Dropbox (NASDAQ:DBX) Upgraded by Wall Street Zen to Buy Rating

Wall Street Zen upgraded shares of Dropbox (NASDAQ:DBX) from a hold rating to a buy rating in a report issued on Saturday.

A number of other research analysts have also weighed in on the company. UBS Group lowered Dropbox from a “neutral” rating to a “sell” rating and dropped their target price for the company from $29.00 to $27.00 in a report on Thursday, September 18th. Weiss Ratings reissued a “hold (c+)” rating on shares of Dropbox in a research report on Wednesday, October 8th. Three equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and an average price target of $29.67.

Dropbox Trading Up 2.5%

DBX opened at $29.10 on Friday. Dropbox has a 1-year low of $24.42 and a 1-year high of $33.33. The company has a market cap of $7.85 billion, a price-to-earnings ratio of 17.74, a PEG ratio of 3.83 and a beta of 0.67. The company’s fifty day moving average price is $29.49 and its two-hundred day moving average price is $28.49.

Dropbox (NASDAQ:DBX) last posted its earnings results on Thursday, August 7th. The company reported $0.71 EPS for the quarter, topping the consensus estimate of $0.63 by $0.08. Dropbox had a net margin of 19.17% and a negative return on equity of 61.31%. The company had revenue of $625.70 million during the quarter, compared to the consensus estimate of $618.60 million. During the same period in the previous year, the firm posted $0.60 earnings per share. The firm’s revenue for the quarter was down 1.4% on a year-over-year basis. As a group, equities analysts forecast that Dropbox will post 1.64 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Dropbox news, insider William T. Yoon sold 11,430 shares of the stock in a transaction on Monday, September 8th. The stock was sold at an average price of $30.16, for a total transaction of $344,728.80. Following the completion of the transaction, the insider directly owned 223,662 shares of the company’s stock, valued at approximately $6,745,645.92. This represents a 4.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Sarah Elizabeth Schubach sold 1,066 shares of the firm’s stock in a transaction on Wednesday, October 15th. The stock was sold at an average price of $28.62, for a total value of $30,508.92. Following the completion of the sale, the chief accounting officer directly owned 104,657 shares of the company’s stock, valued at $2,995,283.34. This represents a 1.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 318,632 shares of company stock worth $9,248,234 in the last three months. Insiders own 29.95% of the company’s stock.

Institutional Investors Weigh In On Dropbox

Several institutional investors have recently added to or reduced their stakes in the business. GAMMA Investing LLC increased its stake in shares of Dropbox by 12.2% in the first quarter. GAMMA Investing LLC now owns 7,219 shares of the company’s stock worth $193,000 after purchasing an additional 783 shares in the last quarter. SG Americas Securities LLC bought a new position in Dropbox in the 1st quarter worth approximately $647,000. Fifth Third Bancorp boosted its holdings in Dropbox by 27.3% in the 1st quarter. Fifth Third Bancorp now owns 2,288 shares of the company’s stock worth $61,000 after buying an additional 490 shares during the period. Wealth Enhancement Advisory Services LLC grew its stake in Dropbox by 37.3% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 43,088 shares of the company’s stock valued at $1,151,000 after buying an additional 11,713 shares in the last quarter. Finally, Sowell Financial Services LLC bought a new stake in Dropbox during the 1st quarter valued at $302,000. 94.84% of the stock is owned by hedge funds and other institutional investors.

About Dropbox

Dropbox, Inc provides a content collaboration platform worldwide. The company's 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. It serves customers in professional services, technology, media, education, industrial, consumer and retail, and financial services industries.