Dropbox (NASDAQ:DBX) Sets New 1-Year High – Time to Buy?

Dropbox, Inc. (NASDAQ:DBX)’s share price reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $35.83 and last traded at $35.9180, with a volume of 2816561 shares traded. The stock had previously closed at $33.63.

Analysts Set New Price Targets

A number of analysts recently weighed in on the stock. Citigroup upped their price target on shares of Dropbox from $28.00 to $33.00 and gave the stock a “neutral” rating in a research report on Friday, August 7th. Royal Bank Of Canada restated an “outperform” rating on shares of Dropbox in a research note on Monday, June 1st. Bank of America reiterated an “underperform” rating on shares of Dropbox in a research note on Friday, August 7th. Wall Street Zen downgraded Dropbox from a “buy” rating to a “hold” rating in a report on Saturday, August 8th. Finally, William Blair raised Dropbox from an “underperform” rating to a “market perform” rating in a research report on Friday, August 7th. One research analyst has rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Reduce” and an average price target of $28.25.

Dropbox Price Performance

The firm has a market capitalization of $8.38 billion, a PE ratio of 19.96, a price-to-earnings-growth ratio of 4.66 and a beta of 0.64. The stock has a 50-day moving average price of $29.43 and a 200-day moving average price of $26.64.

Dropbox (NASDAQ:DBX) last issued its quarterly earnings data on Thursday, August 6th. The company reported $0.75 earnings per share for the quarter, beating analysts’ consensus estimates of $0.74 by $0.01. The firm had revenue of $631.50 million during the quarter, compared to analyst estimates of $626.69 million. Dropbox had a negative return on equity of 24.26% and a net margin of 17.49%.Dropbox’s quarterly revenue was up .9% on a year-over-year basis. During the same quarter last year, the firm earned $0.71 EPS. As a group, equities research analysts predict that Dropbox, Inc. will post 2.09 earnings per share for the current fiscal year.

Insider Transactions at Dropbox

In other news, CEO Andrew Houston sold 30,332 shares of Dropbox stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $27.50, for a total value of $834,130.00. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Karen Peacock sold 2,000 shares of the business’s stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $33.00, for a total value of $66,000.00. Following the completion of the sale, the director owned 22,366 shares of the company’s stock, valued at $738,078. This trade represents a 8.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 93,447 shares of company stock valued at $2,591,681 over the last 90 days. Corporate insiders own 35.48% of the company’s stock.

Hedge Funds Weigh In On Dropbox

Hedge funds have recently added to or reduced their stakes in the business. Palisade Asset Management LLC acquired a new stake in shares of Dropbox during the third quarter worth $30,000. Kestra Advisory Services LLC acquired a new position in shares of Dropbox in the 4th quarter valued at about $31,000. Larson Financial Group LLC boosted its holdings in shares of Dropbox by 228.0% in the 4th quarter. Larson Financial Group LLC now owns 1,138 shares of the company’s stock valued at $32,000 after buying an additional 791 shares during the period. Geneos Wealth Management Inc. boosted its holdings in shares of Dropbox by 78.0% in the 2nd quarter. Geneos Wealth Management Inc. now owns 1,273 shares of the company’s stock valued at $36,000 after buying an additional 558 shares during the period. Finally, Caitong International Asset Management Co. Ltd bought a new stake in shares of Dropbox during the 4th quarter valued at about $38,000. Institutional investors and hedge funds own 94.84% of the company’s stock.

About Dropbox

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.