Core Insights - The iShares Future AI and Tech ETF provides a diversified investment option in the AI sector, which has been a significant driver of the S&P 500's performance in recent years [1][2][3] - The ETF has outperformed the S&P 500 since its restructuring, with a 42% gain compared to the S&P 500's 23% return [7] Investment Strategy - Investing in an ETF can mitigate risks associated with individual AI stocks, as demonstrated by the contrasting performances of Palantir Technologies (+124%) and Upstart Holdings (-26%) [2] - The ETF includes 48 AI stocks, providing exposure to various segments of the AI value chain, including software, services, and infrastructure [3][4] Notable Holdings - Key software companies in the ETF include Palantir, Microsoft, and Snowflake, which offer AI-powered platforms and tools [5] - The ETF also features significant holdings in semiconductor companies like Broadcom and Micron Technology, as well as major tech firms such as Amazon and Meta Platforms [6] Performance Metrics - The iShares Future AI and Tech ETF was restructured in August 2024 to focus specifically on AI, leading to a strong performance since then [6][7] - The ETF's expense ratio is 0.47%, which is higher than many index funds but justified by its active management and strong returns [8][10] Future Developments - Nvidia and Advanced Micro Devices are key players in the AI hardware space, with Nvidia's latest GPUs designed for AI workloads and AMD's upcoming Helios data center rack expected to enhance competition [9]

Snowflake Inc. (NYSE:SNOW) reported an EPS of $0.35, beating the estimated $0.31 and marking a significant year-over-year improvement.The company's revenues reached $1.21 billion for the quarter, surpassing expectations and indicating strong growth.Despite strong financial performance, Snowflake's stock price has not seen a significant boost, reflecting the high expectations already set by its year-long outperformance.Snowflake Inc. (NYSE:SNOW) is a prominent player in the cloud-based data warehousing indus ...

Core Viewpoint - The article discusses the negative impact of recent earnings reports on the stock prices of Snowflake and Microsoft, highlighting concerns over profitability and market competition in the AI sector [4][12]. Group 1: Snowflake's Earnings Report - Snowflake's stock price dropped nearly 10% in after-hours trading following a disappointing earnings report, with a projected adjusted operating margin of about 7%, below the analyst expectation of 8.5% [4][8]. - The company's revenue for the third fiscal quarter was $1.21 billion, exceeding analyst estimates of $1.18 billion, but product revenue growth slowed to 29% year-over-year [10]. - Snowflake's remaining performance obligations increased by 37% to $7.88 billion, surpassing the expected $7.23 billion, indicating strong future revenue potential despite current challenges [10][12]. - The company has made four acquisitions under the new CEO to enhance AI capabilities, which have temporarily pressured profit margins [11]. Group 2: Microsoft’s AI Sales Challenges - Microsoft has reportedly lowered sales expectations for its AI products due to slower-than-expected adoption by enterprise customers, leading to a stock price drop of over 3% [14][18]. - Internal reports indicated that a significant portion of sales personnel failed to meet previous sales targets for AI products, prompting a reduction in growth targets from 50% to approximately 25% [15][16]. - This adjustment reflects broader market challenges in quantifying the cost savings from AI technologies and the need for longer validation periods for their reliability in critical sectors [17][18].

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Hey, I'm Kramer. Welcome to Mad Money. Welcome to Cra America. Other people, my friends. Hey, I'm just trying to make a little bit of money here. My job is not just to entertain, but to educate, to teach you. Call me 1800 743 CBC. Tweet me, Chim Kmer. Okay, we keep hearing about the overstretched consumer and the chilly job market. Now, based on this endless drum beat of negative news, shouldn't the stock market by all mean measures and means be way down? >> Just today, we got some ugly data points. The ADP ...

Core Insights - Snowflake Inc. reported $1.21 billion in revenue for the quarter ended October 2025, marking a year-over-year increase of 28.8% and exceeding the Zacks Consensus Estimate by 2.68% [1] - The company achieved an EPS of $0.35, which is a 75% increase from $0.20 a year ago, surpassing the consensus EPS estimate of $0.31 by 12.9% [1] Financial Performance Metrics - Remaining performance obligations stood at $7.88 billion, exceeding the average estimate of $7.46 billion from five analysts [4] - The number of customers with trailing 12-month product revenue greater than $1 million reached 688, slightly above the two-analyst average estimate of 686 [4] - Product revenue was reported at $1.16 billion, surpassing the average estimate of $1.13 billion from ten analysts, reflecting a year-over-year change of 28.7% [4] - Revenue from professional services and other sources was $54.53 million, exceeding the average estimate of $52.7 million, with a year-over-year increase of 30.4% [4] - Non-GAAP product gross profit was $879.17 million, below the average estimate of $915.73 million from eight analysts [4] - GAAP product gross profit was reported at $837.57 million, exceeding the two-analyst average estimate of $798.98 million [4] Stock Performance - Over the past month, shares of Snowflake have returned -2.2%, compared to a -0.1% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Microsoft out with a statement today that the report inaccurately combined the concepts of growth in sales quotas and that aggregate AI sales targets have not been lowered. For more, let's bring in Jeffrey's analyst Brent D. He's got a buyer rating, a $675 price target on Microsoft.Frank, great to have you with us. What do you make of the report. >> I think it's a data point and everything we're seeing in our Microsoft work and I'm at the Amazon conference in Vegas is suggesting that AI demands accelerating ...

Snowflake Inc. (SNOW) came out with quarterly earnings of $0.35 per share, beating the Zacks Consensus Estimate of $0.31 per share. This compares to earnings of $0.2 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +12.90%. A quarter ago, it was expected that this company would post earnings of $0.26 per share when it actually produced earnings of $0.35, delivering a surprise of +34.62%.Over the last four quarters, the company ...

Financial Data and Key Metrics Changes - Product revenue in Q3 was $1.16 billion, up 29% year-over-year [6] - Remaining performance obligations totaled $7.88 billion, with year-over-year growth accelerating to 37% [7] - Net revenue retention remained stable at a very healthy 125% [7] - Non-GAAP product gross margins were 75.9% [22] - Non-GAAP operating margin expanded more than 450 basis points year-over-year to 11% [22] - For Q4, product revenue is expected between $1.195 and $1.2 billion, representing a 27% year-over-year growth [23] - FY26 product revenue guidance raised to approximately $4.446 billion, representing 28% year-over-year growth [23] Business Line Data and Key Metrics Changes - Financial services and technology verticals led growth in Q3 [21] - 28% of all use cases deployed during the quarter incorporated AI [10] - Over 7,300 accounts are using AI capabilities weekly [8] - 1,200 customers are harnessing next-generation agentic AI capabilities [8] Market Data and Key Metrics Changes - Snowflake surpassed $2 billion in sales through AWS Marketplace in a single calendar year [18] - The company added a record 615 new customers in Q3 [7] - The annual world tour saw over 40,000 participants, a 40% year-on-year increase [12] Company Strategy and Development Direction - Snowflake aims to empower enterprises through data and AI, focusing on operational rigor and product innovation [5] - The company is expanding partnerships with major players like SAP, Workday, and Google Cloud to enhance data integration and AI capabilities [12][15] - The introduction of Snowflake Intelligence is a key part of the strategy to enhance customer engagement and drive AI adoption [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to maintain growth momentum and operational efficiency [19] - The focus remains on delivering efficient growth while balancing investments in sales and marketing [25][90] - Management highlighted the importance of AI in driving customer relationships and expanding the value delivered across the data lifecycle [10] Other Important Information - The company achieved a major milestone of $100 million in AI revenue run rate, one quarter earlier than anticipated [10] - Snowflake's operational rhythm remains strong, with a commitment to long-term growth and efficiency [19] Q&A Session Summary Question: Growth rates on product revenue and Q4 guidance - Management noted that Q3 revenue growth was strong, with a slight impact from a hyperscaler outage [31] - The FY guidance reflects underlying customer behavior and is considered a more meaningful signal than quarterly beats [31] Question: Customer adoption of AI products - Management highlighted that Snowflake Intelligence is unlocking significant value for customers, with many using it to create specialized data agents [34] Question: Go-to-market strategy and customer acquisition - Management indicated that Snowflake Intelligence plays a key role in customer acquisition, allowing for hyper-customized demos [41] Question: Impact of migrations on product revenue - Management stated that they are still early in the migration process, with AI helping to accelerate these migrations [50] Question: Zero Copy agreements and their impact - Management explained that Zero Copy agreements facilitate data sharing and collaboration, enhancing customer value [56] Question: Tying Snowflake budget to AI investments - Management confirmed that many customers are integrating Snowflake into their AI strategies, leading to larger contracts and broader product adoption [61] Question: Future milestones and AI consumption - Management indicated that broader adoption of Snowflake Intelligence is a key milestone, with a focus on making all data AI-ready [81]

Financial Data and Key Metrics Changes - Product revenue in Q3 was $1.16 billion, up 29% year-over-year [4] - Remaining performance obligations totaled $7.88 billion, with year-over-year growth accelerating to 37% [5] - Net revenue retention remained stable at 125% [5] - Non-GAAP product gross margins were 75.9% [21] - Non-GAAP operating margin expanded more than 450 basis points year-over-year to 11% [21] - For Q4, product revenue is expected between $1.195 and $1.2 billion, representing 27% year-over-year growth [22] - FY26 product revenue guidance raised to approximately $4.446 billion, representing 28% year-over-year growth [22] Business Line Data and Key Metrics Changes - Financial services and technology verticals led growth in Q3 [20] - 28% of all use cases deployed during the quarter incorporated AI [10] - More than 7,300 accounts are using AI capabilities weekly [6] - 1,200 customers are utilizing Snowflake Intelligence for AI capabilities [7] Market Data and Key Metrics Changes - The company added a record 615 new customers in Q3 [5] - The annual world tour saw over 40,000 participants, a 40% year-on-year increase [11] - The annual Build Developer Summit had a 43% increase in attendance year-over-year [11] Company Strategy and Development Direction - Snowflake aims to empower enterprises through data and AI, focusing on operational rigor and product innovation [4] - The company is expanding partnerships with major players like SAP and Google Cloud to enhance data integration and AI capabilities [11][13] - The introduction of Snowflake Intelligence is a key part of the strategy to enhance customer engagement and drive AI adoption [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to maintain growth momentum and operational efficiency [18] - The company is focused on deepening customer relationships and expanding its product offerings [16] - Management highlighted the importance of AI in driving customer value and business growth [9][10] Other Important Information - The company achieved a milestone of $100 million in AI revenue run rate, one quarter earlier than anticipated [9] - The company is committed to maintaining a strong operational rhythm while investing for long-term growth [18] Q&A Session Summary Question: Growth rates on product revenue and Q4 guidance - Management noted that Q3 revenue growth was strong, with a slight impact from a hyperscaler outage [28] Question: Customer adoption of AI products - Management highlighted that Snowflake Intelligence is being adopted across various industries, enhancing data accessibility for business users [30] Question: Go-to-market strategy and new customer wins - Management indicated that AI capabilities are playing a significant role in acquiring new customers and expanding existing relationships [35] Question: Impact of migrations on product revenue - Management stated that migrations are still in early stages, with significant opportunities for growth [43] Question: Zero Copy agreements and their impact - Management explained that Zero Copy agreements facilitate smoother data sharing and collaboration, enhancing customer value [48] Question: Tying Snowflake investments to AI budgets - Management confirmed that many customers are aligning their Snowflake budgets with their AI initiatives, leading to larger contracts [50] Question: Accelerating AI journeys and market standardization - Management emphasized that Snowflake's platform is designed to simplify AI adoption, making it attractive for customers [55]