JPMorgan Chase & Co. Cuts Dropbox (NASDAQ:DBX) Price Target to $25.00

Dropbox (NASDAQ:DBX) had its price target lowered by JPMorgan Chase & Co. from $29.00 to $25.00 in a research note published on Friday,Benzinga reports. JPMorgan Chase & Co. currently has a neutral rating on the stock.

Several other analysts also recently weighed in on DBX. Wall Street Zen downgraded Dropbox from a “buy” rating to a “hold” rating in a research note on Friday, January 23rd. UBS Group reduced their price target on Dropbox from $27.00 to $23.00 and set a “sell” rating for the company in a report on Friday. Royal Bank Of Canada dropped their price objective on Dropbox from $35.00 to $30.00 and set an “outperform” rating on the stock in a report on Friday. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Dropbox in a research note on Wednesday, January 21st. One investment analyst has rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Dropbox presently has a consensus rating of “Hold” and an average price target of $27.50.

Dropbox Trading Up 3.0%

NASDAQ DBX opened at $25.48 on Friday. The stock has a market cap of $6.59 billion, a P/E ratio of 13.70, a PEG ratio of 2.08 and a beta of 0.63. The company’s fifty day simple moving average is $26.48 and its 200-day simple moving average is $28.37. Dropbox has a 52 week low of $23.63 and a 52 week high of $32.40.

Dropbox (NASDAQ:DBX) last released its quarterly earnings results on Thursday, February 19th. The company reported $0.68 earnings per share for the quarter, beating analysts’ consensus estimates of $0.66 by $0.02. Dropbox had a net margin of 20.17% and a negative return on equity of 37.47%. The business had revenue of $636.20 million during the quarter, compared to analyst estimates of $627.83 million. During the same period last year, the business earned $0.73 EPS. The business’s revenue was down 1.1% on a year-over-year basis. On average, research analysts expect that Dropbox will post 1.64 EPS for the current fiscal year.

Insider Activity at Dropbox

In related news, CEO Andrew Houston sold 164,502 shares of the company’s stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $25.66, for a total transaction of $4,221,121.32. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CAO Sarah Elizabeth Schubach sold 1,416 shares of the firm’s stock in a transaction on Wednesday, February 18th. The stock was sold at an average price of $24.49, for a total value of $34,677.84. Following the transaction, the chief accounting officer owned 86,319 shares in the company, valued at $2,113,952.31. This trade represents a 1.61% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 424,757 shares of company stock worth $11,535,896 in the last 90 days. 28.59% of the stock is currently owned by insiders.

Institutional Trading of Dropbox

Several institutional investors have recently added to or reduced their stakes in the business. Empowered Funds LLC lifted its position in shares of Dropbox by 7.3% in the 1st quarter. Empowered Funds LLC now owns 38,795 shares of the company’s stock worth $1,036,000 after buying an additional 2,655 shares during the last quarter. Chicago Partners Investment Group LLC raised its stake in Dropbox by 11.7% during the second quarter. Chicago Partners Investment Group LLC now owns 10,141 shares of the company’s stock worth $285,000 after acquiring an additional 1,063 shares during the period. Cullen Frost Bankers Inc. bought a new position in Dropbox in the second quarter worth about $41,000. Ethic Inc. acquired a new position in Dropbox in the second quarter valued at approximately $222,000. Finally, Asset Management One Co. Ltd. bought a new position in shares of Dropbox during the second quarter valued at approximately $1,383,000. Institutional investors own 94.84% of the company’s stock.

More Dropbox News

Here are the key news stories impacting Dropbox this week:

• Positive Sentiment: Q4 beat: Dropbox reported $0.68 EPS vs. $0.66 expected and revenue of $636.2M vs. $627.8M expected; management flagged accelerating customer growth and margin improvement tied to cost discipline. Dropbox Announces Fourth Quarter and Fiscal 2025 Results
• Positive Sentiment: Guidance: DBX gave Q1 revenue guidance of $618M–$621M (slightly above Street) and kept FY‑26 revenue around ~$2.5B, signaling modest upside to revenue expectations. Guidance in press release
• Neutral Sentiment: Insider sale: CAO Sarah Schubach sold 1,416 shares (~$34.7K) — a small trim relative to her remaining holdings and not an obvious signal of material insider de‑risking. SEC Filing
• Neutral Sentiment: Institutional flows: Several smaller funds modestly increased positions in Q4; overall institutional ownership remains high, limiting volatility from a single holder’s activity.
• Neutral Sentiment: Short‑interest data appears inconsistent in recent reports (reported as zero/NaN), so current positioning signals are unclear and likely unreliable in the short term.
• Negative Sentiment: Analyst pressure — JPMorgan cut its price target to $25 and set a “neutral” rating, which reduces upside expectations and may weigh on buying momentum. JPMorgan PT cut coverage
• Negative Sentiment: Analyst pressure — RBC trimmed its target from $35 to $30 (still “Outperform”), narrowing prior upside and tempering some bullish views. RBC price target cut coverage
• Negative Sentiment: Bearish commentary and premarket weakness: A Seeking Alpha piece cautioned that strong free cash flow may not be sustainable as users leave, and DBX was flagged among premarket decliners earlier, creating near‑term selling pressure. Seeking Alpha analysis Premarket movers

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.