Dropbox (NASDAQ:DBX) Issues Quarterly Earnings Results, Misses Expectations By $0.11 EPS

Dropbox (NASDAQ:DBX) announced its earnings results on Thursday. The company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.62 by ($0.11), Zacks reports. Dropbox had a net margin of 22.71% and a negative return on equity of 135.85%. The business had revenue of $643.60 million for the quarter, compared to the consensus estimate of $638.61 million. Dropbox updated its FY 2025 guidance to EPS and its Q1 2025 guidance to EPS.

Dropbox Trading Down 16.2 %

Shares of DBX stock opened at $26.71 on Friday. The company has a market capitalization of $8.27 billion, a P/E ratio of 15.44, a P/E/G ratio of 1.74 and a beta of 0.61. Dropbox has a 12 month low of $20.68 and a 12 month high of $33.33. The stock has a 50 day moving average of $30.99 and a two-hundred day moving average of $27.55.

Wall Street Analyst Weigh In

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

Insider Buying and Selling

In related news, CEO Andrew Houston sold 132,000 shares of the firm’s stock in a transaction on Monday, December 2nd. The stock was sold at an average price of $28.12, for a total transaction of $3,711,840.00. Following the completion of the sale, the chief executive officer now directly owns 8,266,666 shares of the company’s stock, valued at $232,458,647.92. This trade represents a 1.57 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Timothy Regan sold 2,500 shares of the firm’s stock in a transaction on Friday, February 7th. The shares were sold at an average price of $32.19, for a total value of $80,475.00. Following the sale, the chief financial officer now directly owns 396,264 shares of the company’s stock, valued at $12,755,738.16. This represents a 0.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 900,238 shares of company stock worth $26,680,195 in the last 90 days. 28.59% of the stock is owned by company insiders.

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.