BOX (NYSE:BOX) Updates FY 2027 Earnings Guidance

Key Points

• BOX raised its FY 2027 outlook, guiding for EPS of $1.56 versus the consensus estimate of $1.33, while revenue guidance of $1.3 billion was essentially in line with Wall Street expectations.
• The company also set Q2 2027 EPS guidance at $0.39, signaling continued earnings momentum after its latest quarter beat estimates on both profit and revenue.
• Despite the stronger guidance, BOX shares fell about 1% in intraday trading, even as the stock has support from a recently approved $500 million share buyback plan.

BOX (NYSE:BOX - Get Free Report) issued an update on its FY 2027 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 1.560-1.560 for the period, compared to the consensus earnings per share estimate of 1.330. The company issued revenue guidance of $1.3 billion-$1.3 billion, compared to the consensus revenue estimate of $1.3 billion. BOX also updated its Q2 2027 guidance to 0.390-0.390 EPS.

BOX Trading Down 1.0%

BOX stock traded down $0.26 during mid-day trading on Tuesday, hitting $25.64. The stock had a trading volume of 5,608,875 shares, compared to its average volume of 2,555,575. BOX has a 1-year low of $21.34 and a 1-year high of $38.80. The company has a fifty day moving average of $24.20 and a 200 day moving average of $26.49. The stock has a market capitalization of $3.55 billion, a price-to-earnings ratio of 43.46, a PEG ratio of 1.33 and a beta of 0.71.

BOX (NYSE:BOX - Get Free Report) last issued its earnings results on Tuesday, May 26th. The software maker reported $0.37 earnings per share for the quarter, topping the consensus estimate of $0.36 by $0.01. The company had revenue of $305.94 million for the quarter, compared to analyst estimates of $304.39 million. BOX had a negative return on equity of 23.61% and a net margin of 9.80%.BOX has set its Q2 2027 guidance at 0.390-0.390 EPS and its FY 2027 guidance at 1.560-1.560 EPS. As a group, sell-side analysts expect that BOX will post 0.34 earnings per share for the current fiscal year.

BOX declared that its Board of Directors has approved a share buyback plan on Thursday, March 19th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the software maker to buy up to 14.2% of its shares through open market purchases. Shares buyback plans are often an indication that the company's board believes its stock is undervalued.

Analyst Ratings Changes

A number of research analysts have recently commented on BOX shares. DA Davidson reissued a "buy" rating and set a $45.00 price objective on shares of BOX in a report on Friday, March 20th. Citigroup lowered their price objective on BOX from $40.00 to $36.00 and set a "buy" rating on the stock in a report on Wednesday, March 4th. Wall Street Zen lowered BOX from a "strong-buy" rating to a "buy" rating in a report on Saturday, May 9th. UBS Group lowered their price objective on BOX from $31.00 to $28.00 and set a "hold" rating on the stock in a report on Wednesday, March 4th. Finally, Morgan Stanley lowered their price objective on BOX from $38.00 to $33.00 and set an "equal weight" rating on the stock in a report on Thursday, March 12th. Four investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, BOX currently has a consensus rating of "Hold" and a consensus target price of $35.57.

Insider Activity

In related news, VP Eli Berkovitch sold 24,500 shares of the stock in a transaction that occurred on Wednesday, April 8th. The stock was sold at an average price of $23.85, for a total transaction of $584,325.00. Following the completion of the sale, the vice president owned 95,516 shares in the company, valued at $2,278,056.60. This represents a 20.41% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Dylan C. Smith sold 23,720 shares of the stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $24.96, for a total value of $592,051.20. Following the sale, the chief financial officer owned 1,381,049 shares of the company's stock, valued at approximately $34,470,983.04. The trade was a 1.69% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 137,086 shares of company stock worth $3,345,852 over the last 90 days. Company insiders own 3.90% of the company's stock.

Institutional Trading of BOX

Several hedge funds have recently added to or reduced their stakes in the business. XTX Topco Ltd boosted its stake in BOX by 283.2% during the 4th quarter. XTX Topco Ltd now owns 99,652 shares of the software maker's stock valued at $2,981,000 after purchasing an additional 73,645 shares during the period. Voloridge Investment Management LLC boosted its stake in BOX by 76.2% during the 4th quarter. Voloridge Investment Management LLC now owns 681,785 shares of the software maker's stock valued at $20,392,000 after purchasing an additional 294,954 shares during the period. Toronto Dominion Bank bought a new stake in BOX during the 4th quarter valued at approximately $60,000. Tudor Investment Corp ET AL boosted its stake in BOX by 294.9% during the 4th quarter. Tudor Investment Corp ET AL now owns 449,973 shares of the software maker's stock valued at $13,459,000 after purchasing an additional 336,023 shares during the period. Finally, Numerai GP LLC lifted its position in shares of BOX by 152.4% in the 4th quarter. Numerai GP LLC now owns 46,524 shares of the software maker's stock worth $1,392,000 after acquiring an additional 28,091 shares during the period. Institutional investors own 86.74% of the company's stock.

BOX Company Profile

Box, Inc is a leading provider of cloud content management and file sharing solutions designed to support enterprises in securely managing, accessing and collaborating on digital content from anywhere. The company offers a unified platform that enables organizations to store, share and automate workflows across various departments, enhancing productivity and ensuring governance over sensitive information. Box's services are tailored to meet the needs of industries such as healthcare, financial services, government and media, where compliance and data security are paramount.

The core offerings of Box include its Content Cloud platform, which provides content collaboration, workflow automation, data classification and secure file sharing.

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