A Rosenblatt analyst upgraded Snowflake (NYSE:) from Neutral to Buy on Friday, saying they expect broad-based consumer interest in the company’s platform and its growing ecosystem to “remain very healthy.”
“Given the post-Q4 results weakness in the stock and 22% implied return to our $185 12-month target price, we are taking this opportunity to upgrade Snowflake to a Buy,” analysts said.
The bullish adjustment by Rosenblatt comes after the research and investment banking firm attended a customer event in Toronto, at which Snowflake showcased several new product innovations, which are anticipated to be officially launched and become billable later this year, with many expected to be unveiled at the Data Cloud Summit scheduled for June 3-6.
Among other things, the presentations highlighted the utilization of Snowflake’s platform and Snowpark’s machine learning (ML) code development and deployment features, aiming to assist customers in swiftly designing and launching new AI-powered applications.
“We closely watch for Snowpark’s traction with customers (it’s early days still) as we view it as an important way for Snowflake to drive up longer-term customer retention levels,” analysts said.
