Snowflake (SNOW) Stock Trades Up, Here Is Why

Snowflake (SNOW) Stock Trades Up, Here Is Why

Radek Strnad

Tue, February 10, 2026 at 5:46 AM GMT+9 2 min read

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•                                       StockStory Top Pick 
  

  SNOW

  +4.46%

What Happened?

Shares of cloud data platform provider Snowflake (NYSE:SNOW) jumped 4.5% in the afternoon session after analysts suggested that the recent “SaaSpocalypse” sell-off had pushed valuations into deeply oversold territory, sparking a wave of opportunistic buying.

While the sector had been hammered in early 2026 by fears that autonomous AI agents would replace traditional seat-based subscriptions, institutional investors began rotating back into “sticky” incumbents. This shift was fueled by a Barclays report arguing that corporate transitions away from legacy systems take years, not weeks, providing a protective moat for established providers in compliance and governance.

After the initial pop the shares cooled down to $174.60, up 3.9% from previous close.

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What Is The Market Telling Us

Snowflake’s shares are quite volatile and have had 17 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 4 days ago when the stock dropped 3.9% on the news that the “AI replacement” narrative reached a fever pitch following the release of new models from Anthropic and OpenAI.

The simultaneous debut of Anthropic’s Claude Opus 4.6 and OpenAI’s “Frontier” agent platform raised concerns that autonomous agents are no longer just tools, but new operating systems that can cannibalize traditional software. This suggests that specialized applications might be reduced to mere features within frontier models, rendering legacy seat-based licensing models increasingly obsolete. The catalyst is the models’ unprecedented agentic power. Opus 4.6’s “software hunting” capability allows it to autonomously audit and patch complex codebases, while OpenAI’s Frontier platform bypasses traditional CRM and ticketing interfaces to perform enterprise work directly. By commoditizing sophisticated workflows into low-cost API calls, these releases threaten the recurring revenue of software giants. As AI builds bespoke tools on demand, the market is aggressively repricing the entire software application layer.

Snowflake is down 19.4% since the beginning of the year, and at $174.60 per share, it is trading 37% below its 52-week high of $277.14 from November 2025. Investors who bought $1,000 worth of Snowflake’s shares 5 years ago would now be looking at an investment worth $555.54.

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