Stock Traders Buy High Volume of Dropbox Call Options (NASDAQ:DBX)

Dropbox, Inc. (NASDAQ:DBX) was the target of unusually large options trading on Monday. Stock traders bought 31,285 call options on the company. This represents an increase of 2,616% compared to the typical daily volume of 1,152 call options.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on DBX. Royal Bank Of Canada reiterated an “outperform” rating on shares of Dropbox in a research report on Monday, June 1st. Wall Street Zen upgraded shares of Dropbox from a “hold” rating to a “buy” rating in a research report on Sunday, June 28th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Dropbox in a research note on Monday, May 4th. Finally, Citigroup upped their target price on shares of Dropbox from $27.00 to $28.00 and gave the stock a “neutral” rating in a research report on Monday, May 11th. One investment analyst has rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, Dropbox currently has a consensus rating of “Reduce” and an average target price of $27.00.

Insider Activity

In other Dropbox news, Director Karen Peacock sold 2,000 shares of the business’s stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $29.00, for a total value of $58,000.00. Following the transaction, the director owned 24,366 shares of the company’s stock, valued at approximately $706,614. The trade was a 7.59% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ashraf Alkarmi sold 22,700 shares of the stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $27.86, for a total value of $632,422.00. Following the sale, the chief executive officer owned 1,080,746 shares in the company, valued at $30,109,583.56. The trade was a 2.06% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 129,082 shares of company stock worth $3,489,910. 35.48% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in DBX. Palisade Asset Management LLC acquired a new stake in shares of Dropbox during the 3rd quarter worth approximately $30,000. Kestra Advisory Services LLC bought a new stake in shares of Dropbox during the fourth quarter worth approximately $31,000. Larson Financial Group LLC lifted its holdings in Dropbox by 228.0% in the fourth quarter. Larson Financial Group LLC now owns 1,138 shares of the company’s stock valued at $32,000 after buying an additional 791 shares during the period. Geneos Wealth Management Inc. lifted its holdings in Dropbox by 78.0% in the second quarter. Geneos Wealth Management Inc. now owns 1,273 shares of the company’s stock valued at $36,000 after buying an additional 558 shares during the period. Finally, Caitong International Asset Management Co. Ltd acquired a new position in Dropbox in the fourth quarter valued at approximately $38,000. 94.84% of the stock is currently owned by institutional investors and hedge funds.

Dropbox Stock Performance

NASDAQ DBX opened at $32.06 on Wednesday. The stock has a market capitalization of $7.48 billion, a P/E ratio of 17.52, a price-to-earnings-growth ratio of 3.34 and a beta of 0.66. Dropbox has a 52 week low of $21.69 and a 52 week high of $32.40. The stock has a fifty day moving average of $27.99 and a 200-day moving average of $26.08.

Dropbox (NASDAQ:DBX) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.76 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.71 by $0.05. The business had revenue of $629.50 million for the quarter, compared to analyst estimates of $620.56 million. Dropbox had a negative return on equity of 30.01% and a net margin of 18.71%.The firm’s revenue for the quarter was up .8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.70 earnings per share. Equities research analysts forecast that Dropbox will post 2.09 earnings per share for the current fiscal year.

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.