Dropbox (NASDAQ:DBX) Reaches New 1-Year Low – Here’s Why

Shares of Dropbox, Inc. (NASDAQ:DBX) reached a new 52-week low on Tuesday . The company traded as low as $24.41 and last traded at $24.9910, with a volume of 4623590 shares trading hands. The stock had previously closed at $25.66.

Analyst Ratings Changes

Several analysts have recently commented on the company. Royal Bank Of Canada decreased their target price on Dropbox from $38.00 to $35.00 and set an “outperform” rating on the stock in a report on Monday, January 5th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Dropbox in a research report on Wednesday, January 21st. Finally, Wall Street Zen lowered shares of Dropbox from a “buy” rating to a “hold” rating in a report on Friday, January 23rd. One analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, Dropbox currently has an average rating of “Hold” and a consensus target price of $31.33.

Dropbox Trading Down 2.1%

The stock has a market capitalization of $6.50 billion, a P/E ratio of 14.19, a PEG ratio of 2.08 and a beta of 0.63. The company has a fifty day simple moving average of $27.72 and a two-hundred day simple moving average of $28.62.

Dropbox (NASDAQ:DBX) last issued its quarterly earnings results on Thursday, November 6th. The company reported $0.74 EPS for the quarter, topping the consensus estimate of $0.64 by $0.10. The company had revenue of $634.40 million during the quarter, compared to analysts’ expectations of $623.59 million. Dropbox had a net margin of 19.87% and a negative return on equity of 49.51%. Dropbox’s revenue was down .7% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.60 EPS. As a group, analysts forecast that Dropbox, Inc. will post 1.64 earnings per share for the current fiscal year.

Insider Buying and Selling at Dropbox

In other news, CFO Timothy Regan sold 1,500 shares of the stock in a transaction on Friday, November 28th. The stock was sold at an average price of $29.64, for a total value of $44,460.00. Following the transaction, the chief financial officer owned 439,147 shares of the company’s stock, valued at $13,016,317.08. This represents a 0.34% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Sarah Elizabeth Schubach sold 1,168 shares of Dropbox stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $26.84, for a total value of $31,349.12. Following the sale, the chief accounting officer directly owned 92,702 shares of the company’s stock, valued at approximately $2,488,121.68. This trade represents a 1.24% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 404,054 shares of company stock worth $11,630,495. 28.59% of the stock is currently owned by insiders.

Institutional Trading of Dropbox

A number of institutional investors and hedge funds have recently modified their holdings of DBX. Y Intercept Hong Kong Ltd acquired a new position in shares of Dropbox during the second quarter worth about $1,404,000. Kestra Investment Management LLC bought a new stake in Dropbox in the 2nd quarter valued at approximately $682,000. Wedge Capital Management L L P NC boosted its position in Dropbox by 2.7% during the 3rd quarter. Wedge Capital Management L L P NC now owns 2,287,185 shares of the company’s stock worth $69,096,000 after acquiring an additional 59,625 shares during the last quarter. CenterBook Partners LP bought a new position in shares of Dropbox during the 2nd quarter worth approximately $2,368,000. Finally, Arrowstreet Capital Limited Partnership grew its stake in shares of Dropbox by 10.0% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 6,662,161 shares of the company’s stock worth $190,538,000 after acquiring an additional 605,258 shares in the last quarter. 94.84% of the stock is owned by institutional investors.

Dropbox Company Profile

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.