Dropbox (NASDAQ:DBX) Reaches New 1-Year Low – What’s Next?

Dropbox, Inc. (NASDAQ:DBX)’s share price reached a new 52-week low on Wednesday . The company traded as low as $24.37 and last traded at $24.2750, with a volume of 1219446 shares traded. The stock had previously closed at $24.98.

Wall Street Analyst Weigh In

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

Dropbox Stock Performance

The firm has a market capitalization of $6.35 billion, a price-to-earnings ratio of 13.86, a price-to-earnings-growth ratio of 1.98 and a beta of 0.63. The firm’s 50-day moving average price is $26.83 and its two-hundred day moving average price is $28.43.

Insider Buying and Selling

In related news, CTO Ali Dasdan sold 5,666 shares of the business’s stock in a transaction on Tuesday, November 18th. The stock was sold at an average price of $29.19, for a total value of $165,390.54. Following the sale, the chief technology officer owned 526,140 shares of the company’s stock, valued at $15,358,026.60. The trade was a 1.07% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Ashraf Alkarmi sold 10,098 shares of Dropbox stock in a transaction on Tuesday, November 18th. The shares were sold at an average price of $29.18, for a total value of $294,659.64. Following the transaction, the insider directly owned 435,810 shares of the company’s stock, valued at approximately $12,716,935.80. The trade was a 2.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 465,889 shares of company stock worth $12,747,963 over the last 90 days. Corporate insiders own 29.95% of the company’s stock.

Institutional Trading of Dropbox

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Empowered Funds LLC lifted its position in Dropbox by 7.3% during 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 in the last quarter. IFP Advisors Inc raised its stake in shares of Dropbox by 92.5% in the second quarter. IFP Advisors Inc now owns 8,330 shares of the company’s stock worth $245,000 after acquiring an additional 4,002 shares during the last quarter. Vanguard Personalized Indexing Management LLC lifted its position in shares of Dropbox by 4.8% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 43,813 shares of the company’s stock worth $1,253,000 after purchasing an additional 2,025 shares in the last quarter. CWM LLC lifted its position in shares of Dropbox by 131.2% during the second quarter. CWM LLC now owns 185,914 shares of the company’s stock worth $5,317,000 after purchasing an additional 105,511 shares in the last quarter. Finally, TD Asset Management Inc grew its stake in shares of Dropbox by 10.1% during the second quarter. TD Asset Management Inc now owns 83,600 shares of the company’s stock valued at $2,391,000 after purchasing an additional 7,700 shares during the last quarter. 94.84% of the stock is currently owned by institutional investors and hedge funds.

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.