Snowflake reports second-quarter earnings tonight after the stock has rallied 47% year-to-date in 2026, setting a high bar for results as investors scrutinize whether the company can sustain its AI-driven momentum. The cloud-based data platform will release its Q2 fiscal 2027 results after market close at 5 p.m. ET on September 2, followed by a conference call with executives.
Wall Street expects Snowflake to report revenue of approximately $1.48 billion, representing roughly 30% year-over-year growth, according to Investopedia. Adjusted earnings per share are projected at $0.45, up about 29% from the prior year, with analysts across 40 firms tracking the stock.
The stock’s 47% rally has been fueled primarily by AI momentum. In May 2026, Snowflake surged after reporting first-quarter results that beat expectations by 700 basis points on product revenue growth, with the market pricing in the company’s role as a key data infrastructure provider in the AI era, according to Morningstar. The company’s AI-powered Cortex product and strong customer demand for computationally intensive AI workloads have sustained investor enthusiasm through the summer.
However, the rally has created expectations that will be difficult to meet. Options markets are pricing in a move of 10% to 12% in either direction following the earnings release, according to multiple sources. The stock closed at $319.87 on September 2 before the announcement, sitting just below key moving averages near $324.
Snowflake’s recent performance reflects a broader recovery in software stocks after what investors called the “SaaSpocalypse” earlier in the year. The sector was pressured by concerns that AI would disrupt traditional software business models, but companies like Snowflake, Palantir, and ServiceNow have demonstrated that they can benefit from AI demand rather than be harmed by it. Software stocks are expected to report 15% earnings growth for 2026 overall, according to reporting from late August.
The company has maintained strong revenue retention metrics, with a net revenue retention rate of 126% as of April 2026, indicating that existing customers are expanding their spending. In the first quarter, Snowflake added customers spending over $1 million annually at a 38% year-over-year rate, demonstrating sustained enterprise demand.
Sources
- Investopedia — Wall Street earnings expectations for revenue and EPS
- RTT News — Earnings date and conference call time (5 p.m. ET)
- Vantage Markets — 47% year-to-date rally figure and stock price as of September 2
- Morningstar — AI momentum as driver of May 2026 rally and market pricing of Snowflake’s AI potential
- Seeking Alpha — Analyst expectations for revenue growth and EPS growth rates
- CNN Markets — Options market implied move of 12.1%
- Financial Post — Software sector earnings growth expectations for 2026
- Snowflake Investor Relations — Net revenue retention rate and customer expansion metrics
