California State Teachers Retirement System Acquires 32,041 Shares of Dropbox, Inc. $DBX

Key Points

• California State Teachers Retirement System increased its Dropbox stake by 18.4%, acquiring 32,041 shares to own 206,493 shares valued at approximately $4.7 million. Institutional investors collectively hold 94.84% of the company.
• Dropbox’s fiscal second-quarter 2026 results exceeded expectations, with adjusted EPS of $0.75 and revenue of $631.5 million; management also raised its 2026 outlook and forecast third-quarter revenue above consensus.
• Despite the earnings beat, revenue grew just 0.9% year over year, and analyst sentiment remains cautious: Dropbox has an average “Reduce” rating and a consensus price target of $28.25.

California State Teachers Retirement System boosted its position in Dropbox, Inc. (NASDAQ:DBX - Free Report) by 18.4% during the first quarter, according to its most recent 13F filing with the SEC. The firm owned 206,493 shares of the company's stock after acquiring an additional 32,041 shares during the period. California State Teachers Retirement System owned 0.09% of Dropbox worth $4,692,000 as of its most recent SEC filing.

Several other hedge funds also recently bought and sold shares of the company. Empowered Funds LLC grew its stake in Dropbox by 12.9% in the 1st quarter. Empowered Funds LLC now owns 116,220 shares of the company's stock worth $2,641,000 after buying an additional 13,244 shares in the last quarter. Lombard Odier Asset Management USA Corp purchased a new stake in shares of Dropbox in the 1st quarter worth about $266,000. Arrowstreet Capital Limited Partnership boosted its stake in shares of Dropbox by 12.7% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 8,533,736 shares of the company's stock valued at $193,886,000 after purchasing an additional 960,109 shares in the last quarter. Inceptionr LLC raised its stake in Dropbox by 155.3% in the first quarter. Inceptionr LLC now owns 53,245 shares of the company's stock worth $1,210,000 after buying an additional 32,388 shares in the last quarter. Finally, State of Wyoming lifted its holdings in Dropbox by 21.6% in the first quarter. State of Wyoming now owns 16,792 shares of the company's stock worth $382,000 after buying an additional 2,984 shares during the period. Hedge funds and other institutional investors own 94.84% of the company's stock.

Insiders Place Their Bets

In other Dropbox news, CTO Ali Dasdan sold 5,666 shares of the company's stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $27.56, for a total transaction of $156,154.96. Following the transaction, the chief technology officer owned 514,611 shares in the company, valued at approximately $14,182,679.16. This represents a 1.09% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider William T. Yoon sold 7,230 shares of Dropbox stock in a transaction that occurred on Monday, May 18th. The stock was sold at an average price of $27.57, for a total transaction of $199,331.10. Following the completion of the sale, the insider directly owned 366,963 shares of the company's stock, valued at approximately $10,117,169.91. This trade represents a 1.93% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 130,945 shares of company stock worth $3,565,129 in the last quarter. Insiders own 35.48% of the company's stock.

Dropbox News Summary

Here are the key news stories impacting Dropbox this week:

• Positive Sentiment: Dropbox reported fiscal second-quarter 2026 adjusted earnings of $0.75 per share, exceeding the $0.74 consensus estimate and improving from $0.71 a year earlier. Revenue of $631.5 million also topped expectations of $626.7 million. Dropbox Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Management raised its 2026 outlook, while improving core file, sync and sharing trends, growth in paying users and expanding artificial-intelligence capabilities provide potential support for future results. Dropbox Q2 Earnings Beat Estimates on Core FSS, 2026 Outlook Raised
• Positive Sentiment: Dropbox forecast third-quarter revenue of $627 million to $630 million, above the $625.9 million analyst consensus, signaling expectations for continued operating momentum. Dropbox Earnings Conference Call
• Positive Sentiment: The company’s AI-powered search initiatives could help differentiate Dropbox, improve content discovery and create new opportunities to increase engagement and monetization. Can Dropbox Redefine Itself Through AI-Powered Search?
• Neutral Sentiment: Despite the earnings beat, quarterly revenue increased only 0.9% year over year. This reinforces the view that Dropbox must accelerate growth beyond its mature core storage and collaboration business. Dropbox Shares Decline Despite Earnings Beat as Revenue Growth Disappoints

Dropbox Trading Up 0.8%

DBX stock opened at $34.81 on Friday. The stock's 50 day simple moving average is $29.08 and its 200 day simple moving average is $26.46. Dropbox, Inc. has a 12-month low of $21.69 and a 12-month high of $35.72. The stock has a market capitalization of $8.12 billion, a PE ratio of 19.34, a price-to-earnings-growth ratio of 3.78 and a beta of 0.64.

Dropbox (NASDAQ:DBX - Get Free Report) last posted its quarterly earnings results on Thursday, August 6th. The company reported $0.75 earnings per share for the quarter, topping the consensus estimate of $0.74 by $0.01. The firm had revenue of $631.50 million during the quarter, compared to analysts' expectations of $626.69 million. Dropbox had a negative return on equity of 25.65% and a net margin of 17.49%.The company's revenue was up .9% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.71 earnings per share. On average, research analysts predict that Dropbox, Inc. will post 2.09 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on DBX shares. Weiss Ratings restated a "hold (c)" rating on shares of Dropbox in a report on Friday, July 31st. Royal Bank Of Canada reissued an "outperform" rating on shares of Dropbox in a research report on Monday, June 1st. Bank of America restated an "underperform" rating on shares of Dropbox in a research note on Friday. William Blair upgraded Dropbox from an "underperform" rating to a "market perform" rating in a research note on Friday. Finally, Wall Street Zen downgraded Dropbox from a "buy" rating to a "hold" rating in a report on Saturday. One analyst has rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, Dropbox presently has an average rating of "Reduce" and an average target price of $28.25.

About Dropbox

Dropbox, Inc NASDAQ: DBX is a leading provider of cloud-based file storage, collaboration, and productivity tools. Founded in 2007 and headquartered in San Francisco, California, the company offers a suite of services designed to help individuals and organizations securely store, share, and manage digital content. Dropbox has grown from a simple file-syncing application into an integrated collaboration platform used by millions of customers around the globe.

At its core, Dropbox provides cloud storage plans tailored for consumers and businesses.

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