Snowflake stock (NYSE:SNOW) is showing strong momentum as the company expands its partner ecosystem and customer base. In Q2 fiscal 2026, Snowflake added 533 new customers, including 15 Global 2000 firms, highlighting the company’s growing footprint in enterprise cloud data solutions. With strategic partnerships across Microsoft Azure, Amazon Web Services (NASDAQ:AMZN), and Google Cloud (NASDAQ:GOOGL), Snowflake continues to drive adoption of its AI Data Cloud globally.
Expanding Customer Base Supports Snowflake Stock
The company’s platform is increasingly popular among large enterprises across multiple industries. Net new customer additions in Q2 increased 21% year over year, and 50 customers surpassed $1 million in trailing 12-month revenues. In total, 654 customers now generate more than $1 million annually. This growth underscores the platform’s scalability and strong enterprise demand, providing a solid foundation for Snowflake stock to continue its upward trajectory.
Partnerships Driving Cloud Adoption
Collaborations with major cloud providers and system integrators are accelerating Snowflake’s growth. Microsoft Azure emerged as the fastest-growing cloud partner in Q2 fiscal 2026, achieving 40% year-over-year expansion. Integrations with AWS and Google Cloud enhance Snowflake’s global reach and strengthen its competitive position.
A new partnership with Palantir (NYSE:PLTR) integrates Snowflake’s AI Data Cloud with Palantir’s Foundry and AIP platforms. This collaboration enables joint customers like Eaton to build unified, AI-driven data systems, improving operational efficiency, accelerating AI development, and enhancing customer experiences through reliable data interoperability.
Competition Remains Intense
Despite these advantages, Snowflake stock faces stiff competition in cloud data analytics. Amazon’s AWS continues to dominate enterprise cloud migration and generative AI adoption, securing contracts with companies such as PepsiCo, Airbnb, Peloton, and Nissan Motor. Alphabet’s Google Cloud platform, particularly BigQuery, is also growing rapidly, benefiting from partnerships with NVIDIA and access to advanced GPU technologies like the B200 and Vera Rubin series.
Analysts note that while Snowflake’s growth is strong, investors should monitor competition and pricing pressures as Amazon and Alphabet expand their cloud capabilities.
Snowflake Stock Performance and Valuation
Snowflake shares have risen 59.1% year to date, significantly outperforming the broader Zacks Computer & Technology sector’s 23% growth and the Zacks Internet Software industry’s 16.4% increase. However, the stock trades at a premium, with a forward 12-month Price/Sales ratio of 15.58X versus the Internet Software industry’s 5.45X, and has a Value score of F.
Consensus estimates for fiscal 2026 earnings are $1.17 per share, indicating a 40.96% increase year over year. Investors see the combination of expanding partnerships, customer adoption, and AI integration as drivers for potential further upside in Snowflake stock, though premium valuations warrant careful monitoring.
Outlook for Snowflake Stock
With ongoing enterprise adoption, strategic cloud partnerships, and a growing ecosystem of AI-driven solutions, Snowflake stock is positioned for continued long-term growth. Analysts expect the company’s focus on innovation and platform scalability to support robust earnings, though competitive pressures from Amazon (NASDAQ:AMZN) and Alphabet (NASDAQ:GOOGL) remain a factor. Investors seeking exposure to cloud data and AI analytics may view Snowflake’s expanding partner base as a positive signal for future performance.
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