This Former Warren Buffett AI Stock Was a Market Darling in 2020, but Is Down 50% Today. Should Investors Buy the Dip?
Snowflake was supposed to be an easy home run stock, but things haven't worked out.
Multibillionaire and legendary investor Warren Buffett isn't known as a fan of technology stocks. But even he couldn't resist getting in on Snowflake (NYSE: SNOW) when the company went public in 2020 as one of the hottest IPOs in recent history.
The cloud-based data warehouse platform was considered an obvious home run at the time in a world deep into the cloud era, with artificial intelligence (AI) enthusiasm growing and an AI revolution right around the corner.
However, the stock has been a massive letdown. Approaching five years since its IPO, Snowflake stock trades down about 50% from its all-time high, and Buffett, who invested in the IPO via Berkshire Hathaway, has moved on, selling Berkshire's entire stake in Snowflake last year.
