Royal Bank Of Canada Cuts Dropbox (NASDAQ:DBX) Price Target to $30.00

Dropbox (NASDAQ:DBX) had its target price lowered by analysts at Royal Bank Of Canada from $35.00 to $30.00 in a report issued on Friday,Benzinga reports. The brokerage currently has an “outperform” rating on the stock. Royal Bank Of Canada’s price target would suggest a potential upside of 18.92% from the stock’s previous close.

Several other research analysts have also recently weighed in on the company. Wall Street Zen cut Dropbox from a “buy” rating to a “hold” rating in a research note on Friday, January 23rd. Weiss Ratings restated a “hold (c+)” rating on shares of Dropbox in a research report on Wednesday, January 21st. One analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Dropbox presently has a consensus rating of “Hold” and an average target price of $29.67.

Dropbox Price Performance

Shares of NASDAQ:DBX traded up $0.50 during midday trading on Friday, reaching $25.23. The company had a trading volume of 1,007,099 shares, compared to its average volume of 3,945,696. The stock’s fifty day moving average price is $26.53 and its 200-day moving average price is $28.35. Dropbox has a one year low of $23.63 and a one year high of $32.40. The stock has a market capitalization of $6.53 billion, a P/E ratio of 14.17, a PEG ratio of 2.02 and a beta of 0.63.

Insider Buying and Selling

In related news, CEO Andrew Houston sold 164,502 shares of Dropbox stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $25.66, for a total transaction of $4,221,121.32. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Sarah Elizabeth Schubach sold 1,416 shares of the business’s stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $24.49, for a total value of $34,677.84. Following the completion of the transaction, the chief accounting officer owned 86,319 shares in the company, valued at $2,113,952.31. This trade represents a 1.61% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders sold 430,423 shares of company stock valued at $11,705,876. Insiders own 29.95% of the company’s stock.

Institutional Investors Weigh In On Dropbox

Several institutional investors have recently made changes to their positions in the company. Rossby Financial LCC raised its position in Dropbox by 128.5% during the third quarter. Rossby Financial LCC now owns 937 shares of the company’s stock valued at $28,000 after acquiring an additional 527 shares in the last quarter. Neo Ivy Capital Management bought a new position in shares of Dropbox during the 2nd quarter valued at $30,000. Palisade Asset Management LLC acquired a new stake in shares of Dropbox in the 3rd quarter valued at $30,000. First Horizon Corp acquired a new position in Dropbox during the third quarter worth $31,000. Finally, Kestra Advisory Services LLC bought a new stake in Dropbox during the fourth quarter worth approximately $31,000. 94.84% of the stock is currently owned by institutional investors and hedge funds.

Dropbox News Roundup

Here are the key news stories impacting Dropbox this week:

• Positive Sentiment: Q4 revenue and customer growth beat expectations; management said the company exceeded the high end of its revenue and operating‑margin guidance, supporting a constructive near‑term outlook. Dropbox’s (NASDAQ:DBX) Q4 CY2025: Beats On Revenue, Customer Growth Accelerates
• Positive Sentiment: Company reported adjusted EPS of $0.68 and revenue of $636.2M, both slightly above consensus, which can support multiple expansion if the trend continues. Dropbox (DBX) Q4 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Guidance: Q1 revenue was guided to $618.0M–$621.0M (vs. ~$615.5M consensus) and FY revenue guidance centered near $2.5B, which reduces downside risk to near‑term revenue expectations. Dropbox Announces Fourth Quarter and Fiscal 2025 Results
• Neutral Sentiment: Small insider sale: CAO Sarah Schubach sold 1,416 shares (~$34.7K) — a minor trimming that is unlikely to change investor conviction. SEC Form 4 — Insider Sale
• Neutral Sentiment: Earnings call transcript and highlights provide more color on where management plans to reallocate spending and how they’re addressing revenue headwinds — useful for tracking margin vs. growth tradeoffs. Dropbox, Inc. (DBX) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Underlying trends remain mixed: revenue was down ~1.1% year‑over‑year and EPS declined vs. the prior year ($0.73 → $0.68), highlighting ongoing top‑line pressure even with the beat. Dropbox: Q4 Earnings Snapshot
• Negative Sentiment: Dropbox was reported down in premarket trade alongside other tech names, reflecting broader market volatility that briefly weighed on the stock despite the beat. Nvidia, Alibaba and Dropbox fall premarket; Live Nation rises

Dropbox Company Profile

Dropbox, Inc (NASDAQ: DBX) is a leading provider of cloud-based file storage, collaboration, and productivity tools. Founded in 2007 and headquartered in San Francisco, California, the company offers a suite of services designed to help individuals and organizations securely store, share, and manage digital content. Dropbox has grown from a simple file-syncing application into an integrated collaboration platform used by millions of customers around the globe.

At its core, Dropbox provides cloud storage plans tailored for consumers and businesses.