Dropbox, Inc. (NASDAQ:DBX) Receives $31.75 Average Target Price from Brokerages

Dropbox, Inc. (NASDAQ:DBX) has been assigned a consensus rating of “Hold” from the five research firms that are currently covering the stock, Marketbeat reports. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and one has given a buy rating to the company. The average twelve-month price objective among brokerages that have updated their coverage on the stock in the last year is $31.75.

Several equities research analysts have recently issued reports on DBX shares. Royal Bank Of Canada raised their price objective on Dropbox from $35.00 to $38.00 and gave the company an “outperform” rating in a research note on Friday, November 7th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Dropbox in a research note on Wednesday, October 8th. Wall Street Zen raised shares of Dropbox from a “hold” rating to a “buy” rating in a research note on Saturday, November 8th. Finally, UBS Group cut shares of Dropbox from a “neutral” rating to a “sell” rating and dropped their price target for the stock from $29.00 to $27.00 in a research note on Thursday, September 18th.

Dropbox Price Performance

Shares of DBX opened at $29.34 on Tuesday. The stock has a market capitalization of $7.59 billion, a price-to-earnings ratio of 16.58, a price-to-earnings-growth ratio of 2.51 and a beta of 0.63. Dropbox has a 1 year low of $24.42 and a 1 year high of $33.33. The business’s 50 day simple moving average is $29.49 and its 200-day simple moving average is $28.91.

Dropbox (NASDAQ:DBX) last announced its quarterly earnings results on Thursday, November 6th. The company reported $0.74 earnings per share for the quarter, topping the consensus estimate of $0.64 by $0.10. Dropbox had a net margin of 19.87% and a negative return on equity of 49.51%. The company had revenue of $634.40 million for the quarter, compared to analysts’ expectations of $623.59 million. During the same quarter in the previous year, the business posted $0.60 earnings per share. Dropbox’s quarterly revenue was down .7% on a year-over-year basis. On average, sell-side analysts expect that Dropbox will post 1.64 earnings per share for the current year.

Insiders Place Their Bets

In other Dropbox news, insider William T. Yoon sold 11,430 shares of the company’s stock in a transaction on Monday, September 8th. The stock was sold at an average price of $30.16, for a total value of $344,728.80. Following the transaction, the insider owned 223,662 shares of the company’s stock, valued at $6,745,645.92. This represents a 4.86% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Andrew Houston sold 101,167 shares of the stock in a transaction on Wednesday, October 1st. The stock was sold at an average price of $29.64, for a total value of $2,998,589.88. The disclosure for this sale is available in the SEC filing. Insiders have sold 444,992 shares of company stock worth $13,259,678 over the last three months. 29.95% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in DBX. Rossby Financial LCC lifted its holdings in Dropbox by 128.5% during the 3rd quarter. Rossby Financial LCC now owns 937 shares of the company’s stock valued at $28,000 after buying an additional 527 shares in the last quarter. Elequin Capital LP grew its stake in Dropbox by 71.0% in the 1st quarter. Elequin Capital LP now owns 1,130 shares of the company’s stock worth $30,000 after acquiring an additional 469 shares in the last quarter. Neo Ivy Capital Management purchased a new position in shares of Dropbox during the second quarter worth approximately $30,000. Palisade Asset Management LLC purchased a new position in shares of Dropbox during the third quarter worth approximately $30,000. Finally, First Horizon Corp bought a new stake in shares of Dropbox during the third quarter valued at approximately $31,000. 94.84% of the stock is currently owned by institutional investors.

About Dropbox

Dropbox, Inc provides a content collaboration platform worldwide. The company's platform allows individuals, families, teams, and organizations to collaborate and sign up for free through its website or app, as well as upgrade to a paid subscription plan for premium features. It serves customers in professional services, technology, media, education, industrial, consumer and retail, and financial services industries.