Shares of Snowflake (SNOW), the leading cloud data platform, skyrocketed 9.51% on Wednesday in a 24-hour rally. This surge was fueled by the company's stellar fourth-quarter fiscal 2025 earnings report and the announcement of an expanded partnership with Microsoft to integrate OpenAI's cutting-edge AI models.

In its Q4 results, Snowflake exceeded Wall Street's expectations across key metrics. Revenue soared 27% year-over-year to $986.8 million, surpassing analyst estimates of $956.9 million. Even more impressive, product revenue, a crucial performance indicator, grew by a staggering 28% to $943.3 million, beating projections of $914.5 million. On the bottom line, Snowflake reported adjusted earnings per share of $0.30, significantly higher than the consensus estimate of $0.18.

Looking ahead, Snowflake provided an upbeat outlook for fiscal 2026, forecasting product revenue growth of 24% to $4.28 billion, ahead of analysts' expectations of $4.23 billion. This robust guidance reflects the company's confidence in its ability to capitalize on the rapidly growing demand for AI and data analytics solutions.

Underpinning Snowflake's bullish prospects is its expanded partnership with Microsoft, which will allow Snowflake customers to seamlessly integrate OpenAI's cutting-edge AI models directly into Snowflake's Cortex AI platform. This strategic move positions Snowflake at the forefront of the AI revolution, enabling enterprises to leverage OpenAI's state-of-the-art language models and AI capabilities within Snowflake's secure, scalable, and trusted data cloud.