The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage.
Dropbox (DBX) is a mature, highly profitable cash compounder trading at just 10x earnings, with expanding margins and aggressive share repurchases. DBX's flat revenues mask strong cost control, margin expansion, and robust free cash flow, as management executes well despite headwinds from FormSwift. The company is investing in Dash and self-serve business, with early signs of stabilization and potential for long-term growth not priced into the stock.
Wondering how to pick strong, market-beating stocks for your investment portfolio? Look no further than the Zacks Style Scores.
The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage.
The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage.
Dropbox (DBX) came out with quarterly earnings of $0.74 per share, beating the Zacks Consensus Estimate of $0.64 per share. This compares to earnings of $0.6 per share a year ago.
Dropbox (DBX) closed the most recent trading day at $28.95, moving +1.94% from the previous trading session.
The Zacks Style Scores offers investors a way to easily find top-rated stocks based on their investing style. Here's why you should take advantage.
I maintain my sell rating on Dropbox as revenue, paying users, and ARPU all continue to decline, signaling structural weakness. Margin expansion is driven by cost cuts, not growth, while headline EPS growth is fueled by aggressive share buybacks rather than improved fundamentals. Management's focus on profitability, de-prioritization of FormSwift, and cheaper plans are accelerating the core business decline.
Dropbox (DBX) could produce exceptional returns because of its solid growth attributes.
Dropbox consistently beats earnings estimates and boasts strong margins, trading at a significant discount to sector P/E ratios. Despite operational success, Dropbox faces intense competition from giants like Google, threatening its niche and future growth prospects. The company's high debt load and negative equity present significant financial risks, limiting flexibility and shareholder returns.
Dropbox, Inc. (NASDAQ:DBX ) Q2 2025 Earnings Conference Call August 7, 2025 5:00 PM ET Company Participants Andrew W. Houston - Co-Founder, Interim President, CEO & Chairman Peter Stabler - Head of Investor Relations Timothy J.