DBX Stock Overview
Dropbox, Inc. provides a content collaboration platform worldwide.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$20.27|
|52 Week High||US$33.00|
|52 Week Low||US$19.32|
|1 Month Change||-12.14%|
|3 Month Change||-18.89%|
|1 Year Change||-22.34%|
|3 Year Change||-12.40%|
|5 Year Change||n/a|
|Change since IPO||-28.83%|
Recent News & Updates
Dropbox: Long Overdue For A Rebound
Shares of Dropbox rallied modestly after the company posted strong Q1 results. Revenue grew at 10% y/y, beating the high-single-digit target that Wall Street had set. Meanwhile, operating margins continue to tick upward while free cash flow expansion is settling into high gear. Dropbox is substantially undervalued at ~3x forward revenue.
Focusing On Value In Technology - Dropbox
Value should continue to outperform growth as the Fed raises interest rates. Value can be found in every sector of the S&P 500 to build a diversified portfolio. Dropbox stands out as a technology name with steady growth, a low P/E multiple, strong balance sheet, and growing free cash flow.
|DBX||US Software||US Market|
Return vs Industry: DBX underperformed the US Software industry which returned -10.3% over the past year.
Return vs Market: DBX underperformed the US Market which returned -10.4% over the past year.
|DBX Average Weekly Movement||5.9%|
|Software Industry Average Movement||11.4%|
|Market Average Movement||7.8%|
|10% most volatile stocks in US Market||16.8%|
|10% least volatile stocks in US Market||2.9%|
Stable Share Price: DBX is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: DBX's weekly volatility (6%) has been stable over the past year.
About the Company
Dropbox, Inc. provides a content collaboration platform worldwide. Its 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. As of December 31, 2021, the company had approximately 700 million registered users.
Dropbox Fundamentals Summary
|DBX fundamental statistics|
Is DBX overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|DBX income statement (TTM)|
|Cost of Revenue||US$447.80m|
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
|Earnings per share (EPS)||0.99|
|Net Profit Margin||16.66%|
How did DBX perform over the long term?See historical performance and comparison
Is Dropbox undervalued compared to its fair value and its price relative to the market?
Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PB vs Industry
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DBX ($20.27) is trading below our estimate of fair value ($58.73)
Significantly Below Fair Value: DBX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: DBX is good value based on its PE Ratio (20.5x) compared to the US Software industry average (41.9x).
PE vs Market: DBX is poor value based on its PE Ratio (20.5x) compared to the US market (15.5x).
Price to Earnings Growth Ratio
PEG Ratio: DBX's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: DBX has negative assets, so we can't compare its PB Ratio to the US Software industry average.
How is Dropbox forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Future Growth Score0/6
Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DBX's earnings are forecast to decline over the next 3 years (-6.9% per year).
Earnings vs Market: DBX's earnings are forecast to decline over the next 3 years (-6.9% per year).
High Growth Earnings: DBX's earnings are forecast to decline over the next 3 years.
Revenue vs Market: DBX's revenue (6.9% per year) is forecast to grow slower than the US market (8% per year).
High Growth Revenue: DBX's revenue (6.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if DBX's Return on Equity is forecast to be high in 3 years time
How has Dropbox performed over the past 5 years?
Past Performance Score3/6
Past Performance Score 3/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DBX has high quality earnings.
Growing Profit Margin: DBX became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: DBX has become profitable over the past 5 years, growing earnings by 39.6% per year.
Accelerating Growth: DBX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: DBX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (29.6%).
Return on Equity
High ROE: DBX's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is Dropbox's financial position?
Financial Health Score2/6
Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: DBX has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: DBX has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: DBX has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: DBX's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: DBX's debt is well covered by operating cash flow (55.1%).
Interest Coverage: DBX's interest payments on its debt are well covered by EBIT (62.1x coverage).
What is Dropbox current dividend yield, its reliability and sustainability?
Dividend Score 0/6
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate DBX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate DBX's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if DBX's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if DBX's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as DBX has not reported any payouts.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Drew Houston (37 yo)
Mr. Andrew W. Houston, also known as Drew, co-founded Dropbox Inc. and has been its Chief Executive Officer and Director since June 2007 also serves as its Chairman. He served as President of Dropbox Inc....
CEO Compensation Analysis
Compensation vs Market: Drew's total compensation ($USD1.52M) is below average for companies of similar size in the US market ($USD8.23M).
Compensation vs Earnings: Drew's compensation has been consistent with company performance over the past year.
Experienced Management: DBX's management team is considered experienced (2.8 years average tenure).
Experienced Board: DBX's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Dropbox, Inc.'s employee growth, exchange listings and data sources
- Name: Dropbox, Inc.
- Ticker: DBX
- Exchange: NasdaqGS
- Founded: 2007
- Industry: Application Software
- Sector: Software
- Implied Market Cap: US$7.556b
- Shares outstanding: 372.79m
- Website: https://www.dropbox.com
Number of Employees
- Dropbox, Inc.
- 1800 Owens Street
- San Francisco
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/05/16 00:00|
|End of Day Share Price||2022/05/16 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.