Snowflake shares rose sharply after the company reported a strong Q1 FY2027 result and announced a multiyear $6 billion agreement with Amazon Web Services. Q1 product revenue reached $1.33 billion, up 34% year over year, and total revenue was $1.39 billion, beating expectations by 5%. Non-GAAP EPS was $0.39 versus $0.32 consensus. Remaining performance obligations increased to $9.21 billion, net revenue retention held at 126%, and Snowflake added 616 net new customers. The AWS deal, built on access to Amazon Graviton CPUs over five years, supports Snowflake’s compute roadmap. Management called Q1 a clear inflection point for AI inside the Snowflake platform and raised full-year product revenue guidance to $5.84 billion.
"Shares of Snowflake ( NYSE:SNOW | SNOW Price Prediction) are rocketing higher on Thursday morning, with the stock up 35% to around $240 after the company posted a blowout Q1 FY2027 report and unveiled a $6 billion multiyear deal with Amazon's ( NASDAQ:AMZN) AWS (Amazon Web Services). SNOW stock closed at $175.26 on Wednesday."
"Snowflake delivered Q1 FY2027 product revenue of $1.33 billion, up 34% year over year (YoY), which the company described as the strongest sequential dollar growth in its history. Total revenue landed at $1.39 billion, beating consensus by 5%. Non-GAAP EPS of $0.39 topped the $0.32 consensus, the fourth straight EPS beat for Snowflake."
"The headline catalyst beyond the print is the new multiyear $6 billion agreement with Amazon Web Services. Built around access to Amazon Graviton CPUs over five years, the deal anchors Snowflake's compute roadmap and validates Graviton economics for the highest-end enterprise data workloads."
"CEO Sridhar Ramaswamy used the release to call Q1 a "clear inflection point" for AI inside the Snowflake platform. That framing, paired with the Amazon megadeal and a raised forecast, lit a fire under a name that had been stuck in a downtrend since January."
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