Snowflake: F1Q - Cuckoo for CoCo

Research evidence excerpt

Snowflake: F1Q - Cuckoo for CoCo

Deutsche Bank

Research

Rating Company Date

Buy Snowflake 28 May 2026

North America Reuters Bloomberg Rating Buy

United States SNOW.N SNOW US Price target (USD) 250.00 Price at 27 May 26 175.26

52-week range 277.14 – 121.11

TMT

Software Valuation & Risks

F1Q - Cuckoo for CoCo

Brad Zelnick

Snowflake reported a stellar start to FY27, beating Product revenue by 5.5%, well Research Analyst

+1-212-250-8563 above the 3.75% trailing 3yr average, and raising FY guidance by a record

~$180m. NGOM also beat by a healthy ~3pts and was up ~3pts y/y to 11.9%. Bhavin Shah, CFA

While we were cautiously optimistic heading into the print despite what appeared Research Analyst

to be a more challenging setup for the remainder of the year, results and +1-212-250-6775

commentary point to an even more meaningful underlying inflection in customer

Daniel Knauff consumption patterns. Mgmt. attributed this largely to its Cortex Code (CoCo) Research Associate

agent that just went GA in February, and is already in use by 7.1k or ~51% of +1-415-2622041

accounts, and - with a quarter of observed customer behavior - is now being

layered into guidance. Yash Kejriwal

Research Associate

CoCo was reported to be driving momentum in a couple of ways. First, it's +1-212-250-1203

generating a meaningful increase in AI revenue as Cortex Code usage is metered

based on token consumption within a Snowflake managed-compute

environment. Second, and we believe more consequential currently, is the second Key changes

order effects across the core platform. In short, by abstracting away complexity Price target (USD) 230 250 9%

CoCo is letting builders and partners do more, and do it faster, in turn

compounding consumption more quickly.