Dropbox, Inc. (NASDAQ:DBX) Short Interest Up 7.5% in March

Dropbox, Inc. (NASDAQ:DBX) was the target of a large increase in short interest in March. As of March 31st, there was short interest totalling 21,150,000 shares, an increase of 7.5% from the March 15th total of 19,680,000 shares. Currently, 8.4% of the shares of the stock are sold short. Based on an average daily trading volume, of 4,130,000 shares, the short-interest ratio is currently 5.1 days.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on DBX shares. Bank of America cut shares of Dropbox from a “buy” rating to an “underperform” rating and decreased their target price for the company from $34.00 to $28.00 in a research note on Friday, February 16th. Citigroup reduced their price objective on shares of Dropbox from $31.00 to $27.00 and set a “neutral” rating for the company in a research report on Friday, March 22nd. JPMorgan Chase & Co. cut shares of Dropbox from an “overweight” rating to a “neutral” rating and reduced their price objective for the stock from $33.00 to $30.00 in a research report on Friday, February 16th. KeyCorp lifted their target price on Dropbox from $32.00 to $37.00 and gave the stock an “overweight” rating in a report on Friday, January 19th. Finally, The Goldman Sachs Group downgraded Dropbox from a “neutral” rating to a “sell” rating and dropped their target price for the stock from $26.00 to $24.00 in a report on Friday, February 16th. Three investment analysts have rated the stock with a sell rating, four have issued a hold rating and three have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $29.78.

Insider Buying and Selling

In other Dropbox news, CFO Timothy Regan sold 3,000 shares of the company’s stock in a transaction dated Tuesday, January 30th. The shares were sold at an average price of $32.50, for a total transaction of $97,500.00. Following the transaction, the chief financial officer now directly owns 434,761 shares in the company, valued at approximately $14,129,732.50. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. In other Dropbox news, CFO Timothy Regan sold 3,000 shares of the firm’s stock in a transaction that occurred on Tuesday, January 30th. The shares were sold at an average price of $32.50, for a total transaction of $97,500.00. Following the sale, the chief financial officer now directly owns 434,761 shares in the company, valued at approximately $14,129,732.50. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Andrew Houston sold 164,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 5th. The stock was sold at an average price of $23.86, for a total transaction of $3,913,040.00. Following the sale, the chief executive officer now owns 8,266,666 shares in the company, valued at $197,242,650.76. The disclosure for this sale can be found here. Insiders have sold a total of 180,039 shares of company stock worth $4,324,757 in the last 90 days. Corporate insiders own 26.40% of the company’s stock.

Institutional Trading of Dropbox

Several hedge funds and other institutional investors have recently made changes to their positions in DBX. PNC Financial Services Group Inc. grew its holdings in shares of Dropbox by 19.1% during the first quarter. PNC Financial Services Group Inc. now owns 5,730 shares of the company’s stock worth $133,000 after purchasing an additional 918 shares during the last quarter. D.A. Davidson & CO. bought a new stake in Dropbox in the first quarter valued at approximately $217,000. MetLife Investment Management LLC bought a new stake in Dropbox in the first quarter valued at approximately $447,000. Blair William & Co. IL boosted its holdings in Dropbox by 233.0% in the first quarter. Blair William & Co. IL now owns 102,489 shares of the company’s stock valued at $2,383,000 after acquiring an additional 71,708 shares during the last quarter. Finally, Canada Pension Plan Investment Board boosted its holdings in Dropbox by 47.6% in the first quarter. Canada Pension Plan Investment Board now owns 21,710 shares of the company’s stock valued at $505,000 after acquiring an additional 7,000 shares during the last quarter. 94.84% of the stock is currently owned by institutional investors.

Dropbox Price Performance

DBX stock traded up $0.08 during midday trading on Wednesday, reaching $23.02. The company had a trading volume of 417,136 shares, compared to its average volume of 3,941,307. Dropbox has a 1-year low of $19.55 and a 1-year high of $33.43. The stock has a 50 day moving average price of $25.33 and a 200-day moving average price of $27.55. The company has a market capitalization of $7.92 billion, a price-to-earnings ratio of 17.38, a price-to-earnings-growth ratio of 2.58 and a beta of 0.71.

Dropbox (NASDAQ:DBX) last released its earnings results on Thursday, February 15th. The company reported $0.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.26 by ($0.01). The business had revenue of $635.00 million during the quarter, compared to the consensus estimate of $630.77 million. Dropbox had a net margin of 18.13% and a negative return on equity of 120.82%. As a group, research analysts anticipate that Dropbox will post 1.14 earnings per share for the current year.

Dropbox Company Profile

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.