Dropbox, Inc. (NASDAQ:DBX) Receives $27.50 Consensus Target Price from Brokerages

Dropbox, Inc. (NASDAQ:DBX) has received an average rating of “Reduce” from the six analysts that are presently covering the company, MarketBeat reports. Two analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and one has issued a buy recommendation on the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $27.00.

A number of equities research analysts recently issued reports on the company. UBS Group lowered their price objective on Dropbox from $27.00 to $23.00 and set a “sell” rating on the stock in a research note on Friday, February 20th. William Blair restated an “underperform” rating on shares of Dropbox in a research note on Monday, March 23rd. Wall Street Zen cut Dropbox from a “buy” rating to a “hold” rating in a research note on Friday, January 23rd. Royal Bank Of Canada boosted their price objective on Dropbox from $30.00 to $32.00 and gave the company an “outperform” rating in a research note on Friday, May 8th. Finally, JPMorgan Chase & Co. lowered their price objective on Dropbox from $29.00 to $25.00 and set a “neutral” rating on the stock in a research note on Friday, February 20th.

Dropbox Price Performance

NASDAQ DBX opened at $25.81 on Wednesday. The business’s fifty day moving average is $24.48 and its 200-day moving average is $26.48. The stock has a market capitalization of $6.23 billion, a price-to-earnings ratio of 14.10, a PEG ratio of 1.87 and a beta of 0.64. Dropbox has a one year low of $21.69 and a one year high of $32.40.

Dropbox (NASDAQ:DBX) last released its earnings results on Thursday, May 7th. The company reported $0.76 earnings per share for the quarter, beating analysts’ consensus estimates of $0.71 by $0.05. Dropbox had a net margin of 18.71% and a negative return on equity of 30.01%. The firm had revenue of $629.50 million during the quarter, compared to the consensus estimate of $620.56 million. During the same period in the prior year, the firm earned $0.70 EPS. The company’s revenue was up .8% compared to the same quarter last year. Research analysts expect that Dropbox will post 2.03 EPS for the current fiscal year.

Insider Transactions at Dropbox

In other news, insider Ashraf Alkarmi sold 12,472 shares of the company’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $26.00, for a total transaction of $324,272.00. Following the sale, the insider directly owned 414,661 shares in the company, valued at $10,781,186. This represents a 2.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CAO Sarah Elizabeth Schubach sold 1,769 shares of the company’s stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $23.95, for a total value of $42,367.55. Following the sale, the chief accounting officer owned 136,106 shares in the company, valued at approximately $3,259,738.70. This represents a 1.28% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over 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 Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of DBX. LSV Asset Management boosted its stake in Dropbox by 1.1% in the fourth quarter. LSV Asset Management now owns 11,735,641 shares of the company’s stock worth $326,251,000 after buying an additional 121,999 shares in the last quarter. Arrowstreet Capital Limited Partnership grew its holdings in Dropbox by 11.3% in 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 last quarter. Jacobs Levy Equity Management Inc. grew its holdings in Dropbox by 1.4% in 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 last quarter. Allianz Asset Management GmbH grew its holdings in Dropbox by 28.1% in 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 last quarter. Finally, Robeco Institutional Asset Management B.V. grew its holdings in Dropbox by 22.5% in 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 last quarter. Hedge funds and other institutional investors own 94.84% of the company’s stock.

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.