Snowflake Soars: AI Agent Fuels 22% Stock Surge

Snowflake Inc. saw its shares climb 22% in after-hours trading after announcing strong second-quarter financial results and providing optimistic guidance.

The data analytics software firm reported revenue of $1.55 billion for the quarter, exceeding the $1.48 billion estimate. This represents a 35% increase compared to the same period last year. The company's net loss narrowed to $191.7 million, an improvement from the $297.9 million loss reported previously.

A key driver for this performance was the growth of its artificial intelligence coding agent, "CoCo." This AI tool now boasts 9,100 accounts, with over 2,000 new accounts added in the last quarter alone.

Looking ahead, Snowflake projects third-quarter product revenue to reach $1.59 billion, surpassing the consensus estimate. The company has also elevated its full-year product revenue forecast to $6.07 billion from $5.84 billion. Adjusted operating margins are now anticipated to widen to 14.5%, up from the previous 13.5% projection.

As of the close of regular trading on Wednesday, Snowflake's stock had already advanced 40% in 2026. The recent after-hours gains, if sustained, would mark the fourth-largest single-day stock increase since its public debut in 2020.