#1 - Dropbox (NASDAQ:DBX)
Dropbox Inc. (NASDAQ: DBX) is a content collaboration platform. The company is grappling with intense competition, resulting in a significant slowdown in user growth—only 18,000 new subscribers added in the most recent quarter compared to its total user base of approximately 18 million.
That’s a key reason why revenue increased just 0.9% year-over-year (YoY), down from the already slow 1.9 YoY growth rate in the prior quarter. But what the company may lack in growth, it makes up for with an appealing valuation and solid free cash flow (although it still has a net debt position).
Dropbox also recently announced a major round of layoffs—approximately 20% of its workforce—which could make the company more attractive as a takeover target.
Analysts are neutral on DBX stock with a consensus Hold rating. The stock is down 3% for the year but up 9% in the month ending November 25, 2024.
About Dropbox
Dropbox, Inc provides a content collaboration platform worldwide. The company's platform allows individuals, families, teams, and organizations to collaborate and sign up for free through its website or app, as well as upgrade to a paid subscription plan for premium features. It serves customers in professional services, technology, media, education, industrial, consumer and retail, and financial services industries.
Read More - Current Price
- $30.75
- Consensus Rating
- Hold
- Ratings Breakdown
- 2 Buy Ratings, 3 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $28.67 (6.8% Downside)
