+9.20% for Snowflake stock as customer growth and high retention rate reported

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Snowflake jumps 9.20% on earnings beat

Highlights

Snowflake's Q4 revenue rose 30.1% year-over-year to $1.28 billion, surpassing analyst expectations and driving stock demand.
Customer engagement remains strong, evidenced by 740 new accounts and a 125% net revenue retention rate, amid significant AI and analytics platform enhancements.
SNOW trades above key short-term supports but remains under long-term resistance, with technicals signaling likely consolidation between $138.00 and $158.00 as momentum remains cautious.

Earnings beat and AI focus drive investor inflows and customer gains

Snowflake’s most recent quarterly report, released on February 25, showed revenue growing 30.1% year-over-year to $1.28 billion and earnings per share of $0.32, both surpassing consensus estimates and fueling investor demand for the stock. The company continues to add customers rapidly, with 740 net additions last quarter and a robust net revenue retention rate of 125%, highlighting strong engagement and recurring usage. Recent product developments, such as over 430 enhancements—including Snowflake Intelligence, Cortex Code, and integrations with o9 Solutions and Appian—expand its platform utility and reinforce its focus on AI and cloud-based analytics for enterprises.

Short-term support holds as mixed momentum tempers price breakout

On the technical front, SNOW is trading above the 20-day simple moving average ($141.49) and above the Ichimoku Kijun level ($138.08), both of which offer immediate underlying support. However, the price remains below the 50-day SMA ($156.63) and significantly under the 200-day SMA ($206.02), indicating continued medium- and long-term overhead resistance. The 20-day SMA/Ichimoku Kijun crossover supports short-term momentum, with the Kijun acting as support at $138.08. Momentum indicators are mixed: MACD signals remain firmly negative on both daily and weekly charts; ADX on D1 is weak and slanting downward. The RSI (43.23) and CCI (−38.00) also suggest underlying selling pressure, though neither is yet in oversold territory, and Stoch RSI is neutral. Bull/Bear Power (BBP) indicates an oversold bias, and the price has gapped up to trade at the session’s high, reflecting a sharp divergence between price action and lagging momentum signals.

Sideways trading expected as volatility rises and resistance caps upside

In the short term, SNOW is likely to fluctuate within a volatility band of $138.00 to $158.00, reflecting typical price swings following the recent surge. The baseline scenario points to sideways trading between these levels as the most probable path. A breakout above $158.00 could trigger further short-term buying, but significant resistance from medium-term moving averages limits upside potential. By contrast, a drop below $138.00 would likely accelerate downside momentum, given the still-bearish tilt in longer-term technical indicators and oscillators.

Anton Kharitonov, expert at Traders Union, sees Snowflake’s fundamental growth offset by clear profitability risks. He notes that the recent EPS beat and robust customer growth have strengthened near-term sentiment. However, extended losses and challenging technicals limit conviction in any sustained upside. "Until Snowflake reclaims $156.63 and demonstrates narrowing losses, my outlook stays defensive despite the recent rebound."

Earlier, analysts noted that Snowflake was facing sustained downside momentum driven by technical weakness, legal challenges, and sector headwinds. The recent surge in price and improvement above short-term averages signal a shift in sentiment, but with mixed momentum indicators and medium-term resistance in place, traders should monitor the $158.00 level for signs of further breakout or a reversal back toward the lower end of the trading band.

Source of Data: SNOW Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.