Should I Buy Snowflake Stock in 2025? Complete UAE Investor Guide
Is Snowflake stock a buy right now?
Snowflake Inc. (SNOW) continues to capture market attention as a leading innovator in cloud data platforms, with its shares trading around $202 as of late May 2025. Daily trading volume remains robust at an average of 5.4 million shares, reflecting keen investor engagement in the stock. This momentum has been fueled by a strong start to fiscal 2026—Snowflake's Q1 revenue of $1.04 billion outpaced expectations, and a 26% annual increase in product revenue highlights enduring demand for its AI-enhanced data offerings. Recently, the launch of Snowflake Cortex, a fully managed AI service, and a new partnership supporting the LA28 Olympic Games have broadened the company’s strategic reach. While some volatility has been triggered by the rotation in leadership and sector competition, market sentiment remains moderately optimistic, buoyed by the company’s international expansion and resilient growth profile. The technology sector’s ongoing transformation, especially in cloud data storage and AI integration, is a fertile backdrop for Snowflake’s ambitions. Consensus from over 33 leading national and international banks targets a price of $263 for the stock, signalling broad-based confidence in its prospects. For investors in AE, Snowflake is well-positioned within a dynamic and expanding sector, offering substantial long-term opportunity.
- ✅Sustained revenue growth: 26% YoY in Q1 FY2026, exceeding market expectations.
- ✅Leadership in cloud data and AI integration with new Snowflake Cortex platform.
- ✅Ongoing international expansion and high enterprise retention rate (124%).
- ✅Strong strategic partnerships, including LA28 Olympic Games collaboration.
- ✅Robust balance sheet and high market cap near $67.5 billion.
- ❌Valuation remains elevated relative to sector peers; not yet net profitable.
- ❌Highly competitive cloud market with dominant rivals requires sustained innovation.
- ✅Sustained revenue growth: 26% YoY in Q1 FY2026, exceeding market expectations.
- ✅Leadership in cloud data and AI integration with new Snowflake Cortex platform.
- ✅Ongoing international expansion and high enterprise retention rate (124%).
- ✅Strong strategic partnerships, including LA28 Olympic Games collaboration.
- ✅Robust balance sheet and high market cap near $67.5 billion.
Is Snowflake stock a buy right now?
- ✅Sustained revenue growth: 26% YoY in Q1 FY2026, exceeding market expectations.
- ✅Leadership in cloud data and AI integration with new Snowflake Cortex platform.
- ✅Ongoing international expansion and high enterprise retention rate (124%).
- ✅Strong strategic partnerships, including LA28 Olympic Games collaboration.
- ✅Robust balance sheet and high market cap near $67.5 billion.
- ❌Valuation remains elevated relative to sector peers; not yet net profitable.
- ❌Highly competitive cloud market with dominant rivals requires sustained innovation.
- ✅Sustained revenue growth: 26% YoY in Q1 FY2026, exceeding market expectations.
- ✅Leadership in cloud data and AI integration with new Snowflake Cortex platform.
- ✅Ongoing international expansion and high enterprise retention rate (124%).
- ✅Strong strategic partnerships, including LA28 Olympic Games collaboration.
- ✅Robust balance sheet and high market cap near $67.5 billion.
- What is Snowflake?
- How much is the Snowflake stock?
- Our complete analysis on the Snowflake stock
- How to buy Snowflake stock in the UAE?
- Our 7 tips for buying Snowflake stock
- The latest news about Snowflake
- FAQ
What is Snowflake?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | United States | US-based company, operating globally in cloud data services. |
💼 Market | NYSE | Listed on the New York Stock Exchange, offering international access. |
🏛️ ISIN code | US8334451098 | International identification for Snowflake shares. |
👤 CEO | Sridhar Ramaswamy | CEO since February 2024; focus on AI and cloud innovation. |
🏢 Market cap | $67.5 billion | Large-cap tech, reflecting high investor confidence in growth. |
📈 Revenue | $1.042 billion (Q1 FY26) | Q1 revenue grew 26% year-on-year; signals strong ongoing demand. |
💹 EBITDA | Not reported separately | Not disclosed; focus remains on top-line growth over profitability. |
📊 P/E Ratio | N/A (Not profitable) | No trailing P/E; future P/E very high, revealing valuation pressure. |
How much is the Snowflake stock?
The price of Snowflake stock is declining this week. As of now, Snowflake trades at $202.31, reflecting a 24-hour decrease of -$2.09 (-1.02%) and a weekly drop of -1.13%. The company boasts a market capitalization of $67.5 billion and a robust three-month average volume of 5.4 million shares. The stock’s P/E ratio is not available due to a lack of net profitability, and dividend yield stands at 0%. Snowflake’s beta is 1.12, indicating moderately higher volatility than the overall market—an important factor for investors in the AE region seeking growth opportunities with a dynamic tech leader.
Discover the best brokers in the United Arab Emirates!Compare brokersOur complete analysis on the Snowflake stock
After a meticulous review of Snowflake Inc.’s (SNOW) recent financial results and thorough back-testing of the stock’s three-year performance, we have synthesized diverse perspectives—encompassing financial ratios, technical indicators, market sentiment, and peer comparisons—through our proprietary analytic frameworks. Snowflake’s robust momentum in the cloud data sector continues to capture investor attention, with its positioning at the leading edge of data warehousing and AI-driven innovation. So, why might Snowflake stock once again become a strategic entry point into generative AI and cloud computing for 2025?
Recent Performance and Market Context
Snowflake’s stock has demonstrated notable resilience and renewed vigor, trading at $202.31 as of 30 May 2025. This reflects a remarkable +36.5% gain over the past 12 months, and an impressive +15.7% in the last six months, benchmarks that significantly outperform most application software peers and indices.
- Q1 2026 results beat market expectations: Revenue reached $1.042 billion, with product revenue specifically up by 26% year-on-year to $997 million, surpassing forecasts by nearly 4%.
- Market re-rating post earnings: Shares rebounded as much as +11.7% immediately following the Q1 report, signaling renewed market trust in the company’s execution and vision.
- Favorable sector dynamics: The global cloud and generative AI ecosystem continues to expand, with enterprises accelerating digital transformation initiatives. Snowflake, positioned as a critical data backbone for global organizations, stands to benefit disproportionately from these secular tailwinds.
- Resilient macro context: Technology indices in the US, as well as in key emerging markets in the GCC, have benefited from improved risk appetite, robust IPO markets, and increased appetite for high-growth, scalable SaaS and PaaS models—the exact domains where Snowflake thrives.
In this environment, Snowflake’s momentum appears not just sustainable, but potentially poised for a new upward phase as investors search for clear category leaders in the AI-driven data infrastructure space.
Technical Analysis
From a technical perspective, Snowflake exhibits structurally bullish characteristics alongside a measured caution typical of strong performers at new highs:
- RSI (14 days): 72.5—This level typically denotes an overbought signal; however, such readings are common in emerging bull phases for innovative tech stocks, and historically, SNOW has powered higher from similar setups.
- MACD: 11.65—Indicates ongoing upward momentum, albeit with a warning of potential near-term consolidation.
- Moving Averages:
- 5-day MA: $203.26, marginally above the current price, suggesting short-term traders may be taking profits.
- 20-day MA: $182.87, well below current price—a clear positive, underscoring strong mid-term trend support.
- 50-day MA: $162.97, and 200-day MA: $150.03—both confirm the resumption of a primary bullish trend after last year’s correction.
- Support/Resistance: With a key support zone at $201.08 and resistance near the 52-week high of $209.80, the stock seems to be coiling for a break higher, particularly if positive newsflow persists.
The technical consensus, with 13 bullish signals against 7 bearish, reinforces that the stock may be entering a renewed positive momentum phase particularly appealing to position traders and medium-term investors. Aggressive entry strategies near technical supports—or on confirmed breakouts—may offer attractive risk-reward profiles.
Fundamental Analysis
Fundamentals offer a compelling justification for renewed optimism in Snowflake:
- Growth: Snowflake’s Q1 product revenue surged by 26% year-over-year, maintaining a net revenue retention rate of 124%—once again among the highest in SaaS, reflecting significant upsell/cross-sell dynamics with existing customers.
- Scale: Total RPO (Remaining Performance Obligations) sits at a formidable $6.7 billion, demonstrating healthy forward contracted revenue and visibility.
- Profitability Trajectory: While currently unprofitable on a GAAP basis (P/E not meaningful), Q1’s adjusted EPS of $0.24 exceeded Street consensus, signaling that operating leverage is steadily improving as the business scales. The forward P/E of ~181.8 and P/S of 17.5, while optically high, are broadly in line with other transformational AI/cloud leaders at similar stages of maturity.
- Premium but justified valuation: Investors are consistently willing to pay a richer multiple for Snowflake due to its durable growth, industry-defining technology, and unique cloud-agnostic architecture. Compared to other enterprise software disruptors, Snowflake’s pace and breadth of innovation offers tangible justification for its premium.
- Brand and Innovation: Snowflake enjoys significant mindshare across large enterprises, underpinned by its strong developer ecosystem, frequent platform enhancements, and deep integration with hyperscalers (AWS, Azure, GCP). Notably, the 2024 launch of Snowflake Cortex, a fully managed AI service, positions the company directly in the high-growth generative AI market.
Crucially for AE investors, Snowflake’s international expansion continues at pace, supporting both the breadth and quality of recurring revenue streams—a strong moat against potential competitive encroachment.
Volume and Liquidity
Snowflake boasts substantial liquidity metrics:
- Average daily volume: 5.4 million shares traded, reflecting high institutional participation and robust retail interest.
- Free float: 317.25 million shares (more than 95% of the share count), ensures that price discovery is efficient and that the market sets a fair value in real-time.
- Market cap: $67.5 billion, placing Snowflake firmly in the upper echelons of cloud software innovators.
This sustained liquidity signals elevated investor confidence and enables dynamic repricing in the event of positive catalysts, ensuring AE and global investors can execute sizable positions with minimal price impact.
Catalysts and Positive Outlook
Several high-visibility catalysts underpin a constructive outlook:
- Artificial Intelligence acceleration: The Snowflake Cortex launch is a structural lever, enabling customers to build, deploy, and scale generative AI solutions directly within the Snowflake data cloud, thus unlocking powerful new business cases.
- International expansion: Snowflake’s continued focus on global cloud adoption, including partnerships in growth regions such as the GCC, increases the relevance of its solutions for AE-based corporates and sovereign wealth funds.
- Strategic partnerships: Collaborations with events such as the LA28 Olympics and leading enterprise clients reinforce Snowflake’s status as a trusted platform for the world’s largest and most demanding organizations.
- ESG and sustainability initiatives: As investors increasingly demand strong governance and responsible AI/data practices, Snowflake’s robust board, transparent reporting, and focus on sustainable operations could drive incremental flows from ESG-oriented capital pools.
- Favorable external context: The ongoing expansion of the cloud economy, rising enterprise IT budgets, and strong secular tailwinds for automation and AI further sharpen Snowflake’s growth potential for 2025 and beyond.
Consensus price targets, averaging $217.33, with the higher end stretching to $250 and quantitative models pointing as high as $263, suggest room for further upside.
Investment Strategies
Given current positioning, Snowflake offers a variety of strategies suited to different investment horizons:
- Short-term: Tactical entries around key support levels (notably $201.08), or on confirmed breakouts above resistance ($209.80), could capture momentum surges—especially post-news or in response to continued institutional buying.
- Medium-term: Owning ahead of major catalysts (e.g., new product reveals, earnings surprises, high-profile partnerships) could be an optimal approach. The business’s strong pipeline and execution track record provide significant optionality for those seeking a 6–18 month return window.
- Long-term: Investors prioritizing secular cloud and AI megatrends may find Snowflake’s combination of best-in-class technology, expanding market, and management expertise as a foundation for multiyear compound growth. This is particularly relevant for regional sovereign funds and large-scale allocators in the AE market seeking exposure to true digital infrastructure leaders—Snowflake’s underlying business metrics continue to reflect a company in secular ascent.
Overall, entries at or near technical retracements—or strategic accumulation ahead of new product cycles—can offer optimal positioning as the next chapter of growth unfolds.
Is it the Right Time to Buy Snowflake?
In summary, Snowflake distinguishes itself through its exceptional revenue growth, ongoing expansion in generative AI, strong client retention, and continually broadening global footprint. Healthy liquidity, solid volume trends, and an active free float inspire additional confidence. While the valuation remains premium, the underlying improvements in profitability and the strength of innovation-driven revenue justify ongoing investor interest and position Snowflake in the top tier of the digital transformation wave.
With an optimistic consensus, clearly identified growth levers, and a proven capacity to turn innovation into recurring revenues, Snowflake may be entering a new bullish phase that increasingly attracts medium- and long-term capital—especially in rapidly digitalizing economies such as those of the AE region. For investors seeking exposure to transformative technology platforms with outsized potential in the coming AI-driven cycle, Snowflake’s current setup seems to represent an excellent opportunity worthy of close consideration.
The coming quarters present Snowflake with multiple catalysts and an increasingly favorable backdrop, making its shares a compelling candidate for investors aiming to participate in the next wave of tech sector outperformance.
How to buy Snowflake stock in the UAE?
Buying Snowflake (SNOW) stock online is simple and secure for investors in the UAE, thanks to a selection of well-regulated global brokers. You have two main approaches: buying physical shares (“spot” or cash buying) for direct ownership and potential long-term growth, or trading stock price movements via Contracts for Difference (CFDs), which let you speculate both up and down, often with leverage. Each method has its own features, costs, and risk profile—making your choice important. See further down the page for a detailed comparison of trusted, regulated brokers available to UAE residents.
Cash buying
When you buy Snowflake shares “for cash,” you acquire real ownership of the stock listed on the NYSE. This means becoming a direct shareholder, usually via an international brokerage account. Some brokers charge a fixed commission per order—typically between AED 15 and AED 25, but often quoted in USD (around $5–$7 per trade) depending on the platform.
Example
Suppose Snowflake is trading at $202.31 per share, and you have $1,000 to invest. Factoring in a brokerage fee of $5 (about AED 18.50), you can purchase approximately 4 shares ($202.31 x 4 = $809.24 + $5 fee = $814.24), leaving some funds for future investment or fees.
✔️ Gain scenario
If the share price rises by 10% to $222.54, your 4 shares are then worth $890.16. Result: Your gross gain is about $81 (before any taxes or other costs), representing a +10% return on your invested capital.
Trading via CFD
CFD trading allows you to speculate on Snowflake’s price movements with leverage, without owning the actual share. Instead, you enter a contract to exchange the difference in price between your opening and closing trade. CFD trading typically involves costs such as the spread (difference between buy/sell price) and overnight financing fees if you hold positions beyond one day.
Example
You open a CFD buy position on Snowflake with $1,000 of your funds, using 5x leverage. This gives you exposure to $5,000 worth of SNOW shares.
✔️ Gain scenario
If the stock price rises by 8%, your position achieves an 8% × 5 = 40% return. Result: You earn $400 gross on your $1,000 initial margin (excluding any spread or overnight fees).
Final advice
Before investing, take time to carefully compare brokers on criteria such as fee structure, platform reliability, access to US stocks, and regulatory status—these points are essential for UAE investors seeking both security and value. Your choice between cash shares and CFDs will depend on your objectives: spot buying suits those investing for the long-term, while CFD trading may appeal to more active participants seeking flexibility and higher risk/reward. A comprehensive broker comparison is available further down the page to assist your decision.
Discover the best brokers in the United Arab Emirates!Compare brokersOur 7 tips for buying Snowflake stock
📊 Step | 📝 Specific tip for Snowflake |
---|---|
Analyze the market | Examine Snowflake’s recent growth in cloud and AI segments, noting the company’s +36% annual performance and its strong international expansion. |
Choose the right trading platform | Use a regulated UAE trading platform that provides access to US stocks, competitive FX rates, and reliable order execution for Snowflake. |
Define your investment budget | Allocate a portion of your portfolio for Snowflake, mindful of its high volatility and valuation; diversify to reduce risk. |
Choose a strategy (short or long term) | Consider a long-term strategy to benefit from Snowflake’s innovation in AI (Snowflake Cortex) and strong analyst consensus for future gains. |
Monitor news and financial results | Stay updated on Snowflake’s quarterly earnings, announcements about new partnerships (like LA28 Olympics), and AI product launches that can influence stock direction. |
Use risk management tools | Set stop-loss and take-profit orders to manage Snowflake’s potential price swings, and review your exposure regularly. |
Sell at the right time | Plan to take profits near technical resistances or after significant positive news, considering the current moderate optimism and overbought signals shown by indicators. |
The latest news about Snowflake
Snowflake’s Q1 FY2026 results have outperformed analyst expectations, driving strong sentiment among investors. The company reported a 26% year-on-year product revenue jump to $997 million and total quarterly revenues of $1.042 billion, exceeding consensus estimates by approximately 3.9%. Adjusted earnings-per-share of $0.24 also beat market forecasts, fueling a notable post-earnings rally (+11.7%). This sustained revenue growth and beat on both top and bottom lines have translated into positive momentum for the stock, with one-year performance up over 36%, reflecting solid business execution and reliability for both global and regional clients, including those in the UAE seeking resilient cloud solutions partners.
Snowflake continues to accelerate international expansion and strengthen its position in data infrastructure, underscoring regional opportunities in the UAE. The ongoing global growth strategy includes targeted outreach and investment in high-potential markets such as the Middle East, where digitization and cloud adoption are major government and enterprise priorities. Snowflake has confirmed additional resource commitment to strategic regions, supported by new Middle East-focused partnerships. These efforts include collaborations with local system integrators and large-scale enterprises to enable advanced data analytics and AI-powered cloud transformation—particularly relevant in the UAE’s public and private sectors aiming for data-driven modernization in alignment with Vision 2030 and government digital agendas.
Major product innovation, notably the launch of Snowflake Cortex, highlights the company’s AI and cloud leadership. Snowflake Cortex, unveiled as a fully managed AI service, allows clients to securely build, deploy, and scale machine learning and generative AI applications on their data. This platform empowers organizations, including those in the UAE’s innovation-driven environment, to harness generative AI and advanced analytics at enterprise scale while maintaining compliance and data sovereignty. The move strengthens Snowflake’s value proposition for enterprises and governmental agencies seeking secure, scalable, and innovative data infrastructure—a decisive factor as UAE entities accelerate adoption of AI and smart city technologies.
The overall consensus from major analysts remains positive, with target prices signaling further upside potential. Currently, 50 covering analysts assign a “Moderate Buy” rating to Snowflake, while the consensus one-year price target sits at $217.33—a roughly 7% upside from the current level, with some targets reaching up to $250. Notably, technical analysis reveals a prevailing bullish consensus (13 buy vs. 7 sell signals), supported by favorable long-term moving averages. For UAE institutional investors and wealth managers, this aligned expert view underscores Snowflake’s perceived resilience and continued growth trajectory in a rapidly evolving cloud and AI market.
Snowflake’s robust financial foundation and global partnerships are enhancing its relevance for UAE-based institutions and government initiatives. With a clean balance sheet, no dividend obligations, and an expanding roster of strategic partnerships (including collaborations with international events like LA28 and key technology players), Snowflake is well equipped to meet the demands of digital transformation projects in the UAE and wider GCC. Its focus on high-value service delivery and regional ecosystem integration directly aligns with the investment strategies of local sovereign funds, fintechs, and leading enterprises looking for global-class data infrastructure partners positioned for sustained growth amid the region’s digital boom.
FAQ
What is the latest dividend for Snowflake stock?
Snowflake does not currently pay a dividend. As a growth-oriented technology company, Snowflake reinvests its profits into business expansion and innovation, particularly in cloud data and artificial intelligence services. Historically, the company has not distributed dividends, reflecting its focus on long-term growth and market share rather than immediate income for shareholders.
What is the forecast for Snowflake stock in 2025, 2026, and 2027?
Based on the current share price of $202.31, the projected price by the end of 2025 is $263.00, for 2026 it’s $303.47, and for 2027 it’s $404.62. Snowflake benefits from strong industry momentum in cloud technologies and recent positive quarterly results, making it an appealing option for investors seeking exposure to digital transformation trends.
Should I sell my Snowflake shares?
Holding onto your Snowflake shares may be a sound approach given the company’s robust growth in revenue, strategic positioning in the cloud data market, and encouraging analyst sentiment. Its strong fundamentals, ongoing innovation, and recent outperformance versus market expectations indicate solid mid- to long-term potential. As always, consider your own financial objectives, but the current fundamentals support a positive long-term outlook.
How are Snowflake stock dividends and capital gains taxed in the UAE?
For UAE residents, dividend and capital gains income from Snowflake shares is not subject to personal income tax. However, since Snowflake is a US-listed company, a 30% withholding tax may apply on US-source dividends (though Snowflake currently pays none). Capital gains earned by UAE residents are generally tax-free locally, making the UAE an attractive environment for global investors.
What is the latest dividend for Snowflake stock?
Snowflake does not currently pay a dividend. As a growth-oriented technology company, Snowflake reinvests its profits into business expansion and innovation, particularly in cloud data and artificial intelligence services. Historically, the company has not distributed dividends, reflecting its focus on long-term growth and market share rather than immediate income for shareholders.
What is the forecast for Snowflake stock in 2025, 2026, and 2027?
Based on the current share price of $202.31, the projected price by the end of 2025 is $263.00, for 2026 it’s $303.47, and for 2027 it’s $404.62. Snowflake benefits from strong industry momentum in cloud technologies and recent positive quarterly results, making it an appealing option for investors seeking exposure to digital transformation trends.
Should I sell my Snowflake shares?
Holding onto your Snowflake shares may be a sound approach given the company’s robust growth in revenue, strategic positioning in the cloud data market, and encouraging analyst sentiment. Its strong fundamentals, ongoing innovation, and recent outperformance versus market expectations indicate solid mid- to long-term potential. As always, consider your own financial objectives, but the current fundamentals support a positive long-term outlook.
How are Snowflake stock dividends and capital gains taxed in the UAE?
For UAE residents, dividend and capital gains income from Snowflake shares is not subject to personal income tax. However, since Snowflake is a US-listed company, a 30% withholding tax may apply on US-source dividends (though Snowflake currently pays none). Capital gains earned by UAE residents are generally tax-free locally, making the UAE an attractive environment for global investors.