tier 3, with 100% equity acceleration for Tiers 1 and 2 and 50% for Tier 3. | Ongoing | 10-Q Exhibit 10.3 |
Non employee directors | Policy amended 31 Aug 2026: initial RSU grant of $1,000,000 vesting over three years, annual RSU grant of $300,000, board cash retainer $33,000; total pay capped at $750,000 per year, or $1,000,000 in the first year. | Ongoing | 10-Q Exhibit 10.4 |
Stockholders | Amended and restated bylaws adopted 31 Aug 2026 introduce majority voting for uncontested director elections, with a director resignation policy added to the governance guidelines. | Effective 31 Aug 2026 | 10-Q Exhibit 3.2 |
6 Ownership, Voting Power & Annual Meeting
Advisory vote on Snowflake executive compensation received 43.6% of votes cast at the 29 June 2026 annual meeting (30.2% in 2025), and a stockholder proposal for majority voting in director elections received 64.9%; the board had recommended a vote against it (8-K). Each share of common stock carries one vote; directors and executive officers hold 4.8%.
Snowflake major shareholders and voting power
Of the group's 17.1m shares, 8.5m are options exercisable within 60 days, 6.7m of them held by Chairman Frank Slootman. Class B stock with ten votes per share (424B4) converted one for one into Class A on 1 March 2021 (8-K); a July 2025 charter amendment removed Class B and left a single class of common stock (8-K).
Table 6.1 Beneficial ownership at 30 April 2026, shares and share of votes
| Holder | Role | Shares beneficially owned | % of shares and votes |
|---|---|---|---|
Vanguard Capital Management | 5% stockholder | 17,748,082 | 5.1% |
Frank Slootman | Chairman, former CEO | 7,643,560 | 2.2% |
Benoit Dageville | Founder, Chief Architect, director | 4,485,067 | 1.3% |
Michael L. Speiser | Director | 2,655,789 | below 1.0% |
Michael P. Scarpelli | Former CFO | 1,161,373 | below 1.0% |
Christian Kleinerman | EVP, Product Management | 693,058 | below 1.0% |
Sridhar Ramaswamy | CEO, director | 651,328 | below 1.0% |
Mark S. Garrett | Director | 628,438 | below 1.0% |
Vivek Raghunathan | SVP, Engineering | 102,786 | below 1.0% |
Michael Gannon | Former Chief Revenue Officer | 69,601 | below 1.0% |
Kelly A. Kramer | Director | 57,428 | below 1.0% |
Jayshree V. Ullal | Director | 57,428 | below 1.0% |
Teresa Briggs | Director | 33,101 | below 1.0% |
Brian Robins | CFO | 24,889 | below 1.0% |
Mark D. McLaughlin | Director | 15,803 | below 1.0% |
William F. Scannell | Director | 1,954 | below 1.0% |
Directors and executive officers as a group (14 persons) | n/a | 17,091,567 | 4.8% |
Source: DEF 14A 0001640147-26-000019. BlackRock reported 6.4% as of 30 June 2026 on Schedule 13G, after the proxy table date (Table 6.3).
Snowflake 13F institutional holders
13F filings reporting the stock rose to 1,491 for Q2 2026 from 1,360 for Q3 2025 (amendments excluded). Twelve tracked managers held 119.4m shares at 30 June 2026, 34.5% of shares outstanding.
Table 6.2 Twelve tracked 13F holders, shares held (m) at quarter end
| Manager | 30 Sep 2025 | 31 Dec 2025 | 31 Mar 2026 | 30 Jun 2026 | Value 30 Jun 2026 | % of shares outstanding | Latest 13F accession |
|---|---|---|---|---|---|---|---|
BlackRock | 23.52 | 28.21 | n/a | 31.41 | $7.99bn | 9.1% | 0002012383-26-003238 |
Vanguard | 28.65 | 30.10 | 27.62 | 27.94 | $7.11bn | 8.1% | 0002100119-26-001527, 0002100121-26-001018 |
JPMorgan Chase | 10.22 | 10.25 | 11.19 | 9.22 | $2.32bn | 2.7% | 0000019617-26-000325 |
State Street | 7.07 | 7.42 | 7.66 | 7.96 | $2.03bn | 2.3% | 0000093751-26-000583 |
FMR (Fidelity) | 11.12 | 13.81 | 10.75 | 7.65 | $1.95bn | 2.2% | 0000315066-26-002260 |
T. Rowe Price | 2.34 | 2.67 | 1.46 | 7.20 | $1.83bn | 2.1% | 0000080255-26-000519, 0001897612-26-000578 |
Geode Capital | 4.56 | 4.81 | 4.80 | 6.42 | $1.63bn | 1.9% | 0001214717-26-000008 |
Jennison Associates | 9.08 | 11.60 | 7.16 | 6.34 | $1.61bn | 1.8% | 0000053417-26-000052 |
Wellington | 3.55 | 3.00 | 5.35 | 5.15 | $1.31bn | 1.5% | 0000902219-26-000311 |
Franklin Resources | 1.06 | 2.38 | 2.84 | 4.72 | $1.20bn | 1.4% | 0000038777-26-000222 |
Morgan Stanley | 9.17 | 8.94 | 7.21 | 3.49 | $0.89bn | 1.0% | 0000895421-26-000243 |
Altimeter Capital | 2.43 | 2.03 | 1.93 | 1.93 | $0.49bn | 0.6% | 0001541617-26-000008 |
Source: Form 13F-HR filings by each manager via SEC-API.io. Vanguard is The Vanguard Group for 2025 and the sum of Vanguard Capital Management LLC and Vanguard Portfolio Management LLC for 2026. T. Rowe Price at 30 June 2026 is the sum of T. Rowe Price Associates and T. Rowe Price Investment Management. % uses 346.6m shares outstanding at 30 April 2026.
Snowflake Schedule 13D and 13G filings
All nine filings in the two year window are Schedule 13G; Schedule 13D filings: 0. BlackRock's 13F total of 31.4m shares compares with 22.3m on Schedule 13G, which covers its Reporting Business Units.
Table 6.3 Schedule 13G filings on Snowflake, October 2024 to October 2026
| Filed | Form | Filer | Event date | Shares | % of class | Accession |
|---|---|---|---|---|---|---|
30 Jul 2026 | SC 13G/A | BlackRock, Inc. | 30 Jun 2026 | 22,250,796 | 6.4% | 0002012383-26-003152 |
30 Apr 2026 | SC 13G | Vanguard Capital Management LLC | 31 Mar 2026 | 17,748,082 | 5.1% | 0002100119-26-000983 |
27 Mar 2026 | SC 13G/A | The Vanguard Group | 13 Mar 2026 | 0 | 0.0% | 0000102909-26-002347 |
17 Oct 2025 | SC 13G | BlackRock, Inc. | 30 Sep 2025 | 17,032,444 | 5.0% | 0002012383-25-002904 |
24 Apr 2025 | SC 13G/A | BlackRock, Inc. | 31 Mar 2025 | 16,210,901 | 4.9% | 0002052113-25-001682 |
12 Nov 2024 | SC 13G/A | The Vanguard Group | 30 Sep 2024 | 27,154,056 | 8.1% | 0000932471-24-001244 |
8 Nov 2024 | SC 13G | BlackRock, Inc. | 30 Sep 2024 | 16,595,025 | 5.0% | 0002012383-24-004152 |
4 Nov 2024 | SC 13G/A | The Vanguard Group | 30 Sep 2024 | 27,154,056 | 8.1% | 0000932471-24-000677 |
23 Oct 2024 | SC 13G | BlackRock, Inc. | 30 Sep 2024 | 16,595,025 | 5.0% | 0002012383-24-001887 |
Source: Schedule 13G filings via SEC-API.io. The Vanguard Group's March 2026 amendment reports zero shares; Vanguard Capital Management LLC filed a new Schedule 13G one month later.
Snowflake 2026 annual meeting voting results
Shares represented were 290.1m, 83.7% of those entitled to vote. Proponent James McRitchie holds 32 shares and his proposal is advisory. Board stays classified: a 2025 declassification amendment received 62.6% of shares outstanding against a required 66 2/3% (DEF 14A).
Table 6.4 Annual meeting of 29 June 2026, voting results
| Item | Proposal | Board position | For | Against or withheld | Abstain | Broker non votes | % for | Outcome |
|---|---|---|---|---|---|---|---|---|
1 | Elect Teresa Briggs (Class III) | FOR | 152,250,186 | 69,210,029 | n/a | 68,679,845 | 68.7% | Elected |
1 | Elect Mark D. McLaughlin (Class III) | FOR | 132,204,602 | 89,255,613 | n/a | 68,679,845 | 59.7% | Elected |
1 | Elect Sridhar Ramaswamy (Class III) | FOR | 176,034,865 | 45,425,350 | n/a | 68,679,845 | 79.5% | Elected |
2 | Advisory vote on executive compensation | FOR | 96,340,999 | 124,481,663 | 637,553 | 68,679,845 | 43.6% | Below 50%, advisory |
3 | Ratify PricewaterhouseCoopers LLP for FY2027 | FOR | 287,917,821 | 1,863,830 | 358,409 | 0 | 99.4% | Ratified |
4 | Stockholder proposal: majority vote for director elections | AGAINST | 143,119,265 | 77,384,473 | 956,477 | 68,679,845 | 64.9% | Above 50%, advisory |
Source: 8-K Item 5.07, accession 0001640147-26-000032; proponent and board position from DEF 14A. % for is for divided by for plus against or withheld.
Snowflake CEO pay, pay ratio and say on pay
Table 6.5 Executive compensation headline figures
| Measure | FY2026 | FY2025 |
|---|---|---|
CEO Sridhar Ramaswamy, total compensation | $22.3m | $101.3m |
of which stock awards | $20.8m | $25.0m |
of which option awards | $0 | $74.8m |
CFO Brian Robins, total compensation (appointed 22 September 2025) | $37.7m | n/a |
Median employee total compensation | $330,699 | n/a |
CEO pay ratio | 67 to 1 | n/a |
Say on pay support at the following annual meeting | 43.6% | 30.2% |
Source: DEF 14A 0001640147-26-000019; say on pay from 8-K Item 5.07 filings 0001640147-26-000032 and 0001640147-25-000150. Proxy reports outreach to 38 institutional stockholders after the 2025 vote and a redesigned FY2027 performance share program with three year cliff vesting.
7 Insider Activity
Snowflake insiders sold 4.72m shares for $1.21bn in open market transactions between 8 October 2025 and 7 October 2026; open market purchases were 0 shares. Sales equal 1.3% of 352.8m shares outstanding stated on the Form 144 of 7 October 2026. Tables draw on 165 Forms 3, 4 and 4/A and 95 Forms 144 via SEC-API.io.
Insider selling by month
May to September 2026 accounted for $938.5m, 77% of twelve month sales value. Average sale price over the year was $256.68.
Table 7.1 Open market activity by month
| Month | Shares bought | Shares sold | Net shares | Net value | Average sale price | Sellers |
|---|---|---|---|---|---|---|
Oct 2025 (from 8 Oct) | 0 | 60,000 | (60,000) | ($15.4m) | $256.67 | 2 |
Nov 2025 | 0 | 110,741 | (110,741) | ($28.7m) | $259.03 | 3 |
Dec 2025 | 0 | 293,651 | (293,651) | ($65.7m) | $223.90 | 6 |
Jan 2026 | 0 | 260,741 | (260,741) | ($54.8m) | $210.07 | 3 |
Feb 2026 | 0 | 160,741 | (160,741) | ($28.0m) | $174.48 | 3 |
Mar 2026 | 0 | 185,931 | (185,931) | ($32.6m) | $175.16 | 5 |
Apr 2026 | 0 | 54,617 | (54,617) | ($8.1m) | $148.53 | 2 |
May 2026 | 0 | 1,192,917 | (1,192,917) | ($272.2m) | $228.21 | 4 |
Jun 2026 | 0 | 555,170 | (555,170) | ($135.6m) | $244.23 | 6 |
Jul 2026 | 0 | 677,233 | (677,233) | ($182.3m) | $269.23 | 5 |
Aug 2026 | 0 | 490,741 | (490,741) | ($158.8m) | $323.68 | 4 |
Sep 2026 | 0 | 559,961 | (559,961) | ($189.5m) | $338.38 | 8 |
Oct 2026 (to 7 Oct) | 0 | 115,741 | (115,741) | ($39.2m) | $339.11 | 3 |
Total | 0 | 4,718,185 | (4,718,185) | ($1.21bn) | $256.68 | 9 |
Insider sales by person and Rule 10b5-1 plans
Director Frank Slootman accounts for $761.3m, 63% of sales value. Of his 3.04m shares sold, 3.00m came from same day option exercises, and his filings show 4.14m options held after 21 September 2026. Forms 4 flag a Rule 10b5-1 trading plan for 96% of shares sold; sales with no plan flagged total $53.1m, of which $42.5m are option exercise sales by director Mark Garrett.
Table 7.2 Open market sales by insider, transactions 8 October 2025 to 7 October 2026
| Insider | Role | Shares sold | Value | Average price | Under 10b5-1 plan | Common shares held after | Latest Form 4 |
|---|---|---|---|---|---|---|---|
Frank Slootman | Director | 3,035,894 | $761.3m | $250.77 | 100% | 229,053 | 18 Sep 2026 |
Benoit Dageville | Director | 651,391 | $186.7m | $286.68 | 100% | 4,045,554 | 7 Oct 2026 |
Michael Speiser | Director | 608,892 | $145.3m | $238.70 | 100% | 1,640,786 | 2 Oct 2026 |
Christian Kleinerman | EVP, Product Management | 219,051 | $61.6m | $281.44 | 100% | 628,629 | 1 Oct 2026 |
Mark Garrett | Director | 150,000 | $42.5m | $283.33 | 0% | 131,084 | 4 Sep 2026 |
Jonathan Beaulier | Chief Revenue Officer | 22,414 | $6.6m | $292.61 | 0% | 211,619 | 23 Sep 2026 |
Vivek Raghunathan | SVP, Engineering | 23,429 | $5.4m | $228.71 | 50% | 236,850 | 21 Sep 2026 |
Emily Ho | Chief Accounting Officer | 6,427 | $1.4m | $222.57 | 0% | 38,867 | 21 Sep 2026 |
Teresa Briggs | Director | 687 | $0.2m | $254.87 | 100% | 5,060 | 2 Jul 2026 |
Sridhar Ramaswamy | CEO, director | 0 | $0 | n/a | n/a | 461,363 | 21 Sep 2026 |
Michael Gannon | Chief Revenue Officer until Mar 2026 | 0 | $0 | n/a | n/a | 346,836 | 20 Mar 2026 |
Brian Robins | CFO | 0 | $0 | n/a | n/a | 142,973 | 15 Sep 2026 |
Mark McLaughlin | Director | 0 | $0 | n/a | n/a | 18,449 | 29 Jun 2026 |
Jayshree Ullal | Director | 0 | $0 | n/a | n/a | 10,074 | 29 Jun 2026 |
Kelly Kramer | Director | 0 | $0 | n/a | n/a | 10,074 | 29 Jun 2026 |
William Scannell | Director | 0 | $0 | n/a | n/a | 7,136 | 29 Jun 2026 |
Total | 16 reporting persons | 4,718,185 | $1.21bn | $256.68 | 96% | n/a | n/a |
Largest insider transactions and holdings
Table 7.3 Largest 10 insider sale transactions by value, one row per insider and trade date; all are directors' sales under Rule 10b5-1 plans
| Date | Insider | Shares | Average price | Value | Options exercised same day | Common shares held after | Form 4 |
|---|---|---|---|---|---|---|---|
29 May 2026 | Frank Slootman | 437,076 | $252.43 | $110.3m | 437,076 | 245,901 | 0001402348-26-000010 |
28 May 2026 | Frank Slootman | 400,000 | $233.42 | $93.4m | 400,000 | 245,901 | 0001402348-26-000009 |
18 Aug 2026 | Frank Slootman | 251,010 | $325.53 | $81.7m | 251,010 | 236,390 | 0001402348-26-000017 |
20 Jul 2026 | Frank Slootman | 289,685 | $274.39 | $79.5m | 289,685 | 236,390 | 0001402348-26-000016 |
18 Sep 2026 | Frank Slootman | 197,209 | $334.10 | $65.9m | 197,209 | 229,053 | 0001628280-26-063114 |
2 Jul 2026 | Benoit Dageville | 190,819 | $254.64 | $48.6m | 256,035 | 4,615,845 | 0001821737-26-000007 |
18 Jun 2026 | Frank Slootman | 200,000 | $224.27 | $44.9m | 200,000 | 236,390 | 0001402348-26-000013 |
18 Dec 2025 | Frank Slootman | 200,000 | $221.83 | $44.4m | 200,000 | 258,184 | 0001402348-25-000009 |
1 Jun 2026 | Frank Slootman | 162,924 | $263.70 | $43.0m | 162,924 | 245,901 | 0001402348-26-000011 |
20 Jan 2026 | Frank Slootman | 200,000 | $206.77 | $41.4m | 200,000 | 258,184 | 0001402348-26-000001 |
Awards, option exercises, Form 3 and Form 144 filings
Table 7.4 Award, exercise, tax withholding and gift transactions, 8 October 2025 to 7 October 2026
| Code | Transaction type | Lines | Insiders | Shares | Note |
|---|---|---|---|---|---|
A | RSU awards | 24 | 15 | 818,265 | Cash paid: $0 |
A | Shares received for Observe, Inc. securities on its acquisition by Snowflake | 5 | 1 | 872,467 | Filed by Michael Speiser, 0001433644-26-000003 |
A | PSUs granted to CEO | 1 | 1 | 1,000,000 | Derivative award, 0001715472-26-000008 |
M | Stock option exercises | 27 | 3 | 3,506,035 | Exercise cost $28.7m |
F | Shares withheld for tax on vesting | 140 | 9 | 246,110 | Value withheld $58.8m |
G | Gifts to third parties and foundations | 19 | 3 | 1,002,405 | Consideration: $0 |
G | Transfers between trusts of one reporting person | 3 | 1 | 1,567,652 | Consideration: $0 |
Table 7.5 Form 3 filing and changes in reporting status
| Date | Person | Event | Filing |
|---|---|---|---|
20 Mar 2026 | Michael Gannon | Last Form 4 as Chief Revenue Officer; 346,836 common shares held | Form 4, 0002060309-26-000004 |
31 Mar 2026 | Jonathan Beaulier | Form 3 as Chief Revenue Officer; 59,817 common shares held, including 38,339 unvested RSUs | Form 3, 0002127025-26-000002 |
15 Apr 2026 | Jonathan Beaulier | Award of 192,968 RSUs vesting quarterly over three years | Form 4, 0002127025-26-000003 |
2 Jul 2026 | Benoit Dageville | First Form 4 stating Director as sole role; earlier filings state Founder and Chief Architect and Director | Form 4, 0001821737-26-000007 |
15 Jul 2026 | Sridhar Ramaswamy | Grant of 1,000,000 PSUs | Form 4, 0001715472-26-000008 |
Table 7.6 Form 144 notices of proposed sale, filed 10 October 2025 to 7 October 2026
| Person | Relationship stated on Form 144 | Notices | Shares | Aggregate market value | Latest notice |
|---|---|---|---|---|---|
Frank Slootman | Director | 24 | 3,035,894 | $762.0m | 21 Sep 2026 |
Benoit Dageville | Officer | 18 | 651,391 | $186.7m | 7 Oct 2026 |
Michael Speiser | Affiliate | 12 | 608,892 | $145.3m | 2 Oct 2026 |
Christian Kleinerman | Officer | 28 | 214,051 | $61.0m | 1 Oct 2026 |
Mark Garrett | Director | 2 | 150,000 | $42.5m | 4 Sep 2026 |
Michael Scarpelli | Former Officer | 1 | 100,000 | $22.4m | 22 Dec 2025 |
Jonathan Beaulier | Officer | 3 | 22,414 | $6.6m | 23 Sep 2026 |
Vivek Raghunathan | Officer | 4 | 23,429 | $5.4m | 16 Sep 2026 |
Michael Gannon | Officer | 1 | 10,601 | $2.8m | 2 Jun 2026 |
Teresa Briggs | Director | 2 | 687 | $0.2m | 6 Jul 2026 |
Total | n/a | 95 | 4,817,359 | $1.23bn | n/a |
Source: Forms 3, 4, 4/A and 144 via SEC-API.io for Tables 7.1 to 7.6. Form 144 notices cover 4.82m shares, including 110,601 shares for Michael Scarpelli and Michael Gannon, whose Form 4 sales in the period were 0.
8 Risk Factors
Snowflake's Q2 FY2027 10-Q carries 55 risk factors in 25,454 words, 3.8% more text than the FY2026 10-K (24,529 words), which was 4.6% longer than the FY2025 10-K (23,442 words). Count of risk factors is 55 in each of the three filings. Business and operations risks account for 1,868 of 2,012 added words, and mentions of AI rose from 63 in the FY2025 10-K to about 80 in the FY2026 10-K and 116 in the Q2 FY2027 10-Q.
Snowflake risk factors by category and word count
Table 8.1 Item 1A risk factors and word count by category
| Category | Risk factors | Words FY2025 10-K | Words FY2026 10-K | Words Q2 FY2027 10-Q | Change 10-K to 10-K | Change 10-K to 10-Q | Reworded in FY2026 10-K | Reworded in Q2 FY2027 10-Q |
|---|---|---|---|---|---|---|---|---|
Business and operations | 31 | 13,578 | 14,616 | 15,446 | 1,038 | 830 | 11 | 10 |
Intellectual property | 3 | 1,262 | 1,312 | 1,323 | 50 | 11 | 1 | 0 |
Legal, regulatory and tax | 9 | 4,894 | 4,887 | 4,948 | (7) | 61 | 4 | 1 |
Ownership of common stock | 12 | 3,708 | 3,714 | 3,737 | 6 | 23 | 0 | 1 |
Total | 55 | 23,442 | 24,529 | 25,454 | 1,087 | 925 | 16 | 12 |
Reworded means substance was added or removed; updated means figures, dates, names or wording were refreshed.
Risk factors reworded since the prior year
Q2 FY2027 10-Q names Anthropic and OpenAI as cost drivers for gross margin, and reports that the conversion feature of the $2.3bn convertible notes issued in 2024 was triggered in Q2 FY2027.
Table 8.2 Risk factors reworded in the FY2026 10-K or the Q2 FY2027 10-Q, grouped by category
| Risk factor | FY2026 10-K against FY2025 10-K | Q2 FY2027 10-Q against FY2026 10-K |
|---|---|---|
| Business and operations | ||
Revenue growth and forecasting | Updated: revenue of $4.7bn for FY2026 replaces $3.6bn, and macroeconomic change joins the list of forecasting factors. | Reworded: text now states "periods of slowed revenue growth" and adds that customers' willingness to invest in AI may decrease and that customers may optimize AI usage. |
History of operating losses | Reworded: accumulated deficit of $9.5bn replaces $7.3bn, and new consumption arrangements and product areas may bring "increased fluctuations in our revenue and lower profit margins". | Reworded: accumulated deficit is $10.3bn at 31 July 2026, and cost of revenue now depends on services from "frontier AI model providers such as Anthropic and OpenAI". |
Competition | Reworded: observability providers, privately held rivals and partners that compete are added, with the statement "Frontier AI model providers may seek to vertically integrate their offerings". | Reworded: providers of AI products are listed as competitors, and companies "have begun to use AI to develop their own software" replaces "may use". |
AI strategy execution | Reworded: heading now refers to an effective AI strategy; adds reliance on outside large language models, AI skilled staff and internal use of AI (236 to 341 words). | Reworded: rewritten to 754 words; model provider terms "contribute to margin compression from our AI offerings", access may face "sudden suspension or restriction by AI model providers or by governments", and commitments may bring "GPU spending in excess of actual utilization". |
Security breach and unauthorized access | Reworded: heading changes from "If we" to "have in the past and may in the future"; new products may pose "different or greater data and security risks than our traditional offerings"; the May 2024 customer account incidents now refer to threat actors in the plural. | Reworded: adds prompt injection, model theft, autonomous AI systems, agent to platform protocols and "supply chain attacks targeting third party software" that holds customer credentials. |
Litigation | Reworded: adds a class action "alleging copyright infringement in connection with our large language model training" and states that litigation has resulted in substantial costs. | Updated: securities class action lawsuits are now referred to in the plural. |
Fluctuations in financial results | Reworded: adds "significant price discounts by our competitors", government budgets and the amount and timing of legal expenses as drivers of quarterly variation. | Updated: shareholder derivative lawsuits and breaches at service providers are added to the list. |
Sales to large enterprises | Reworded: accepting non standard customer requirements is stated to raise compliance cost and the likelihood of noncompliance. | Updated: heading and text change "large customers" to "large enterprises". |
Government and regulated customers | Reworded: heading adds supply chain restrictions; text adds "supply chain risk" designations, Impact Level 5, direct contracting and False Claims Act exposure. | Reworded: Snowflake states that "we have begun engaging directly with government customers" and adds export control directives on suppliers. |
Key personnel | Reworded: adds the Chief Revenue Officer and CFO changes of 2025 and demand for AI engineers; SBC was 34% of FY2026 revenue (41% in FY2025). | Reworded: adds a further Chief Revenue Officer change in March 2026, removes the sentence on the office attendance requirement, and describes the stock price as having "fluctuated significantly". |
Industry and macroeconomic conditions | Reworded: adds tariffs, trade wars and extended federal government shutdowns, and states that tariffs may raise what AWS, Azure and GCP charge Snowflake at renewal. | Updated: energy markets and rising fuel costs are added. |
Professional services | Updated: adds custom development work and the effect of delivery costs above estimates on margin. | Reworded: adds that a failure to scale services to demand may delay adoption and reduce platform consumption. |
Acquisitions and partnerships | Updated: list of acquired companies now includes Crunchy Data, TensorStax and Observe. | Reworded: adds Natoma and states that Snowflake has accepted non standard or less favorable terms from partners with more negotiating leverage. |
Conditional conversion of Notes | Reworded: adds that holders could convert during the quarter ending 30 April 2026 because the share price was "greater than or equal to 130% of the conversion price". | Reworded: states the feature "was triggered during the fiscal quarter ended July 31, 2026", so holders can convert during the quarter ending 31 October 2026. |
| Intellectual property | ||
Intellectual property disputes | Reworded: heading now states "have in the past"; text adds the pending copyright class action on model training. | Unchanged. |
| Legal, regulatory and tax | ||
Data privacy and security obligations | Reworded: adds the Department of Justice rule on data transfers to countries of concern and Impact Level 5; specific fine amounts under GDPR, CCPA and NIS2 are replaced by "significant fines". | Updated: the proposed EU regulation on electronic communications and the NIS2 transposition deadline are removed. |
AI development, use and regulation | Reworded: adds Texas and California AI laws effective 1 January 2026 and moves the Colorado effective date to 30 June 2026. | Reworded: adds Executive Order 14365, China's rules on AI generated content and a Colorado effective date of 1 January 2027. |
ESG scrutiny | Reworded: heading drops "Increasing" and adds compliance risk and cost; text on pending ESG disclosure laws is removed (461 to 411 words). | Updated: punctuation changes. |
Tax law changes | Reworded: adds the One Big Beautiful Bill Act of 4 July 2025 and removes the description of the buyback authorizations. | Updated: adds the Pillar Two Model Rules and the side by side safe harbor package. |
| Ownership of common stock | ||
Stock price volatility | Updated: adds AI company valuations and extended federal government shutdowns to the list of factors. | Reworded: adds short selling of common stock or related derivative securities and the amount and timing of legal settlements; refers to separate securities class actions. |
Source: Item 1A of the three filings linked above. Consumption visibility, cloud provider disruption and debt service risk factors are unchanged in the FY2026 10-K; dilution and capped call risk factors on the notes are identical in all three filings, each of which predates the notes issued on 1 October 2026.
Cybersecurity disclosure and legal proceedings
Table 8.3 Item 1C cybersecurity disclosure, FY2026 10-K against FY2025 10-K
| Topic | FY2025 10-K | FY2026 10-K |
|---|---|---|
Executives responsible for cybersecurity risk | Chief Information Security Officer and SVP, Engineering and Support | Chief Security and Trust Officer (joined in 2026 after 21 years at Google), Chief Information Security Officer and SVP, Engineering and Support |
Security organization | Product security reports to SVP, Engineering and Support; corporate security reports to Chief Information Security Officer | Product and enterprise security teams report to Chief Security and Trust Officer as one organization |
Board oversight | Cybersecurity committee of the board, plus audit committee for enterprise risk | Same committees |
Customer credentials under shared responsibility model | Customers are solely responsible for "their access credentials" | Customers are solely responsible for "the access credentials in their possession" |
Certifications listed | SOC 2 Type II, SOC 1 Type II, PCI DSS, HITRUST, FedRAMP High, ISO/IEC 27001 | Same list |
Table 8.4 Legal proceedings disclosed, status at each filing
| Matter | FY2025 10-K | FY2026 10-K | Q2 FY2027 10-Q |
|---|---|---|---|
Securities class action filed 29 February 2024 (N.D. California) | Second amended complaint due 7 April 2025; 4 derivative complaints stayed | Motion to dismiss granted 17 February 2026 with leave to amend; 5 derivative complaints stayed | Third amended complaint filed 14 April 2026; motion to dismiss filed 3 June 2026 and pending at 3 September 2026 |
Customer data incident class actions (multidistrict litigation, D. Montana, from 13 June 2024) | Representative complaint filed 3 February 2025 | Motions to dismiss denied 28 and 29 October 2025; answers filed 19 December 2025; in discovery | In discovery; a class action is also pending in British Columbia |
Copyright class action on large language model training (D. Montana) | n/a | Filed 21 November 2025; answer filed 22 January 2026; in discovery | In discovery |
Securities class action filed 24 February 2026 (N.D. California) | n/a | Complaint filed; damages unspecified | Amended complaint filed 14 August 2026; motion to dismiss due 13 October 2026; derivative suit filed 29 June 2026 |
Source: Items 1C and 3 of each 10-K and Part II Item 1 of the 10-Q. Damages sought are unspecified in each matter.
Market risk sensitivity to interest rates and currency
Table 8.5 Market risk disclosures, Item 7A of the FY2026 10-K and Part I Item 3 of the Q2 FY2027 10-Q
| Measure | 31 January 2025 or FY2025 | 31 January 2026 or FY2026 | 31 July 2026 or Q2 FY2027 |
|---|---|---|---|
Market value effect of 100 basis point rate increase | ($15.3m) | ($11.7m) | ($44.3m) |
Market value effect of 100 basis point rate decrease | $15.3m | $11.4m | $45.1m |
Operating loss effect of 10% currency move | $39m | $50m | Stated as immaterial |
Strategic investments carried in other assets | $301.2m | $380.6m | $370.2m |
Rate sensitivity rose to $44.3m at 31 July 2026 from $11.7m six months earlier while cash and investments fell by $0.5bn. Currency sensitivity was $25m in FY2024; most sales are in dollars.
9 Stock Price, Scenarios & Sensitivity
Shares closed at $368.89 on 9 October 2026, 207% above the $120 IPO price and 91% above the 31 January 2026 month end close, for a market cap of $130.1bn and an enterprise value of 23.7x TTM revenue. Three scenarios to FY2030 return implied prices of $161, $405 and $718.
Snowflake stock price history
Table 9.1 Price, market value and TTM multiples at 9 October 2026
| Metric | Value | Basis |
|---|---|---|
Share price | $368.89 | Market data, 9 October 2026; prior close $343.40 |
52 week intraday high | $384.56 | 3 September 2026, session after Q2 FY2027 results |
52 week intraday low | $118.30 | 10 April 2026; month end low $136.47 in April 2026 |
Change since 31 December 2025 | 68.2% | Month end close $219.36 |
Change since IPO | 207.4% | IPO price $120.00, 424B4, 16 September 2020 |
Shares outstanding | 352.8m | Common stock, single class, 21 August 2026, 10-Q Q2 FY2027 cover |
Market cap | $130.1bn | Price x shares outstanding |
Cash and investments, pro forma | $7.10bn | $4.33bn at 31 July 2026 plus $3.70bn net note proceeds less $383.5m capped calls and $548.3m note repurchase (8-K, 2 October 2026) |
Convertible notes, principal, pro forma | $5.79bn | $2.0bn due 2029 and $1.75bn due 2031 issued 1 October 2026; $2.04bn of 2024 notes remain after $261.8m repurchased (8-K Exhibit 99.2) |
Enterprise value | $128.8bn | Market cap less pro forma net cash of $1.3bn |
EV to TTM revenue | 23.7x | TTM revenue $5.43bn; 13.6x at 31 January 2026 |
EV to FY2027E revenue | 20.5x | FY2027E (estimate on company guidance) revenue $6.3bn, Table 9.4 |
Price to TTM FCF | 108.9x | TTM FCF $1.20bn; 59x at 31 January 2026 |
EV to TTM non GAAP operating income | 191x | TTM non GAAP operating income $673m, 8-K, 2 September 2026 |
Price to TTM GAAP EPS | n/a | TTM diluted EPS ($3.18) |
TTM FCF less SBC | ($447m) | SBC $1.64bn, 30.2% of revenue |
Shares issuable on conversion | 12.9m and 7.6m | 2024 notes convert at $157.50, capped calls to $225.00; 2026 notes at $500.38 and $483.98, capped calls to $820.30 |
Table 9.2 Share price change in the session after the last two results releases
| Quarter reported | Release | Close on release day | Next session close | Change |
|---|---|---|---|---|
Q1 FY2027 | 27 May 2026 | $175.26 | $239.20 | 36.5% |
Q2 FY2027 | 2 September 2026 | $305.84 | $356.47 | 16.6% |
Source: market data for each date. Close of 28 May 2026 comes from one market data source.
Snowflake scenario analysis FY2028 to FY2030
FY2027E uses guidance of 2 September 2026 (Table 3.2). Each implied price is an arithmetic outcome of stated assumptions: FY2030 FCF per diluted share times the exit multiple, undiscounted. Product revenue growth equals NRR less 100% plus new customer contribution.
Table 9.3 Scenario assumptions, FY2028 / FY2029 / FY2030
| Assumption | Reference point from filings | Worst case | Base case | Best case |
|---|---|---|---|---|
NRR, assumption | 126% at 31 July 2026; 125% at 31 January 2026 | 117% / 113% / 110% | 123% / 120% / 117% | 127% / 125% / 123% |
New customer contribution, points of growth, assumption | H1 FY2027 product growth 35.4% less 26 points = 9.4 | 5 / 4 / 3 | 7 / 6 / 5 | 9 / 7 / 5 |
Product revenue growth, derived | FY2026 29.2%; Q2 FY2027 36.8%; FY2027 guidance 36% | 22% / 17% / 13% | 30% / 26% / 22% | 36% / 32% / 28% |
Non GAAP operating margin, assumption | FY2026 10.5%; Q2 FY2027 15.3%; FY2027 guidance 14.5% | 14.0% / 14.0% / 14.0% | 16.5% / 18.5% / 20.5% | 18.0% / 21.0% / 24.0% |
FCF margin, assumption | FY2026 23.9%; TTM 22.0%; FY2027 guidance 23.0% adjusted | 21% / 20% / 19% | 24% / 25% / 26% | 26% / 28% / 30% |
SBC % of revenue, assumption | FY2026 34.1%; H1 FY2027 28.1%; FY2027E 27.5% | 27% / 26% / 25% | 25% / 23% / 21% | 24% / 21% / 18% |
Diluted share count change a year, assumption | H1 FY2027 weighted basic shares 4.0%, non GAAP diluted 1.2% year on year | 3.0% | 1.5% | 0.5% |
Exit multiple of FY2030 FCF, assumption | 97x FY2027E; 59x to 102x at the last four fiscal year ends | 35x | 50x | 65x |
Professional services revenue growth a year, assumption | FY2027E $223m, twice H1 FY2027 | 5% | 5% | 5% |
Other GAAP to non GAAP adjustments, % of revenue, assumption | H1 FY2027 5.6%; FY2027E 5.5% | 5.0% | 5.0% | 5.0% |
Table 9.4 Scenario outcomes by fiscal year
| Case | Fiscal year | Revenue | Non GAAP operating income | GAAP operating income | FCF | FCF per share | Implied share price | Price at exit multiple 5x lower to 5x higher |
|---|---|---|---|---|---|---|---|---|
As filed | FY2026 | $4.7bn | $490m | ($1.4bn) | $1.1bn | n/a | n/a | n/a |
Guidance based | FY2027E | $6.3bn | $913m | ($1.2bn) | $1.4bn | $3.81 | n/a | n/a |
Worst | FY2028 | $7.6bn | $1.1bn | ($1.4bn) | $1.6bn | $4.10 | n/a | n/a |
Worst | FY2029 | $8.9bn | $1.2bn | ($1.5bn) | $1.8bn | $4.42 | n/a | n/a |
Worst | FY2030 | $10.0bn | $1.4bn | ($1.6bn) | $1.9bn | $4.60 | $161 | $138 to $184 |
Base | FY2028 | $8.1bn | $1.3bn | ($1.1bn) | $2.0bn | $5.06 | n/a | n/a |
Base | FY2029 | $10.2bn | $1.9bn | ($968m) | $2.5bn | $6.51 | n/a | n/a |
Base | FY2030 | $12.4bn | $2.5bn | ($681m) | $3.2bn | $8.11 | $405 | $365 to $446 |
Best | FY2028 | $8.5bn | $1.5bn | ($934m) | $2.2bn | $5.78 | n/a | n/a |
Best | FY2029 | $11.1bn | $2.3bn | ($557m) | $3.1bn | $8.13 | n/a | n/a |
Best | FY2030 | $14.2bn | $3.4bn | $142m | $4.3bn | $11.05 | $718 | $663 to $773 |
Implied prices are (56)%, 10% and 95% from the 9 October 2026 close and equal 6.5x, 12.9x and 19.4x FY2030 revenue on an EV basis. At the base 50x multiple and 26% FCF margin, product revenue growth of 22% a year returns the current price.
Best case drivers and demand assumptions
Table 9.5 Critical factors behind the best case and the filed data point for each
| Factor | Filed data point | Source | Link to the best case |
|---|---|---|---|
Product revenue growth | 30.0%, 33.9% and 36.8% in Q4 FY2026, Q1 FY2027 and Q2 FY2027; Q3 FY2027 guidance 37% to 38% | 8-K, 2 September 2026 | Best case holds 36% in FY2028 and reaches 28% in FY2030 |
Expansion of existing customers | NRR 126% at 31 July 2026, 125% a year earlier | 10-Q Q2 FY2027 | Best case NRR of 127% in FY2028 is 1 point above the filed level |
Large customers | 828 customers above $1m of TTM product revenue against 654, 27% more (Table 1.3) | 10-Q Q2 FY2027 | NRR of 123% in FY2030 assumes continued expansion in this group |
Contracted backlog | RPO $9.00bn, 54% due within 12 months (Table 3.3) | 10-Q Q2 FY2027 | The 12 month portion of $4.9bn equals 59% of best case FY2028 product revenue |
AI products | CoCo used by 9,100 accounts, more than 2,000 added in Q2 FY2027; CoWork used by 5,800 accounts | 8-K, 2 September 2026 | Best case takes 9 points of FY2028 growth from new customers against 9.4 derived for H1 FY2027 |
Operating margin | Non GAAP operating margin 15.3% in Q2 FY2027 against 11.1%; SBC 27.4% of revenue against 35.3% | 8-K, 2 September 2026 | Best case reaches 24.0% non GAAP margin and 18% SBC, which turns GAAP operating income positive at $142m in FY2030 |
Capital for repurchases | $3.70bn net proceeds from 0% notes; $802.7m repurchase authorisation left at 31 July 2026 | 8-K, 2 October 2026 | Best case share count growth of 0.5% a year against 4.0% filed for H1 FY2027 |
Table 9.6 Demand drivers and base case price under alternative inputs
| Driver | Filed data point | Base case assumption | Price under alternative input |
|---|---|---|---|
Consumption by existing customers | Revenue is recognised on consumption; capacity contracts gave 97% of Q2 FY2027 revenue | NRR 123%, 120%, 117% | NRR at the worst case path of 117%, 113%, 110% lowers the implied price to $345 |
New customers | 14,554 customers at 31 July 2026 against 13,245 at 31 January 2026; 692 net additions in Q2 FY2027 | 7, 6 and 5 points of growth | Contribution of 5, 4 and 3 points lowers it to $387 |
Cost of cloud and AI capacity | Minimum spend of $6.0bn over five years to March 2031 with one cloud provider; $390m over three years with an AI provider | FCF margin 24%, 25%, 26% | FCF margin of 19% in FY2030 lowers it to $296 |
Valuation multiple | 108.9x TTM FCF at 9 October 2026 (market data) | 50x FY2030 FCF | 35x lowers it to $284 |
Source: 10-Q Q2 FY2027, 8-K, 2 September 2026; scenario arithmetic.
Sensitivity analysis
Exit multiple moves the base case most: $284 at 35x to $527 at 65x, a span of $243, ahead of FCF margin ($296 at 19% to $468 at 30%) and NRR ($345 to $455). Non GAAP operating margin and SBC change operating income and leave the FCF based price unchanged.
Sources and method
Filings used: 10-K FY2026 and 10-K filings for FY2021 to FY2025; 10-Q Q2 FY2027 and 10-Q filings from Q1 FY2026; DEF 14A for the 2026 annual meeting; 8-K filings of 2 September 2026 (results), 2 October 2026 (convertible notes) and 30 June 2026 (annual meeting); the 424B4 prospectus; Forms 3, 4, 4/A and 144; Forms 13F-HR and Schedules 13G; peer 10-K and 10-Q filings in Table 4.7.
SEC filing data retrieved through SEC-API.io.
Market data as of 9 October 2026.
Earnings call material comes from public transcripts and is given in indirect speech.
Scenario figures are arithmetic outcomes of stated assumptions.
Sources appendix
Every filing referenced in this analysis, sorted by form and then by date. Each accession number links to the filing on sec.gov. Count: 153 filings.
Table A.1 Snowflake Inc. filings, with ownership filings by holders and insiders
Table A.2 Filings of peers and other companies
| Company | Form | Period or filing date | Accession number |
|---|---|---|---|
| Alphabet | 10-K | 31 Dec 2025 | 0001652044-26-000018 |
| Alphabet | 10-Q | 30 Jun 2026 | 0001652044-26-000071 |
| Alphabet | 10-Q | 30 Jun 2025 | 0001652044-25-000062 |
| Amazon | 10-K | 31 Dec 2025 | 0001018724-26-000004 |
| Amazon | 10-Q | 30 Jun 2026 | 0001018724-26-000026 |
| Amazon | 10-Q | 30 Jun 2025 | 0001018724-25-000086 |
| Confluent | Form 15-12G | 27 Mar 2026 | 0000950142-26-000892 |
| Databricks | Form D | 27 Aug 2026 | 0001587468-26-000002 |
| Datadog | 10-K | 31 Dec 2025 | 0001628280-26-008819 |
| Datadog | 10-Q | 30 Jun 2026 | 0001628280-26-054458 |
| Datadog | 10-Q | 30 Jun 2025 | 0001561550-25-000220 |
| Microsoft | 10-K | 30 Jun 2026 | 0001193125-26-323660 |
| Microsoft | 10-K | 30 Jun 2025 | 0000950170-25-100235 |
| MongoDB | 10-K | 31 Jan 2026 | 0001628280-26-016799 |
| MongoDB | 10-Q | 31 Jul 2026 | 0001628280-26-059830 |
| MongoDB | 10-Q | 31 Jul 2025 | 0001441816-25-000181 |
| Oracle | 10-K | 31 May 2026 | 0001193125-26-277521 |
| Oracle | 10-Q | 31 Aug 2026 | 0001193125-26-389274 |
| Oracle | 10-Q | 31 Aug 2025 | 0001193125-25-200095 |
| Palantir | 10-K | 31 Dec 2025 | 0001321655-26-000011 |
| Palantir | 10-Q | 30 Jun 2026 | 0001321655-26-000041 |
| Palantir | 10-Q | 30 Jun 2025 | 0001321655-25-000106 |
This report is for information only and is not financial advice.
