Dropbox, Inc. (DBX) – What Are Investment Firms Saying About This Stock?

by · The Cerbat Gem

Shares of Dropbox, Inc. (NASDAQ:DBX – Get Free Report) have received a consensus rating of “Reduce” from the eight ratings firms that are covering the firm, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell rating, four have given a hold rating and one has given a buy rating to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $29.75.

DBX has been the topic of several research analyst reports. William Blair upgraded Dropbox from an “underperform” rating to a “market perform” rating in a research report on Friday, August 7th. Weiss Ratings raised shares of Dropbox from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, August 13th. Wall Street Zen lowered shares of Dropbox from a “buy” rating to a “hold” rating in a research note on Saturday, August 8th. Citigroup lowered Dropbox from a “neutral” rating to a “sell” rating and cut their price target for the stock from $33.00 to $29.00 in a report on Thursday, September 24th. Finally, Zacks Research raised Dropbox from a “strong sell” rating to a “hold” rating in a research report on Tuesday, October 6th.

Read Our Latest Stock Analysis on Dropbox

Dropbox Stock Performance

Shares of DBX opened at $36.25 on Wednesday. The firm has a market cap of $8.18 billion, a P/E ratio of 20.14, a PEG ratio of 3.58 and a beta of 0.63. The stock’s 50 day moving average is $35.24 and its two-hundred day moving average is $29.02. Dropbox has a 12 month low of $21.69 and a 12 month high of $38.22.

Dropbox (NASDAQ:DBX – Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.75 earnings per share for the quarter, topping the consensus estimate of $0.74 by $0.01. Dropbox had a negative return on equity of 24.26% and a net margin of 17.49%. The company had revenue of $631.50 million for the quarter, compared to the consensus estimate of $626.69 million. During the same quarter in the prior year, the business earned $0.71 EPS. Dropbox’s revenue was up .9% on a year-over-year basis. Equities research analysts forecast that Dropbox will post 1.94 EPS for the current year.

Insiders Place Their Bets

In related news, insider William Yoon sold 12,382 shares of the business’s stock in a transaction that occurred on Friday, September 4th. The stock was sold at an average price of $34.78, for a total transaction of $430,645.96. Following the completion of the sale, the insider directly owned 366,693 shares in the company, valued at approximately $12,753,582.54. The trade was a 3.27% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew Houston sold 29,500 shares of the company’s stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $35.09, for a total transaction of $1,035,155.00. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 947,468 shares of company stock worth $32,809,905. Corporate insiders own 35.48% of the company’s stock.

Institutional Investors Weigh In On Dropbox

Institutional investors and hedge funds have recently modified their holdings of the stock. Arrowstreet Capital Limited Partnership raised its holdings in Dropbox by 12.7% during the first quarter. Arrowstreet Capital Limited Partnership now owns 8,533,736 shares of the company’s stock valued at $193,886,000 after buying an additional 960,109 shares in the last quarter. Wedge Capital Management L L P NC grew its position in Dropbox by 26.4% during the 2nd quarter. Wedge Capital Management L L P NC now owns 3,005,173 shares of the company’s stock worth $82,552,000 after acquiring an additional 627,111 shares during the last quarter. Pacer Advisors Inc. boosted its position in Dropbox by 2.8% in the 1st quarter. Pacer Advisors Inc. now owns 2,047,966 shares of the company’s stock valued at $46,530,000 after buying an additional 55,921 shares during the last quarter. KBC Group NV boosted its position in shares of Dropbox by 12.6% in the 1st quarter. KBC Group NV now owns 944,829 shares of the company’s stock worth $21,466,000 after purchasing an additional 105,876 shares during the last quarter. Finally, Principal Financial Group Inc. grew its stake in Dropbox by 4.0% in the first quarter. Principal Financial Group Inc. now owns 390,386 shares of the company’s stock valued at $8,870,000 after acquiring an additional 15,027 shares during the period. Institutional investors and hedge funds own 94.84% of the company’s stock.

Dropbox Company Profile

(Get Free Report)

Dropbox, Inc (NASDAQ: DBX) is a software company that provides cloud-based tools for storing, organizing, sharing and collaborating on files. Its platform enables individuals, businesses and teams to access documents, photos and other content across connected devices, synchronize files and manage shared workflows.

The company’s offerings include Dropbox for cloud storage and file collaboration, Dropbox Paper for shared documents and project work, Dropbox Sign for electronic signatures, and DocSend for securely sharing and tracking business documents.

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