Snowflake, the data cloud company, reported a 37% year-over-year increase in product revenue to $1.49 billion for its second fiscal quarter, with total revenue reaching $1.55 billion and adjusted earnings per share of 62 cents, all exceeding analyst expectations. The company raised its product revenue forecast for fiscal year 2027 to $6.07 billion. CEO Sridhar Ramaswamy noted that AI accounted for approximately half of the company's recent accelerated growth, transforming previous investor concerns about AI disrupting the software business into a new growth engine. Following this news, software industry stocks, including ServiceNow, Salesforce, and Adobe, also saw widespread gains, and at least 34 brokerages raised their price targets for Snowflake.