Dropbox, Inc. (DBX) is a Software - Infrastructure company in the Technology sector, currently trading at $22.70. It has a SharesGrow Score of 62/100, indicating a above average investment profile with 4 out of 7 criteria passed.
SharesGrow calculates the intrinsic value of DBX = $90.39 (+298.2% from the current price, the stock appears undervalued). Analyst consensus target is DBX = $27 (+16.7% upside).
Valuation: DBX trades at a trailing Price-to-Earnings (P/E) of 11 (S&P 500 average ~25) with a forward Price/Earnings-to-Growth (PEG) of 0.74.
Financials: revenue is $2.5B, +2.8%/yr average growth. Net income is $508M, growing at -2%/yr. Net profit margin is 20.2% (strong). Gross margin is 80.1% (-0.8 pp trend).
Balance sheet: total debt is $3.9B with negative equity of -$1.8B — this means total liabilities exceed total assets. This is a warning sign that may indicate accumulated losses, aggressive share buybacks, heavy debt financing, or aggressive dividend payouts. Companies like McDonald's and Starbucks also carry negative equity due to buybacks and dividends, but investors should assess whether the business generates sufficient cash flow to service its debt and sustain payouts. Current ratio is 0.62 (tight liquidity). Debt-to-assets is 135.2%. Total assets: $2.9B.
Analyst outlook: 6 / 16 analysts rate DBX as buy (38%) — mixed sentiment.
SharesGrow 7-Criteria breakdown: Value 80/100 (Pass), Growth 30/100 (Fail), Past 100/100 (Pass), Health 25/100 (Fail), Moat 70/100 (Pass), Future 46/100 (Partial), Income 85/100 (Pass).
