Dropbox (NASDAQ:DBX) Stock Price Down 8.6% – What’s Next?

Dropbox, Inc. (NASDAQ:DBX) traded down 8.6% during trading on Friday . The stock traded as low as $25.48 and last traded at $25.49. 395,989 shares were traded during trading, a decline of 89% from the average session volume of 3,675,218 shares. The stock had previously closed at $27.88.

Wall Street Analyst Weigh In

Separately, UBS Group dropped their price target on Dropbox from $30.00 to $28.00 and set a “buy” rating on the stock in a research note on Friday, August 9th. Two analysts have rated the stock with a sell rating, three have issued a hold rating and two have assigned a buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $28.67.

Dropbox Price Performance

The stock has a market cap of $8.80 billion, a PE ratio of 14.82, a PEG ratio of 1.64 and a beta of 0.61. The company’s fifty day moving average is $25.33 and its 200-day moving average is $23.73.

Dropbox (NASDAQ:DBX) last issued its quarterly earnings data on Thursday, August 8th. The company reported $0.60 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.52 by $0.08. Dropbox had a negative return on equity of 161.78% and a net margin of 23.06%. The business had revenue of $634.50 million during the quarter, compared to analysts’ expectations of $630.10 million. During the same quarter in the previous year, the firm posted $0.28 EPS. The company’s revenue for the quarter was up 1.9% on a year-over-year basis. Analysts expect that Dropbox, Inc. will post 1.31 EPS for the current year.

Insider Activity

In other news, CFO Timothy Regan sold 2,500 shares of the firm’s stock in a transaction dated Tuesday, October 15th. The shares were sold at an average price of $26.18, for a total value of $65,450.00. Following the transaction, the chief financial officer now directly owns 466,747 shares of the company’s stock, valued at approximately $12,219,436.46. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. In related news, CEO Andrew Houston sold 3,493 shares of the firm’s stock in a transaction dated Thursday, September 19th. The shares were sold at an average price of $25.00, for a total transaction of $87,325.00. Following the completion of the sale, the chief executive officer now directly owns 8,266,666 shares in the company, valued at approximately $206,666,650. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Timothy Regan sold 2,500 shares of Dropbox stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $26.18, for a total transaction of $65,450.00. Following the sale, the chief financial officer now directly owns 466,747 shares in the company, valued at approximately $12,219,436.46. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 459,952 shares of company stock worth $11,544,337 over the last quarter. 26.40% of the stock is currently owned by corporate insiders.

Institutional Trading of Dropbox

Several institutional investors have recently added to or reduced their stakes in DBX. Vanguard Group Inc. increased its stake in Dropbox by 0.4% during the 1st quarter. Vanguard Group Inc. now owns 27,379,532 shares of the company’s stock worth $665,323,000 after buying an additional 105,250 shares during the period. QRG Capital Management Inc. grew its stake in shares of Dropbox by 10.6% during the third quarter. QRG Capital Management Inc. now owns 221,716 shares of the company’s stock worth $5,638,000 after purchasing an additional 21,190 shares in the last quarter. Susquehanna Fundamental Investments LLC purchased a new position in Dropbox in the first quarter valued at $4,900,000. Lakewood Asset Management LLC acquired a new stake in Dropbox in the second quarter valued at $797,000. Finally, Janus Henderson Group PLC boosted its position in shares of Dropbox by 16.4% during the 1st quarter. Janus Henderson Group PLC now owns 1,619,231 shares of the company’s stock worth $39,340,000 after acquiring an additional 228,316 shares in the last quarter. Institutional investors and hedge funds own 94.84% of the company’s stock.

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.