Dropbox, Inc. (NASDAQ:DBX) Given Consensus Rating of “Reduce” by Analysts

Dropbox, Inc. (NASDAQ:DBX) has received a consensus rating of “Reduce” from the seven analysts that are currently covering the firm, MarketBeat reports. Two investment analysts have rated the stock with a sell recommendation, four have issued a hold recommendation and one has given a buy recommendation to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $27.50.

Separately, Jefferies Financial Group lifted their price target on shares of Dropbox from $27.00 to $30.00 and gave the company a “hold” rating in a research report on Monday, January 6th.

Dropbox Price Performance

NASDAQ DBX opened at $32.13 on Friday. The firm’s fifty day moving average price is $29.87 and its 200 day moving average price is $26.55. Dropbox has a 12 month low of $20.68 and a 12 month high of $33.43. The company has a market capitalization of $9.95 billion, a price-to-earnings ratio of 18.57, a price-to-earnings-growth ratio of 1.58 and a beta of 0.61.

Dropbox (NASDAQ:DBX) last announced its earnings results on Thursday, November 7th. The company reported $0.36 earnings per share for the quarter, missing the consensus estimate of $0.52 by ($0.16). The company had revenue of $638.80 million during the quarter, compared to analysts’ expectations of $636.93 million. Dropbox had a net margin of 22.71% and a negative return on equity of 135.85%. During the same quarter last year, the business posted $0.35 earnings per share. As a group, sell-side analysts forecast that Dropbox will post 1.49 earnings per share for the current year.

Insiders Place Their Bets

In other news, CEO Andrew Houston sold 500,323 shares of the business’s stock in a transaction that occurred on Thursday, January 2nd. The stock was sold at an average price of $29.65, for a total value of $14,834,576.95. Following the completion of the sale, the chief executive officer now directly owns 8,266,666 shares in the company, valued at approximately $245,106,646.90. The trade was a 5.71 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Timothy Regan sold 2,500 shares of the firm’s stock in a transaction dated Friday, November 15th. The stock was sold at an average price of $27.17, for a total transaction of $67,925.00. Following the completion of the transaction, the chief financial officer now owns 436,264 shares in the company, valued at approximately $11,853,292.88. The trade was a 0.57 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 900,068 shares of company stock worth $26,648,755 in the last three months. 26.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Capital Performance Advisors LLP bought a new position in Dropbox during the third quarter valued at about $28,000. Avion Wealth increased its position in Dropbox by 4,472.7% in the 4th quarter. Avion Wealth now owns 1,006 shares of the company’s stock worth $30,000 after purchasing an additional 984 shares during the last quarter. V Square Quantitative Management LLC acquired a new position in Dropbox in the third quarter worth approximately $31,000. Quarry LP raised its holdings in shares of Dropbox by 81.1% during the 2nd quarter. Quarry LP now owns 1,965 shares of the company’s stock valued at $44,000 after purchasing an additional 880 shares in the last quarter. Finally, UMB Bank n.a. lifted its position in shares of Dropbox by 2,479.4% in the third quarter. UMB Bank n.a. now owns 1,754 shares of the company’s stock worth $45,000 after buying an additional 1,686 shares during the last quarter. 94.84% of the stock is owned by institutional investors and hedge funds.

Dropbox Company Profile

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.