Dropbox (NASDAQ:DBX) Raised to “Buy” at Wall Street Zen

Dropbox (NASDAQ:DBX) was upgraded by equities researchers at Wall Street Zen from a “hold” rating to a “buy” rating in a report issued on Sunday.

A number of other analysts also recently commented on DBX. Royal Bank Of Canada restated an “outperform” rating on shares of Dropbox in a research report on Monday, June 1st. Citigroup upped their target price on Dropbox from $27.00 to $28.00 and gave the stock a “neutral” rating in a research report on Monday, May 11th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Dropbox in a research note on Monday, May 4th. Finally, William Blair reissued an “underperform” rating on shares of Dropbox in a research note on Monday, March 23rd. One analyst has rated the stock with a Buy rating, three have issued a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Reduce” and an average price target of $27.00.

Dropbox Stock Up 6.2%

Shares of DBX stock opened at $26.64 on Friday. The company has a market cap of $6.22 billion, a P/E ratio of 14.56, a PEG ratio of 2.92 and a beta of 0.67. The business has a 50 day moving average of $26.24 and a two-hundred day moving average of $25.88. Dropbox has a 52 week low of $21.69 and a 52 week high of $32.40.

Dropbox (NASDAQ:DBX) last announced its quarterly earnings results on Thursday, May 7th. The company reported $0.76 earnings per share for the quarter, topping analysts’ consensus estimates of $0.71 by $0.05. The business had revenue of $629.50 million for the quarter, compared to analysts’ expectations of $620.56 million. Dropbox had a negative return on equity of 30.01% and a net margin of 18.71%.The business’s quarterly revenue was up .8% on a year-over-year basis. During the same period in the prior year, the firm earned $0.70 EPS. Analysts expect that Dropbox will post 2.09 EPS for the current fiscal year.

Insider Activity at Dropbox

In other Dropbox news, CEO Andrew Houston sold 30,332 shares of the company’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $27.50, for a total transaction of $834,130.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Ali Dasdan sold 5,666 shares of the firm’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $27.56, for a total transaction of $156,154.96. Following the completion of the transaction, the chief technology officer owned 514,611 shares of the company’s stock, valued at approximately $14,182,679.16. The trade was a 1.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 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. Insiders sold 239,774 shares of company stock valued at $6,005,653 over the last ninety days. Company insiders own 35.48% of the company’s stock.

Institutional Investors Weigh In On Dropbox

Several hedge funds have recently made changes to their positions in the company. Norges Bank acquired a new stake in Dropbox during the 4th quarter valued at $69,909,000. Arrowstreet Capital Limited Partnership boosted its position in shares of Dropbox by 12.7% in the first quarter. Arrowstreet Capital Limited Partnership now owns 8,533,736 shares of the company’s stock worth $193,886,000 after buying an additional 960,109 shares during the period. Arbejdsmarkedets Tillaegspension purchased a new position in shares of Dropbox during the fourth quarter valued at $22,050,000. Allianz Asset Management GmbH grew its holdings in shares of Dropbox by 28.1% during the fourth quarter. Allianz Asset Management GmbH now owns 2,720,372 shares of the company’s stock valued at $75,626,000 after buying an additional 596,440 shares in the last quarter. Finally, Northern Trust Corp raised its position in Dropbox by 29.1% during the third quarter. Northern Trust Corp now owns 2,488,077 shares of the company’s stock valued at $75,165,000 after buying an additional 560,694 shares during the period. Hedge funds and other institutional investors own 94.84% of the company’s stock.

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.