New York, Jan 30, 2026, 15:11 EST — Regular session
- Snowflake shares slipped roughly 1.4% following yesterday’s 7.7% tumble
- Software stocks stumbled amid fresh concerns over how AI is altering demand and pricing
- Attention now turns to next week’s U.S. jobs report and the upcoming earnings from Snowflake
Shares of Snowflake Inc slipped roughly 1.4% to $196.53 in Friday afternoon trading, following a sharp 7.7% decline on Thursday. 1
This matters because Snowflake is a fast-growing company that often behaves like a rate-sensitive “duration” stock—investors value it based on expected future growth. When risk appetite shifts, Snowflake usually takes a sharp hit.
This week’s selloff hit the software sector broadly, not just individual names. U.S. software shares dropped Thursday after SAP’s cloud forecast disappointed and ServiceNow sank post-earnings, sparking concerns that rapid advances in AI are undermining the traditional software-as-a-service (SaaS) model. “The market’s kind of in our view pricing a worst-case scenario that software is dead because AI is disrupting the space,” Adam Turnquist, chief technical strategist at LPL Financial, told Reuters. 2
Friday saw traders balancing sector jitters with new doubts about U.S. interest rates. President Donald Trump was set to reveal his nominee to replace Federal Reserve Chair Jerome Powell, spotlighting concerns over the next chair’s potential stance on easing borrowing costs. 3
U.S. stocks slipped, with investors turning cautious ahead of the weekend amid concerns over interest rate trajectories and the Federal Reserve’s autonomy. 4
Snowflake held off on any big corporate announcements Friday. Instead, its product team shared late-January platform updates. These include expanded region availability and new support for bi-directional data access with Microsoft Fabric, per its release notes. 5
The most recent notable hit to the stock dates back to early December, when Snowflake warned of slower product revenue growth in its fourth quarter and highlighted discounts on sizable, long-term contracts. 6
Snowflake’s main revenue driver is its product sales from the cloud data platform, and investors keep a close eye on it. The company’s usage-based model lets customers ramp spending up or down more quickly than typical fixed-fee software deals. This flexibility can boost gains but also deepen declines when budgets tighten.
The next big macro event is just around the corner. The U.S. Employment Situation report for January drops on Feb. 6, a release known to shift Treasury yields and, in turn, impact growth-stock valuations. 7
Snowflake is now under the microscope for its upcoming earnings. Nasdaq’s earnings calendar shows Feb. 25 as the projected date, but the company hasn’t officially confirmed it. 8
The risk is clear: if investors continue viewing AI as a threat to traditional software pricing — or if major clients keep cutting cloud costs — Snowflake and its rivals could remain under pressure, even without new news. For a rebound, investors will want to see either steadier sector sentiment, more stable rates, or proof in earnings that spending is holding steady.
Coming next: the Feb. 6 U.S. payrolls report, news on the next Fed chair, and Snowflake’s upcoming earnings release once the company sets a date.
