Dropbox Stock Buy Hold or Sell Recommendation
DBX Stock | USD 23.97 0.15 0.63% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Dropbox is 'Strong Hold'. Macroaxis provides Dropbox buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Dropbox positions. The advice algorithm takes into account all of Dropbox's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Osisko Gold Ro's buy or sell advice are summarized below:
Real Value 28.63 | Target Price 31.14 | Hype Value 24.09 | Market Value 23.97 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Dropbox given historical horizon and risk tolerance towards Dropbox. When Macroaxis issues a 'buy' or 'sell' recommendation for Dropbox, the advice is generated through an automated system that utilizes algorithms and statistical models.
Dropbox |
Execute Dropbox Buy or Sell Advice
The Dropbox recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Dropbox. Macroaxis does not own or have any residual interests in Dropbox or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Dropbox's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Dropbox Trading Alerts and Improvement Suggestions
Dropbox generated a negative expected return over the last 90 days | |
Dropbox has high historical volatility and very poor performance | |
Over 95.0% of the company shares are held by institutions such as insurance companies | |
Latest headline from news.google.com: DBX Top 4 Tech Giants Poised for Explosive Growth - StockNews.com |
Dropbox Returns Distribution Density
The distribution of Dropbox's historical returns is an attempt to chart the uncertainty of Dropbox's future price movements. The chart of the probability distribution of Dropbox stock daily returns describes the distribution of returns around its average expected value. We use Dropbox price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Dropbox returns is essential to provide solid investment advice for Dropbox.
Mean Return | -0.22 | Value At Risk | -2.51 | Potential Upside | 2.30 | Standard Deviation | 3.18 |
Return Density |
Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Dropbox historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Dropbox Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Dropbox is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Dropbox backward and forwards among themselves. Dropbox's institutional investor refers to the entity that pools money to purchase Dropbox's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares | Lsv Asset Management | 2023-12-31 | 3.3 M | Bank Of New York Mellon Corp | 2023-09-30 | 3.1 M | Charles Schwab Investment Management Inc | 2023-09-30 | 2.9 M | Wedge Capital Management, Llp | 2023-12-31 | 2.7 M | Pacer Advisors, Inc. | 2023-09-30 | 2.6 M | Goldman Sachs Group Inc | 2023-09-30 | 2.4 M | Schroder Investment Management Group | 2023-12-31 | 2.3 M | Robeco Institutional Asset Management Bv | 2023-12-31 | 2.3 M | Nordea Investment Mgmt Bank Demark A/s | 2023-12-31 | 2.2 M | Blackrock Inc | 2023-12-31 | 34.7 M | Vanguard Group Inc | 2023-09-30 | 27.4 M |
Dropbox Cash Flow Accounts
2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
Investments | (24.5M) | (170.6M) | (396.1M) | (48.5M) | 312.1M | 327.7M | |
Change In Cash | 32M | (236.4M) | 218.1M | (300.2M) | 382.1M | 401.2M | |
Net Borrowings | (92.9M) | 145.8M | 1.0B | 105.8M | 121.7M | 96.5M | |
Free Cash Flow | 390.7M | 490.5M | 700.9M | 762.4M | 759.1M | 467.8M | |
Depreciation | 173.5M | 159.3M | 151.4M | 157.1M | 170.1M | 133.4M | |
Other Non Cash Items | 900K | 21.8M | (13.9M) | 252.5M | (69.6M) | (66.1M) | |
Capital Expenditures | 137.8M | 80.3M | 28.9M | 34.9M | 24.6M | 23.4M | |
Net Income | (52.7M) | (256.3M) | 335.8M | 553.2M | 453.6M | 476.3M | |
End Period Cash Flow | 551.3M | 314.9M | 533M | 232.8M | 614.9M | 477.4M | |
Change To Netincome | 244.6M | 657.1M | 300.4M | 108.8M | 125.1M | 118.9M |
Dropbox Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Dropbox or Software sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Dropbox's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Dropbox stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over NYSE Composite | -0.37 | |
β | Beta against NYSE Composite | 1.07 | |
σ | Overall volatility | 3.31 | |
Ir | Information ratio | -0.11 |
Dropbox Volatility Alert
Dropbox exhibits very low volatility with skewness of -5.72 and kurtosis of 40.82. However, we advise investors to further study Dropbox technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Dropbox's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Dropbox's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.Dropbox Implied Volatility
Dropbox's implied volatility exposes the market's sentiment of Dropbox stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Dropbox's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Dropbox stock will not fluctuate a lot when Dropbox's options are near their expiration.
Dropbox Fundamentals Vs Peers
Comparing Dropbox's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Dropbox's direct or indirect competition across all of the common fundamentals between Dropbox and the related equities. This way, we can detect undervalued stocks with similar characteristics as Dropbox or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Dropbox's fundamental indicators could also be used in its relative valuation, which is a method of valuing Dropbox by comparing valuation metrics with those of similar companies.
Better Than Average | Worse Than Average | Compare Dropbox to competition |
Fundamentals | Dropbox | Peer Average |
Return On Equity | 0.17 | -0.31 |
Return On Asset | 0.0787 | -0.14 |
Profit Margin | 0.18 % | (1.27) % |
Operating Margin | 0.17 % | (5.51) % |
Current Valuation | 8.87 B | 16.62 B |
Shares Outstanding | 263.33 M | 571.82 M |
Shares Owned By Insiders | 4.01 % | 10.09 % |
Shares Owned By Institutions | 94.87 % | 39.21 % |
Number Of Shares Shorted | 15.19 M | 4.71 M |
Price To Earning | 24.28 X | 28.72 X |
Price To Book | 29.81 X | 9.51 X |
Price To Sales | 3.28 X | 11.42 X |
Revenue | 2.5 B | 9.43 B |
Gross Profit | 1.88 B | 27.38 B |
EBITDA | 553.6 M | 3.9 B |
Net Income | 453.6 M | 570.98 M |
Cash And Equivalents | 1.45 B | 2.7 B |
Cash Per Share | 4.04 X | 5.01 X |
Total Debt | 2.03 B | 5.32 B |
Debt To Equity | 3.35 % | 48.70 % |
Current Ratio | 1.40 X | 2.16 X |
Book Value Per Share | (0.49) X | 1.93 K |
Cash Flow From Operations | 783.7 M | 971.22 M |
Short Ratio | 3.04 X | 4.00 X |
Earnings Per Share | 1.31 X | 3.12 X |
Price To Earnings To Growth | 2.16 X | 4.89 X |
Target Price | 31.0 | |
Number Of Employees | 2.69 K | 18.84 K |
Beta | 0.71 | -0.15 |
Market Capitalization | 8.19 B | 19.03 B |
Total Asset | 3.04 B | 29.47 B |
Retained Earnings | (2.74 B) | 9.33 B |
Working Capital | 315.1 M | 1.48 B |
Note: Disposition of 3000 shares by Timothy Regan of Dropbox at 23.837 subject to Rule 16b-3 [view details]
Dropbox Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Dropbox . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Dropbox Buy or Sell Advice
When is the right time to buy or sell Dropbox? Buying financial instruments such as Dropbox Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.2021 | 2022 | 2023 | 2024 (projected) | Other Current Liabilities | 279.9M | 271.6M | 264.4M | 271.9M | Total Assets | 3.1B | 3.1B | 3.0B | 2.3B |
Use Investing Ideas to Build Portfolios
In addition to having Dropbox in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Broad Commodities ETFs Thematic Idea Now
Broad Commodities ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Commodities ETFs theme has 25 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Broad Commodities ETFs Theme or any other thematic opportunities.
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Check out Dropbox Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For more information on how to buy Dropbox Stock please use our How to Invest in Dropbox guide.Note that the Dropbox information on this page should be used as a complementary analysis to other Dropbox's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the AI Investment Finder module to use AI to screen and filter profitable investment opportunities.
Complementary Tools for Dropbox Stock analysis
When running Dropbox's price analysis, check to measure Dropbox's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dropbox is operating at the current time. Most of Dropbox's value examination focuses on studying past and present price action to predict the probability of Dropbox's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dropbox's price. Additionally, you may evaluate how the addition of Dropbox to your portfolios can decrease your overall portfolio volatility.
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Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |
Is Dropbox's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Dropbox. If investors know Dropbox will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Dropbox listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.28) | Earnings Share 1.31 | Revenue Per Share 7.332 | Quarterly Revenue Growth 0.06 | Return On Assets 0.0787 |
The market value of Dropbox is measured differently than its book value, which is the value of Dropbox that is recorded on the company's balance sheet. Investors also form their own opinion of Dropbox's value that differs from its market value or its book value, called intrinsic value, which is Dropbox's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Dropbox's market value can be influenced by many factors that don't directly affect Dropbox's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Dropbox's value and its price as these two are different measures arrived at by different means. Investors typically determine if Dropbox is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dropbox's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.