Snowflake Stock Plunges 8% After Hours Despite Beating Earnings Expectations

Despite exceeding analysts` quarterly expectations, Snowflake`s share price dropped 8% after the company announced a larger net loss and increased expenses. Although the company raised its revenue projections for the year, it maintained its gross margin forecast, further disappointing investors.

Technically, the stock recently broke out from a falling wedge pattern, suggesting a potential upward movement. However, the post-earnings drop challenges this outlook. Key support levels to watch include $123, $108, and $95. These levels correspond with significant chart points, including the June swing low, the 52-week low, and the lower trendline of the falling wedge pattern.