DBX Stock Analysis: Dropbox | NASDAQ
Software - Infrastructure | NASDAQ, USA | Market Cap: 7.471m USD | 12M Return: 25.3% | US26210C1045 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 138M
EPS Trend: 91.4%
Qual. Beats: -1
Rev. Trend: 50.8%
Qual. Beats: 7
Warnings
Tailwinds
Seasonality 8.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Dropbox, Inc. (NASDAQ: DBX) is a mid-cap U.S. software company headquartered in San Francisco, California, that provides a content collaboration platform serving individuals, families, teams, and organizations both domestically and internationally. The company was incorporated in 2007 under the name Evenflow, Inc., rebranding to Dropbox in October 2009, and went public on March 23, 2018. Within the Information Technology sector and Application Software sub-industry, Dropbox operates a freemium business model, offering free collaboration through its website and app alongside paid subscription plans that unlock premium features. Its platform is built around a unified content home, a global sharing network, and integrated product experiences, with customers spanning professional services, technology, media, education, industrial, consumer and retail, and financial services industries.
- Paying subscriber growth and ARPU drive subscription revenue
- Operating margin expansion accelerates on cost discipline
- Competition from Microsoft OneDrive and Google Drive pressures pricing
| Net Income: 442.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.34 > 0.02 and ΔFCF/TA 1.74 > 1.0 |
| NWC/Revenue: 3.45% < 20% (prev -29.28%; Δ 32.73% < -1%) |
| CFO/TA 0.35 > 3% & CFO 980.5m > Net Income 442.8m |
| Net Debt (3.54b) to EBITDA (861.9m): 4.10 < 3 |
| Current Ratio: 1.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (226.8m) vs 12m ago -18.03% < -2% |
| Gross Margin: 79.72% > 18% (prev 81.34%; Δ -1.62% > 0.5%) |
| Asset Turnover: 90.32% > 50% (prev 91.13%; Δ -0.81% > 0%) |
| Interest Coverage Ratio: 4.57 > 6 (EBIT TTM 706.1m / Interest Expense TTM 154.5m) |
| A: 0.03 (Total Current Assets 1.27b - Total Current Liabilities 1.18b) / Total Assets 2.83b |
| B: -1.42 (Retained Earnings -4.02b / Total Assets 2.83b) |
| C: 0.25 (EBIT TTM 706.1m / Avg Total Assets 2.80b) |
| D: -0.44 (Book Value of Equity -2.19b / Total Liabilities 5.01b) |
| Altman-Z'' = -3.20 = D |
| DSRI: 1.01 (Receivables 76.3m/75.8m, Revenue 2.53b/2.53b) |
| GMI: 1.02 (GM 81.34% / 79.72%) |
| AQI: 0.87 (AQ_t 0.34 / AQ_t-1 0.39) |
| SGI: 1.00 (Revenue 2.53b / 2.53b) |
| TATA: -0.19 (NI 442.8m - CFO 980.5m) / TA 2.83b) |
| Beneish M = -3.10 (Cap -4..+1) = AA |
As of October 17, 2026, the stock is trading at USD 35.57 with a total of 2,325,849 shares traded. Over the past week, the price has changed by +3.52%, over one month by -5.75%, over three months by +16.81% and over the past year by +25.33%.
Current recommended Stop Loss: 34.00 (which is 4.4% or 1.4 ATR below the current price).
Dropbox has received a consensus analysts rating of 2.43. Therefore, it is recommended to sell DBX.
- StrongBuy: 0
- Buy: 1
- Hold: 3
- Sell: 1
- StrongSell: 2
| Analysts Target Price | 31.8 | -10.6% |
P/E Trailing = 18.9834
P/E Forward = 10.846
P/S = 2.9512
P/B = 29.8101
P/EG = 27.1157
Revenue TTM = 2.53b USD
EBIT TTM = 706.1m USD
EBITDA TTM = 861.9m USD
Long Term Debt = 3.27b USD (from longTermDebt, last quarter)
Short Term Debt = 211.1m USD (from shortTermDebt, last quarter)
Debt = 4.65b USD (from shortLongTermDebtTotal, last quarter) + Leases 675.2m
Net Debt = 3.54b USD (calculated: Debt 4.65b - CCE 1.11b)
Enterprise Value = 11.0b USD (7.47b + Debt 4.65b - CCE 1.11b)
Interest Coverage Ratio = 4.57 (Ebit TTM 706.1m / Interest Expense TTM 154.5m)
EV/FCF = 11.50x (Enterprise Value 11.0b / FCF TTM 957.1m)
FCF Yield = 8.69% (FCF TTM 957.1m / Enterprise Value 11.0b)
FCF Margin = 37.81% (FCF TTM 957.1m / Revenue TTM 2.53b)
Net Margin = 17.49% (Net Income TTM 442.8m / Revenue TTM 2.53b)
Gross Margin = 79.72% ((Revenue TTM 2.53b - Cost of Revenue TTM 513.5m) / Revenue TTM)
Gross Margin QoQ = 80.21% (prev 79.65%)
Tobins Q-Ratio = 3.89 (Enterprise Value 11.0b / Total Assets 2.83b)
Interest Expense / Debt = 3.32% (Interest Expense 154.5m / Debt 4.65b)
Taxrate = 20.84% (116.6m / 559.4m)
NOPAT = 558.9m (EBIT 706.1m * (1 - 20.84%))
Current Ratio = 1.07 (Total Current Assets 1.27b / Total Current Liabilities 1.18b)
Debt / Equity = -2.13 (negative equity) (Debt 4.65b / totalStockholderEquity, last quarter -2.19b)
Debt / EBITDA = 4.10 (Net Debt 3.54b / EBITDA 861.9m)
Debt / FCF = 3.70 (Net Debt 3.54b / FCF TTM 957.1m)
Total Stockholder Equity = -1.88b (last 4 quarters mean from totalStockholderEquity)
RoA = 15.80% (Net Income 442.8m / Total Assets 2.83b)
RoE = -23.53% (negative equity) (Net Income TTM 442.8m / Total Stockholder Equity -1.88b)
RoCE = 50.76% (EBIT 706.1m / Capital Employed (Equity -1.88b + L.T.Debt 3.27b))
RoIC = 32.27% (NOPAT 558.9m / Invested Capital 1.73b)
WACC = 5.82% (E(7.47b)/V(12.1b) * Re(7.81%) + D(4.65b)/V(12.1b) * Rd(3.32%) * (1-Tc(0.21)))
Discount Rate = 7.81% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -99.71 | Cagr: -16.54%
[DCF] Terminal Value 76.34% ; FCFF base≈931.4m ; Y1≈991.0m ; Y5≈1.18b
[DCF] Fair Price = 102.5 (EV 18.1b - Net Debt 3.54b = Equity 14.6b / Shares 142.3m; r=8.35% [WACC [floored]]; 5y FCF grow 7.20% → 2.50% )
EPS Correlation: 91.40 | EPS CAGR: 12.97% | SUE: -2.12 | # QB: -1
Revenue Correlation: 50.84 | Revenue CAGR: 0.50% | SUE: 1.57 | # QB: 7
EPS current Quarter (2026-09-30): EPS=0.73 | Chg30d=-0.57% | Revisions=-25% | Analysts=7
EPS current Year (2026-12-31): EPS=3.06 | Chg30d=+0.44% | Revisions=-25% | GrowthEPS=+7.7% | GrowthRev=-0.1%
EPS next Year (2027-12-31): EPS=3.30 | Chg30d=+0.71% | Revisions=-25% | GrowthEPS=+8.0% | GrowthRev=-0.3%
[Analyst] Revisions Ratio: -50% (up=0, down=3)