Snowflake stock is slipping after the company noted growth concerns
Snowflake Inc (NYSE:SNOW) is down 12.8% to trade at $115.74 at last check, after the cloud name noted growth concerns said it doesn't expect a positive adjusted operating margin this quarter. The stock is being flooded with bear notes, too, as no fewer than 15 analysts slashed their price targets despite the company's strong first-quarter results.
As a result, SNOW is trading at fresh record lows -- earlier falling to $112.10. Down 65.7% year-to-date, the stock is pacing for its seventh-straight monthly loss as we near the end of May.
Put traders targeted Snowflake stock ahead of the earnings event. The equity's 10-day put/call volume ratio of 1.33 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) sits higher than 100% of readings from the past year.
Options traders are still leaning bearish today, with 29,000 puts and 21,000 calls across the tape so far -- six times the intraday average. The weekly 5/27 100-strike put is the most popular contract, followed by the weekly 5/27 120-strike call, with new positions being opened at the latter. Unsurprisingly, today's volatile price action has SNOW on the short sale restricted (SSR) list.