Brokerages Set Dropbox, Inc. (NASDAQ:DBX) Price Target at $27.00

Shares of Dropbox, Inc. (NASDAQ:DBX) have been assigned a consensus rating of “Reduce” from the six brokerages that are covering the firm, Marketbeat reports. Two investment analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and one has given a buy recommendation to the company. The average twelve-month target price among brokers that have covered the stock in the last year is $27.00.

DBX has been the topic of several recent research reports. William Blair reaffirmed an “underperform” rating on shares of Dropbox in a research report on Monday, March 23rd. Weiss Ratings reissued a “hold (c)” rating on shares of Dropbox in a research report on Monday, May 4th. Wall Street Zen upgraded Dropbox from a “hold” rating to a “buy” rating in a research note on Sunday. Royal Bank Of Canada reaffirmed an “outperform” rating on shares of Dropbox in a research report on Monday, June 1st. Finally, Citigroup lifted their target price on Dropbox from $27.00 to $28.00 and gave the company a “neutral” rating in a research note on Monday, May 11th.

Dropbox Stock Performance

Shares of DBX opened at $28.41 on Thursday. The company has a 50 day moving average price of $26.45 and a 200-day moving average price of $25.86. Dropbox has a fifty-two week low of $21.69 and a fifty-two week high of $32.40. The stock has a market capitalization of $6.63 billion, a PE ratio of 15.52, a PEG ratio of 3.01 and a beta of 0.66.

Dropbox (NASDAQ:DBX) last issued its quarterly earnings data 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 company had revenue of $629.50 million for the quarter, compared to analyst estimates of $620.56 million. Dropbox had a net margin of 18.71% and a negative return on equity of 30.01%. Dropbox’s revenue was up .8% compared to the same quarter last year. During the same period last year, the company posted $0.70 earnings per share. Equities research analysts forecast that Dropbox will post 2.09 EPS for the current year.

Insider Buying and Selling at Dropbox

In related news, CTO Ali Dasdan sold 5,666 shares of the stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $27.56, for a total transaction of $156,154.96. Following the completion of the sale, the chief technology officer owned 514,611 shares of the company’s stock, valued at $14,182,679.16. This represents a 1.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Andrew William Moore sold 8,443 shares of the firm’s stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $27.57, for a total transaction of $232,773.51. Following the completion of the sale, the director owned 4,737 shares of the company’s stock, valued at approximately $130,599.09. This trade represents a 64.06% 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. In the last quarter, insiders sold 127,192 shares of company stock valued at $3,429,062. 35.48% of the stock is currently owned by corporate insiders.

Institutional Trading of Dropbox

Several hedge funds and other institutional investors have recently made changes to their positions in DBX. Arbejdsmarkedets Tillaegspension purchased a new stake in Dropbox in the fourth quarter valued at about $22,050,000. Intech Investment Management LLC boosted its holdings in Dropbox by 117.3% in the third quarter. Intech Investment Management LLC now owns 407,958 shares of the company’s stock worth $12,324,000 after acquiring an additional 220,176 shares in the last quarter. Nisa Investment Advisors LLC grew its stake in shares of Dropbox by 57.9% during the fourth quarter. Nisa Investment Advisors LLC now owns 223,706 shares of the company’s stock worth $6,219,000 after acquiring an additional 82,053 shares during the last quarter. Tudor Investment Corp ET AL grew its stake in shares of Dropbox by 3,963.5% during the third quarter. Tudor Investment Corp ET AL now owns 312,892 shares of the company’s stock worth $9,452,000 after acquiring an additional 305,192 shares during the last quarter. Finally, Robeco Institutional Asset Management B.V. increased its holdings in shares of Dropbox by 22.5% during the fourth quarter. Robeco Institutional Asset Management B.V. now owns 2,518,534 shares of the company’s stock valued at $70,015,000 after acquiring an additional 463,258 shares in 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.