Dropbox (NASDAQ:DBX) Price Target Raised to $32.00 at Royal Bank Of Canada

Dropbox (NASDAQ:DBX) had its price target increased by Royal Bank Of Canada from $30.00 to $32.00 in a report published on Friday,Benzinga reports. The firm currently has an outperform rating on the stock.

A number of other research analysts have also recently commented on the company. William Blair reiterated an “underperform” rating on shares of Dropbox in a research note on Monday, March 23rd. UBS Group decreased their price objective on Dropbox from $27.00 to $23.00 and set a “sell” rating for the company in a report on Friday, February 20th. JPMorgan Chase & Co. decreased their price objective on Dropbox from $29.00 to $25.00 and set a “neutral” rating for the company in a report on Friday, February 20th. Wall Street Zen downgraded Dropbox from a “buy” rating to a “hold” rating in a report on Friday, January 23rd. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Dropbox in a report on Monday. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Dropbox has an average rating of “Reduce” and an average target price of $26.67.

Dropbox Stock Performance

Shares of DBX opened at $28.90 on Friday. Dropbox has a 52 week low of $21.69 and a 52 week high of $32.40. The stock has a market capitalization of $6.97 billion, a price-to-earnings ratio of 15.79, a PEG ratio of 1.77 and a beta of 0.64. The stock has a fifty day moving average of $24.34 and a 200-day moving average of $26.53.

Dropbox (NASDAQ:DBX) last announced its quarterly earnings results on Thursday, May 7th. The company reported $0.76 EPS for the quarter, beating analysts’ consensus estimates of $0.71 by $0.05. Dropbox had a negative return on equity of 32.27% and a net margin of 18.71%.The company had revenue of $629.50 million during the quarter, compared to analysts’ expectations of $620.56 million. During the same period in the prior year, the company earned $0.70 EPS. Dropbox’s revenue was up .8% compared to the same quarter last year. As a group, equities analysts forecast that Dropbox will post 2.03 EPS for the current year.

Insiders Place Their Bets

In other Dropbox news, CEO Andrew Houston sold 111,166 shares of the stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $22.89, for a total transaction of $2,544,589.74. Following the completion of the sale, the chief executive officer directly owned 8,266,666 shares in the company, valued at approximately $189,223,984.74. This trade represents a 1.33% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ashraf Alkarmi sold 12,472 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $26.00, for a total value of $324,272.00. Following the sale, the insider owned 414,661 shares of the company’s stock, valued at approximately $10,781,186. The trade was a 2.92% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 249,288 shares of company stock valued at $5,994,652. 35.48% of the stock is currently owned by insiders.

Institutional Trading of Dropbox

A number of large investors have recently bought and sold shares of the business. LSV Asset Management grew its holdings in Dropbox by 1.1% during the 4th quarter. LSV Asset Management now owns 11,735,641 shares of the company’s stock worth $326,251,000 after acquiring an additional 121,999 shares during the period. Arrowstreet Capital Limited Partnership grew its holdings in Dropbox by 11.3% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 7,573,627 shares of the company’s stock worth $210,547,000 after acquiring an additional 767,119 shares during the period. Jacobs Levy Equity Management Inc. grew its holdings in Dropbox by 1.4% during the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 5,095,485 shares of the company’s stock worth $153,935,000 after acquiring an additional 70,867 shares during the period. Allianz Asset Management GmbH grew its holdings in Dropbox by 28.1% during the 4th quarter. Allianz Asset Management GmbH now owns 2,720,372 shares of the company’s stock worth $75,626,000 after acquiring an additional 596,440 shares during the period. Finally, Robeco Institutional Asset Management B.V. grew its holdings in Dropbox by 22.5% during the 4th quarter. Robeco Institutional Asset Management B.V. now owns 2,518,534 shares of the company’s stock worth $70,015,000 after acquiring an additional 463,258 shares during the period. 94.84% of the stock is currently owned by institutional investors and hedge funds.

Key Dropbox News

Here are the key news stories impacting Dropbox this week:

• Positive Sentiment: Dropbox reported Q1 FY2026 EPS of $0.76, topping the $0.71 consensus, while revenue of $629.5 million also beat expectations. Management said results came in above the high end of guidance, which is helping sentiment. Dropbox Announces First Quarter 2026 Results
• Positive Sentiment: The company raised its full-year outlook, forecasting 2026 revenue of $2.497 billion to $2.512 billion and unlevered free cash flow of at least $1.055 billion, which strengthens the investment case around profitability and cash generation. Dropbox forecasts 2026 revenue of $2.497B-$2.512B while raising unlevered free cash flow to at or above $1.055B
• Positive Sentiment: Dropbox said paying users rose unexpectedly and highlighted repeat AI engagement in “Dash,” suggesting its product improvements may be improving retention and supporting future revenue growth. DBX Q1 Earnings Beat Estimates, Revenues Rise on Strong Retention
• Positive Sentiment: Royal Bank of Canada raised its price target on Dropbox to $32 from $30 and reiterated an outperform rating, signaling improving analyst confidence after the earnings report. Royal Bank of Canada price target raise
• Neutral Sentiment: Dropbox also guided Q2 revenue to $624 million to $627 million, above the $621.5 million consensus, but the company did not provide a clear EPS guide in the latest update.
• Negative Sentiment: Insider selling by CAO Sarah Elizabeth Schubach was disclosed, though it was made under a pre-arranged 10b5-1 plan and appears routine rather than a major red flag. SEC Form 4 — Insider Sale

About Dropbox

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.