Shares of Snowflake (SNOW 3.69%) traded higher on Thursday, jumping as much as 5.3%. By the time the market closed, the stock was still up 4.4%.

The catalyst that sent the cloud stock higher was bullish commentary from a couple of Wall Street analysts.

SNOW piling up in the forecast

First out of the gate on Thursday were analysts at Bank of America ahead of Snowflake's fiscal 2024 fourth-quarter results, which are scheduled to be released on Feb. 28. BofA maintained a neutral (hold) rating on the stock but raised its price target to $265, up from $240, according to The Fly. This suggests potential upside for investors of 23% compared to Wednesday's closing price.

The analysts cited data that suggests that, while the environment is still "volatile," product revenue is on the upswing. This should also result in strong expansion, as macroeconomic headwinds are slowing.

Next up was UBS analyst Karl Keirstead, who raised his price target on Snowflake to $225 from $185 -- so he was obviously playing catch-up -- while maintaining a neutral rating on the stock. This suggests potential gains for investors of about 5% compared to Wednesday's closing price -- not a big swing.

Looking ahead to Snowflake's financial release next week, the analyst expects revenue growth in the mid- to high-30% range in fiscal 2025, which kicked off at the beginning of this month. That said, Keirstead wasn't able to independently verify the trajectory of the company's growth via channel checks.

Not going out on a limb

A quick look at Snowflake's most recent forecast shows the analysts aren't really going out on a limb. For the 2024 full fiscal year, which ends Jan. 31, management was guiding for product revenue of $2.65 billion, or year-over-year growth of 37%. Since product revenue represented 95% of Snowflake's sales in Q3, it isn't a stretch to believe the company would achieve its own target -- particularly given management's history of conservative guidance.

To be clear, Snowflake stock isn't exactly cheap -- no matter your valuation metric of choice. The stock is currently trading for 16 times next year's sales, though investors frequently award a premium to high-growth stocks.

Investors will have more clarity when Snowflake reports its results on Feb. 28.