Is Snowflake Stock a Buy After a Co-Founder Cashed Out 66,600 Shares?
Key Points
The disposition involved 66,668 shares (50,000 sold and 16,668 gifted) for a total estimated value of ~$18.7 million as of July 29, 2026.
The activity represents a 1% reduction in total equity holdings, leaving the insider with a remaining stake valued at $1.27 billion.
All shares were held indirectly through multiple entities, including The Snow Trust UTA dated 9/10/19, The Selene GRAT No. 1 and No. 2, and The Thira GRAT No. 1 and No. 2.
The transaction was executed under a Rule 10b5-1 trading plan adopted on April 3, 2026, and reflects routine portfolio management following a 29% stock price return over the preceding year.
- 10 stocks we like better than Snowflake ›
Benoit Dageville, a director at Snowflake (NYSE:SNOW), reported the disposition of 66,668 shares on July 29, 2026, according to this SEC Form 4 filing.
Company snapshot
- Market Cap: $98.1 billion
- Sector: Technology
- Industry: Software - Application
Snowflake delivers a cloud-centric data platform to customers across both the United States and international markets. The company's core offering, known as the Data Cloud, enables users to unify disparate data sources into a singular, reliable foundation.
Transaction summary
| Metric | Value |
|---|---|
| Shares sold (indirectly held) | 50,000 |
| Shares gifted (indirectly held) | 16,668 |
| Transaction value | $18.7 million |
| Post-transaction shares (directly held) | ~181,000 |
| Post-transaction shares (indirectly held) | ~4.3 million |
| Post-transaction value | $1.27 billion |
Transaction value based on SEC Form 4 weighted average sale price ($280.00); post-transaction value based on July 29, 2026 market close ($282.90).
Key questions
- How does this disposition affect Benoit Dageville's overall interest in the company?
The sale and gift of 66,668 shares represented approximately 2% of the insider's indirect holdings and 1% of the total equity position. Following the transaction, Dageville maintains a significant equity stake comprising ~181,000 shares held directly and ~4.3 million shares held indirectly. - What was the regulatory framework governing the timing of these sales?
The transaction was executed pursuant to a Rule 10b5-1 trading plan that Dageville established on April 3, 2026. Such plans allow insiders to schedule future stock trades at pre-set times or prices to mitigate concerns regarding material non-public information. As of the July 29, 2026 transaction date, the stock had appreciated 29% over the previous 12 months. - What is the nature of the indirect ownership disclosed in the filing?
The shares are distributed among several trusts and Grantor Retained Annuity Trusts (GRATs). These include The Snow Trust, for which Dageville serves as trustee, and the Selene and Thira GRATs. Notably, Dageville disclaims beneficial ownership of shares held by The Thira GRAT No. 1 and No. 2, which are managed by his spouse as trustee. - Does the insider hold additional equity incentives beyond common stock?
Yes, the direct holdings count includes shares that will be issued in connection with the vesting of restricted stock units. Dageville also holds derivative securities, ensuring ongoing exposure to the company's long-term performance alongside his existing $1.27 billion common stock position.
Company Overview
| Metric | Value |
|---|---|
| Share Price (as of market close 2026-07-29) | $282.90 |
| Market Capitalization | $98.1 billion |
| Revenue (TTM) | $5.0 billion |
| Net Income (TTM) | -$1.2 billion |
Company Snapshot
- Snowflake delivers a cloud-native data platform called the Data Cloud that enables organizations to unify disparate data sources, extract business intelligence, develop data-driven applications, and facilitate secure data sharing across enterprise environments.
- The company generates revenue through a consumption-based pricing model where customers pay for compute and storage resources utilized on the Data Cloud platform, creating a scalable and flexible revenue stream aligned with customer usage patterns.
- Snowflake serves a diverse customer base spanning enterprises, mid-market organizations, and smaller businesses across both domestic and international markets that require unified data management and analytics capabilities.
Snowflake is a leading cloud-native data platform provider with a market capitalization of $98.1 billion and TTM revenue of $5.0 billion, demonstrating significant scale within the enterprise software sector. The company's Data Cloud platform provides a differentiated approach to data unification and analytics, enabling customers to consolidate siloed data sources while maintaining security and governance standards. With 9,060 employees and a 29.32% one-year stock price appreciation, Snowflake has established itself as a critical infrastructure provider for data-driven enterprises navigating complex, multi-cloud environments.
What this transaction means for investors
When a Snowflake co-founder sells shares, it draws attention. But the details here suggest investors shouldn't read too much into it.
Dageville, a director and one of the company's three co-founders, sold 66,668 shares through a pre-scheduled trading plan adopted in April, a mix of an open-market sale and a charitable gift. The sale came as Snowflake stock had surged nearly 55% over the prior six months, meaning the shares had accumulated substantial value. Yet the transaction represented less than 1% of his total holdings, with a roughly $1.27 billion stake remaining intact.
The more compelling story is what's driving that appreciation. Snowflake's most recent quarter marked the strongest sequential dollar growth in the company's history, with product revenue up 34% year over year. AI has become standard across the platform, with nearly all active clients now leveraging its built-in AI capabilities.
For growth-oriented investors comfortable with premium valuations, Snowflake offers exposure to one of the more defensible positions in enterprise AI. Keep an eye on whether AI-driven consumption continues to accelerate, and note upcoming product revenue results against management's guidance.
Should you buy stock in Snowflake right now?
Before you buy stock in Snowflake, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Snowflake wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $394,601!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,197,093!*
Now, it’s worth noting Stock Advisor’s total average return is 895% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of July 31, 2026.
Sara Appino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Snowflake. The Motley Fool has a disclosure policy.
Recommended Articles
