BOZEMAN, Mont. — Shares of Snowflake Inc. surged Thursday, climbing $63.00, or 20.60%, to $368.84, after the cloud data platform company delivered second-quarter results that blew past Wall Street expectations and raised its full-year outlook, marking one of the biggest single-day rallies in the company’s history as a public company.
Snowflake reported adjusted earnings per share of 62 cents for its fiscal second quarter, well ahead of the 45-cent consensus estimate compiled by analysts. Total revenue reached $1.55 billion, topping the $1.48 billion Wall Street had projected and representing 35% growth year over year. The results, released after market close Wednesday, immediately sent shares surging in extended trading, with the stock climbing as much as 22% to 24% in after-hours and premarket activity ahead of Thursday’s regular session.
Product revenue, the company’s primary growth metric that excludes its smaller services business, totaled $1.49 billion, up 37% from a year earlier. That figure marked the company’s third consecutive quarter of accelerating product revenue growth, directly countering investor concerns heading into the report that enterprise cloud spending, and Snowflake’s growth trajectory alongside it, might be beginning to slow.
Snowflake reported a net loss of $191.7 million, or 55 cents per share, for the quarter, an improvement from the $297.9 million net loss, or 89 cents per share, the company posted during the same period a year earlier.
Company executives pointed to strong adoption of Cortex, Snowflake’s suite of artificial intelligence tools, as a key driver behind the quarter’s results. The company specifically highlighted growth in Cortex Code, an AI coding agent that Snowflake said now has 9,100 customer accounts, an increase of more than 2,000 accounts added during the quarter alone.
Alongside the earnings beat, Snowflake issued guidance for the current quarter and full fiscal year that exceeded analyst projections. Executives said they expect $1.59 billion in product revenue for the fiscal third quarter, ahead of the $1.5 billion consensus estimate compiled by FactSet. The company also raised its full-year product revenue guidance to $6.1 billion, implying growth of roughly 36% for the year, and forecast an adjusted operating margin of 14.5%, up from just 10% the prior year and ahead of the company’s earlier guidance of 13.5%.
Bank of America analyst Koji Ikeda highlighted the significance of the accelerating product revenue trend in a note to clients following the results.
“The key debate into the print was whether Product revenue could keep accelerating,” Ikeda wrote. “It did, and [fiscal third quarter] guidance implies further acceleration.”
Analyst sentiment toward Snowflake has remained overwhelmingly positive following the results. Of the 52 analysts currently covering the stock, 46 maintain a buy or strong buy rating, according to data from LSEG, reflecting broad confidence in the company’s growth trajectory even after Thursday’s sharp move higher.
Thursday’s rally pushed Snowflake shares well beyond their prior 52-week high of $341.95, resetting market expectations for the stock heading into the remainder of the company’s fiscal year. Snowflake shares had already climbed 39% year to date heading into Wednesday’s earnings report, significantly outpacing the roughly 12% gain recorded by the broader S&P 500 index over the same period. Thursday’s additional surge extends that outperformance considerably further.
If the stock’s gains held through Thursday’s regular trading session at levels comparable to its after-hours move Wednesday night, the rally would represent the fourth-largest single-session jump in Snowflake’s history as a public company, according to data reviewed following the earnings release. Snowflake first went public in 2020 in what was, at the time, the largest software initial public offering in history.
The results follow a period of significant momentum for Snowflake shares throughout 2026, with the stock having already climbed roughly 88% between March and August, driven by strong adoption of the company’s AI-focused product suite and previous rounds of raised revenue growth forecasts. That rally had cooled somewhat in the days immediately preceding Wednesday’s earnings report, with shares pulling back roughly 4% amid a broader selloff affecting software stocks and growing investor caution over whether Snowflake could sustain its accelerating growth trajectory heading into the print.
Headquartered in Bozeman, Montana, Snowflake operates what it describes as an AI Data Cloud platform, allowing organizations to consolidate enterprise data into a single, centralized source that can be analyzed, shared and used to build custom data applications and AI-powered tools. The company’s technology has increasingly positioned it as a key infrastructure provider for enterprises building out AI capabilities, a dynamic that has helped sustain investor enthusiasm for the stock even as some other segments of the software industry have faced more skeptical scrutiny from Wall Street this year.
Snowflake’s remaining performance obligations, a closely watched measure of contracted future revenue that reflects the durability of the company’s customer backlog, have continued to grow alongside the company’s reported quarterly results, reinforcing analyst confidence in Snowflake’s ability to sustain its current growth trajectory over the coming quarters. The company’s net revenue retention rate, a metric measuring how much existing customers are increasing their spending over time, has also remained a closely tracked indicator of the underlying health of Snowflake’s customer relationships.
Executives discussed the quarter’s results with analysts during a conference call held Wednesday evening following the earnings release, addressing questions about the durability of the company’s AI-driven growth, the trajectory of its Cortex product suite, and the company’s updated guidance for the remainder of its fiscal year.
With Thursday’s rally, Snowflake has firmly reestablished itself among the strongest-performing large-cap software stocks of 2026, even as questions remain among some market watchers about the sustainability of a rally that has now pushed the stock to trade at a significant premium relative to broader software industry valuation benchmarks. For now, Wall Street’s reaction to Wednesday’s results has been overwhelmingly positive, with the combination of an emphatic earnings beat, an unexpected acceleration in product revenue growth, and a meaningful raise to full-year guidance giving investors renewed confidence in Snowflake’s position at the center of enterprise AI infrastructure spending heading into the final months of the year.
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