Johnson Fistel, PLLP is investigating potential claims on behalf of current, long-term shareholders of Snowflake Inc. (NYSE: SNOW) against certain of their officers and directors for alleged breaches of fiduciary duty. Shareholders who held shares continuously since the day before the applicable class period began and continue to hold their shares may have standing to seek corporate governance reforms, the return of funds to the company, and a court-approved incentive award, all at no cost to them.

If you held Snowflake shares continuously since at least June 26, 2023, the day before the securities class-action period began, and continue to hold those shares, you may have standing to seek corporate governance reforms at Snowflake, including improvements to product oversight, customer transparency, internal controls, and executive accountability.

Complaint Allegations

A securities class action complaint alleges that Snowflake and certain of its officers made materially false and misleading statements and/or failed to disclose material adverse facts concerning customer demand, platform capacity, product pricing, customer credits, revenue, and profit margins. The complaint alleges that Snowflake oversold platform capacity and provided unsustainable discounts before its initial public offering, creating an inflated appearance of demand. It further alleges that customers accumulated unused credits that could reduce future purchases and impair renewals. The securities class-action period ran from June 27, 2023, through February 28, 2024.