Insider Selling: Dropbox (NASDAQ:DBX) CEO Sells $973,448.08 in Stock

Dropbox, Inc. (NASDAQ:DBX) CEO Andrew Houston sold 37,498 shares of the business’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $25.96, for a total transaction of $973,448.08. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Andrew Houston also recently made the following trade(s):

• On Monday, May 18th, Andrew Houston sold 30,332 shares of Dropbox stock. The stock was sold at an average price of $27.50, for a total transaction of $834,130.00.
• On Wednesday, April 1st, Andrew Houston sold 111,166 shares of Dropbox stock. The stock was sold at an average price of $22.89, for a total transaction of $2,544,589.74.
• On Monday, March 2nd, Andrew Houston sold 109,498 shares of Dropbox stock. The stock was sold at an average price of $24.94, for a total transaction of $2,730,880.12.

Dropbox Stock Up 0.1%

Dropbox stock opened at $27.56 on Thursday. Dropbox, Inc. has a 52 week low of $21.69 and a 52 week high of $32.40. The firm’s 50-day simple moving average is $24.58 and its 200 day simple moving average is $26.40. The firm has a market capitalization of $6.43 billion, a PE ratio of 15.06, a P/E/G ratio of 3.10 and a beta of 0.64.

Dropbox (NASDAQ:DBX) last released its quarterly earnings data on Thursday, May 7th. The company reported $0.76 EPS for the quarter, topping the consensus estimate of $0.71 by $0.05. Dropbox had a net margin of 18.71% and a negative return on equity of 30.01%. The business had revenue of $629.50 million for the quarter, compared to analyst estimates of $620.56 million. During the same period in the previous year, the firm earned $0.70 EPS. The business’s revenue for the quarter was up .8% compared to the same quarter last year. On average, research analysts expect that Dropbox, Inc. will post 2.03 EPS for the current fiscal year.

Analysts Set New Price Targets

DBX has been the topic of several recent research reports. Wall Street Zen upgraded shares of Dropbox from a “hold” rating to a “buy” rating in a research report on Saturday, May 16th. Citigroup upped their target price on shares of Dropbox from $27.00 to $28.00 and gave the company a “neutral” rating in a report on Monday, May 11th. Royal Bank Of Canada upped their target price on shares of Dropbox from $30.00 to $32.00 and gave the company an “outperform” rating in a report on Friday, May 8th. Weiss Ratings restated a “hold (c)” rating on shares of Dropbox in a report on Monday, May 4th. Finally, William Blair restated an “underperform” rating on shares of Dropbox in a report on Monday, March 23rd. One equities research analyst has rated the stock with a Buy rating, three have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, Dropbox currently has a consensus rating of “Reduce” and an average price target of $27.00.

Institutional Trading of Dropbox

A number of institutional investors and hedge funds have recently bought and sold shares of the business. WealthCollab LLC increased its position in Dropbox by 20.6% during the 4th quarter. WealthCollab LLC now owns 2,356 shares of the company’s stock worth $65,000 after purchasing an additional 403 shares in the last quarter. Parallel Advisors LLC increased its position in Dropbox by 8.3% during the 4th quarter. Parallel Advisors LLC now owns 5,765 shares of the company’s stock worth $160,000 after purchasing an additional 440 shares in the last quarter. Lakewood Asset Management LLC increased its position in Dropbox by 1.0% during the 4th quarter. Lakewood Asset Management LLC now owns 44,905 shares of the company’s stock worth $1,248,000 after purchasing an additional 458 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its position in Dropbox by 1.8% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 26,254 shares of the company’s stock worth $730,000 after purchasing an additional 466 shares in the last quarter. Finally, Merit Financial Group LLC increased its position in Dropbox by 4.4% during the 3rd quarter. Merit Financial Group LLC now owns 11,385 shares of the company’s stock worth $344,000 after purchasing an additional 480 shares in the last quarter. Institutional investors and hedge funds own 94.84% of the company’s stock.

Key Headlines Impacting Dropbox

Here are the key news stories impacting Dropbox this week:

• Positive Sentiment: Dropbox’s latest quarterly results beat expectations on both earnings and revenue, reinforcing that the company is still producing steady profitability despite modest top-line growth.
• Positive Sentiment: Analysts have turned somewhat more upbeat, with Royal Bank of Canada raising its price target to $32 and Wall Street Zen upgrading the stock to buy, helping support sentiment around DBX.
• Neutral Sentiment: Several insiders, including CEO Andrew Houston, a director, CTO, and CAO, sold shares under pre-arranged 10b5-1 plans; some of the sales were tied to tax withholding on equity vesting, so the activity is not necessarily a negative fundamental signal. Article Title
• Neutral Sentiment: DBX is trading around the middle of its 52-week range, suggesting investors are balancing improving earnings execution against slower revenue growth and mixed analyst ratings. Article Title

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.