Snowflake Is Partnering with Palantir. Does That Make SNOW Stock a Buy Now?

Core Insights - Snowflake has announced a strategic partnership with Palantir, integrating its data cloud with Palantir's Foundry and AI Platform, which allows for zero-copy data sharing and streamlined AI deployment for enterprise clients [1][3]. Group 1: Partnership Significance - The collaboration with Palantir enhances Snowflake's position as a versatile AI infrastructure provider, enabling faster development and deployment of AI models without data duplication [3]. - This partnership improves Snowflake's value proposition in enterprise AI, focusing on speed, governance, and scalability, with early adopters like Eaton already benefiting from the combined technology [4]. - The deal strengthens Snowflake's competitive position against rivals such as AWS and Databricks, while expanding its market reach into sectors like defense, manufacturing, and industrials [4]. Group 2: Market Performance and Analyst Outlook - Snowflake's stock has increased approximately 100% from its year-to-date low in early April [2]. - UBS analysts project that Snowflake's leadership in data management could drive its share price to $310 over the next 12 months, indicating a potential upside of 29% [5]. - Other Wall Street firms share a positive outlook on Snowflake due to its strong fundamentals, including a gross margin near 75% and positive free cash flow, which is uncommon for growth tech companies [8].