Hi Rahul,
The first query sent to SQL Serverless Warehouse will face a cold start of 2-6 seconds. The second query, third etc queries will be executed without this delay.
The auto-stop configuration controls how much time the warehouse would remain in running state. Once auto-stop will initiate the termination action, the next query will again wait for 2-6 seconds to re-start the compute.
Also, while the warehouse remains alive, you benefit from an in-memory cache. This allows repetitive queries to be executed faster until the auto-termination period is over. If the warehouse is stopped, we lose the cache in question.
Let me know if it's clear.
Best,