Wednesday night, Broadcom beat and sold off. Thursday morning, Snowflake (SNOW) beat and ripped.
That is the 2026 AI tape in one screenshot. The print is not enough. The next number has to be bigger than the last story you already believed.
Snowflake reported fiscal Q2 (quarter ended July 31, 2026) after the bell Wednesday. Shares were up more than 20% after hours, then as much as 26% in Thursday’s session before settling still sharply higher — Business Insider had the close around $356.56, up 17% on the day. Year to date the stock was already up about 62% before this.
The numbers that moved it
- Revenue: $1.55 billion, vs. about $1.48 billion expected, up 35% year over year
- Product revenue: $1.49 billion, up 37% — the third straight quarter of faster growth
- Adjusted EPS: $0.62, vs. about $0.45 expected
- GAAP: still a $191.7 million net loss. The party is on the non-GAAP line.
- Remaining performance obligations: $9.00 billion, up 30%
- Net revenue retention: 126%
- Customers doing more than $1 million a year in product: 828
CFO Brian Robins called it accelerating growth with discipline. The raise is why the stock paid you.
The raise
Q3 product revenue: $1.588–$1.593 billion (about 37–38% growth). Full-year fiscal 2027 product revenue: $6.07 billion (about 36%), up from $5.84 billion in May. Adjusted operating margin for the year: 14.5%, up from 13.5%.
Wall Street will now treat $6.07 billion as the floor. That is how this works.
CoCo, in English
The AI hook is CoCo, Snowflake’s coding agent. Management said it added more than 2,000 accounts in the quarter and now sits at about 9,100. That is not ChatGPT. That is a product customers are paying Snowflake to run next to their data.
If you have been waiting for “AI” to show up in a software bill that is not a chipmaker’s, this is one of the cleaner prints.
What this means for you
Snowflake is still losing money on GAAP. Insiders have been selling. A 20% day after a 40% day in May is how a crowded AI-software trade looks when the numbers cooperate. It is also how it looks when they stop.
Compare it with Broadcom last night: AI revenue +221%, stock down 5%, because the guide missed by a hair. Snowflake did not miss the hair.
Bottom line: the cloud data company just proved consumption is still accelerating. The stock already believes the next three quarters. You do not have to.
GLHR NEWS explains the news. Not investment, tax, or trading advice. Do your own work before you act.
