The upcoming report from Snowflake Inc. (SNOW) is expected to reveal quarterly earnings of $0.45 per share, indicating an increase of 28.6% compared to the year-ago period. Analysts forecast revenues of $1.47 billion, representing an increase of 28.8% year over year.
Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically rely on consensus earnings and revenue estimates to gauge how the business may have fared during the quarter, examining analysts' projections for some of the company's key metrics often helps gain a deeper insight.
That said, let's delve into the average estimates of some Snowflake metrics that Wall Street analysts commonly model and monitor.
The average prediction of analysts places 'Revenue- Product revenue' at $1.42 billion. The estimate suggests a change of +30% year over year.
The consensus among analysts is that 'Revenue- Professional services and other revenue' will reach $60.04 million. The estimate suggests a change of +10.2% year over year.
The collective assessment of analysts points to an estimated 'Remaining performance obligations' of $9.48 billion. The estimate is in contrast to the year-ago figure of $6.90 billion.
Analysts' assessment points toward 'Total customers' reaching 14,399 . The estimate is in contrast to the year-ago figure of 12,062 .
Analysts expect 'Customers with trailing 12-month product revenue greater than $1 million' to come in at 818 . Compared to the current estimate, the company reported 654 in the same quarter of the previous year.
According to the collective judgment of analysts, 'Non-GAAP product gross profit' should come in at $1.06 billion. The estimate is in contrast to the year-ago figure of $833.63 million.
It is projected by analysts that the 'GAAP product gross profit' will reach $1.01 billion. Compared to the present estimate, the company reported $788.18 million in the same quarter last year.
View all Key Company Metrics for Snowflake here>>>Shares of Snowflake have demonstrated returns of +10.4% over the past month compared to the Zacks S&P 500 composite's +4.3% change. With a Zacks Rank #2 (Buy), SNOW is expected to beat the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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This article originally published on Zacks Investment Research (zacks.com).