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SNOW's growing enterprise base and rising RPO are supported by strong AI momentum.
Not every AI stock is blasting off to new highs, and that's good news for growth investors who are looking to land relative value in the space.
Zacks.com users have recently been watching Snowflake (SNOW) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)-- #AIinmarketing--Connecting the Snowflake AI Data Cloud With Bloomreach's Autonomous Marketing, Businesses Can Centralize and Activate Data Across Marketing Channels.
Snowflake (SNOW 2.41%) stock has been on a terrific run in the past three months, gaining a remarkable 47% in such a short period of time owing to the broader recovery in tech stocks, which were under pressure amid tariff and other geopolitical concerns.
In the most recent trading session, Snowflake Inc. (SNOW) closed at $213.12, indicating a +1.08% shift from the previous trading day.
It's tough to predict which high-growth firms are capable of doubling up. And while it may make sense to look to the past for a hint of what could come in the future, I do think that chasing high-momentum stocks with the expectations of “more of the same” is just a recipe for disappointment.
Growth stocks can help you get ahead of your retirement goals. But you don't have to chase high-risk stocks to achieve this.
SNOY offers a high estimated distribution rate (35.7%) by capitalizing on Snowflake's volatility, but suffers from price decline and capped upside potential. The fund's synthetic option strategy increases risk and underperforms SNOW's total return, making it less attractive for growth-focused investors. SNOY's distributions rely heavily on return of capital, which is tax-efficient but may decline over time, mirroring other YieldMax funds.
Benoit Dageville, founder and board member at Snowflake, issues a warning to companies that don't embed AI into their workflows.