Dropbox, Inc. (DBX) AI Stock Analysis

Dropbox, Inc. operates a global content collaboration platform designed to facilitate collaboration for individuals, families, teams, and organizations. The platform offers free sign-up options through its website and app, with the ability to upgrade to paid subscription plans for enhanced features. As of December 31, 2021, Dropbox had approximately 700 million registered users. Headquartered in San Francisco, California, and founded in 2007, the company caters to clients across professional services, technology, media, education, industrial, retail, and financial services sectors, providing file sharing, storage, and digital workspace solutions across multiple devices and operating systems.

Dropbox's revenue grew from $2.16B in FY2021 to $2.55B in FY2024 before contracting 1.1% to $2.52B in FY2025, representing a 5-year revenue CAGR of 5.7%. Net income increased from $335.8M in FY2021 to $508.4M in FY2025, while EPS climbed from $1.53 to $2.61. Operating margin improved from 12.7% in FY2021 to 27.4% in FY2025. Over the trailing twelve months ended June 30, 2026, revenue stood at $2.53B with an operating margin of 26.1% and a net profit margin of 17.5%. In the latest quarter ended June 30, 2026, quarterly revenue grew 0.9% year-over-year, while quarterly earnings fell 6.7%.

As of June 30, 2026, Dropbox held $1.11B in cash and short-term investments against total debt of $3.98B, resulting in net debt of $2.86B. Shareholders' equity was -$2.19B, and total assets were $2.83B, with a current ratio of 1.07. In FY2025, the company generated $951.8M in operating cash flow and $930.8M in free cash flow while spending $21.0M on capital expenditures. Cash was deployed into $1.71B of share buybacks in FY2025, contributing to a 41.3% reduction in share count over five years.

At a last close of $35.57 on October 16, 2026, Dropbox had a market cap of $7.73B and an enterprise value of $10.30B. Its trailing P/E of 19.7x and forward P/E of 10.8x sit below the median of its US-listed Technology peers at 28.1x and 18.8x, respectively. The stock's EV/EBITDA of 12.3x is below the peer median of 16.6x, while its price-to-sales multiple of 3.1x compares to the peer median of 2.8x. Over the past year, DBX returned 25.3%, outperforming the S&P 500 (SPY) return of 16.8%, but its 5-year return of 17.4% trailed the index's 83.0%.

Wall Street analyst coverage consists of 0 Strong Buy, 1 Buy, 3 Hold, 1 Sell, and 2 Strong Sell ratings. The mean price target is $31.80, which is 10.6% below the last close of $35.57. For the fiscal year ending December 31, 2026, consensus estimates project EPS of $3.06 on revenue of $2.52B. For the following fiscal year, 7 analysts project EPS of $3.30 and revenue of $2.51B, a 0.3% revenue decline. Dropbox beat EPS estimates in 3 of the last 4 quarters, and its next earnings date is November 5, 2026.

This page is an AI-written research summary of Dropbox, Inc. (DBX). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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