Nomura Mid Cap Growth Fund on Snowflake Inc.
Thesis
Snowflake was the fund's leading contributor after quarterly results materially exceeded expectations. The company showed accelerating consumption-based revenue growth and raised full-year guidance, supported by robust enterprise demand for AI-powered data analytics. This is important because the fund is selective in software and prefers companies that are successfully moving toward AI-native models rather than businesses facing AI-driven disruption. Snowflake therefore gives the portfolio software exposure that is aligned with tangible AI monetization and improving operating momentum.
“The cloud data platform company demonstrated accelerating consumption-based revenue growth and raised full-year guidance”
Key risks
- AI-driven disruption to traditional software business models
- Execution risk against raised guidance and sustained enterprise consumption growth