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Snowflake Earnings: Questionable Free Cash Flow Guidance, Slowing Customer Adoption

Mar. 03, 2022 4:13 AM ETSnowflake Inc. (SNOW)25 Comments


  • Snowflake's guidance points to its topline slowing down from a more than 100% run rate to less than 70% CAGR for the year ahead.
  • A discussion of Snowflake's taxes on management's compensation package, and how this nearly equals Snowflake's total free cash flow for the year.
  • Investing is always about odds. And anyone that thinks otherwise is deluding themselves. And the odds here don't look enticing.
  • Looking for a helping hand in the market? Members of Deep Value Returns get exclusive ideas and guidance to navigate any climate. Learn More »
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Investment Thesis

Snowflake (NYSE:SNOW) negatively surprises investors that it is indeed slowing down. Investors had come to assume that Snowflake would probably continue growing at close to 100% CAGR for a few more years.

During fiscal 2022, Snowflake's taxes on management's

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