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Yahoo Finance Live anchors discuss first-quarter earnings for Snowflake.
JULIE HYMAN: Well, there's another big tech mover this morning that's going in the other direction.
JARED BLIKRE: Yes, well, Snowflake. I broke this earnings too. I was trying to. They actually released after 5:00 PM. But the shares are under pressure after providing disappointing guidance in its latest earnings report. The cloud company indicating consumption will be impacted as customers are impacted by macroeconomic headwinds.
And so just looking at Snowflake here, I'm going to get this up on the YFi Interactive. Here's our software group. I'm going to sort by performance. And we can see SNOW down about 11%. This is another interesting stock. And here's a year to date. I'm just going to show the max, because it IPOed relatively recently.
Warren Buffett was in this stock way back in, I think, 2015-2016. A lot of excitement initially, sold off, managed to test these highs. This is a giant cup right here. And you want to see a cup and handle that failed. That's this right there, no handle. And it's down ever since.
JULIE HYMAN: Yeah. And I guess that's not a bulging bicep.
JARED BLIKRE: No.
JULIE HYMAN: It's two peaks there.
JARED BLIKRE: It failed to put in a handle.
JULIE HYMAN: The thing about Snowflake is the growth had been so, so rapid. And it's still big product revenue in the current quarter. This is the thing that's the disappointing forecast. Revenue is still going to be up 71% to 73%. But when you're used to revenue doubling quarter after quarter after quarter and pricing that in, even though now it's pricing in a lot less, that's where you get that disappointment from.
So it's quite interesting here. And the company talking about a more challenging operating environment on the call, as you said, with some of the macroeconomic effects eroding demand.