Jupiter Asset Management Ltd. Buys New Holdings in Dropbox, Inc. $DBX

Key Points

• Jupiter Asset Management initiated a new position in Dropbox, buying 57,234 shares worth about $1.59 million in the fourth quarter.
• Dropbox reported better-than-expected quarterly results, posting EPS of $0.76 versus estimates of $0.71 and revenue of $629.5 million, slightly above forecasts.
• Despite the earnings beat, analyst sentiment remains cautious: the stock’s consensus rating is "Reduce", with an average target price of $27.

Jupiter Asset Management Ltd. bought a new stake in shares of Dropbox, Inc. (NASDAQ:DBX - Free Report) in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 57,234 shares of the company's stock, valued at approximately $1,591,000.

Other institutional investors also recently bought and sold shares of the company. Rossby Financial LCC lifted its holdings in Dropbox by 128.5% in the 3rd quarter. Rossby Financial LCC now owns 937 shares of the company's stock worth $28,000 after buying an additional 527 shares during the period. Palisade Asset Management LLC purchased a new stake in Dropbox in the 3rd quarter worth approximately $30,000. Larson Financial Group LLC lifted its holdings in Dropbox by 228.0% in the 4th quarter. Larson Financial Group LLC now owns 1,138 shares of the company's stock worth $32,000 after buying an additional 791 shares during the period. LRI Investments LLC lifted its holdings in Dropbox by 666.7% in the 3rd quarter. LRI Investments LLC now owns 1,150 shares of the company's stock worth $35,000 after buying an additional 1,000 shares during the period. Finally, Geneos Wealth Management Inc. lifted its holdings in Dropbox by 78.0% in the 2nd quarter. Geneos Wealth Management Inc. now owns 1,273 shares of the company's stock worth $36,000 after buying an additional 558 shares during the period. 94.84% of the stock is currently owned by hedge funds and other institutional investors.

Dropbox Stock Up 2.6%

DBX opened at $26.88 on Friday. The stock has a market cap of $6.27 billion, a PE ratio of 14.69, a PEG ratio of 2.94 and a beta of 0.64. The business has a 50 day moving average of $24.73 and a 200-day moving average of $26.29. Dropbox, Inc. has a 52 week low of $21.69 and a 52 week high of $32.40.

Dropbox (NASDAQ:DBX - Get Free Report) last released its earnings results on Thursday, May 7th. The company reported $0.76 EPS for the quarter, beating analysts' consensus estimates of $0.71 by $0.05. The company had revenue of $629.50 million during the quarter, compared to analysts' expectations of $620.56 million. Dropbox had a negative return on equity of 30.01% and a net margin of 18.71%.The firm's revenue for the quarter was up .8% compared to the same quarter last year. During the same quarter last year, the business posted $0.70 EPS. Equities analysts anticipate that Dropbox, Inc. will post 2.13 EPS for the current year.

Wall Street Analyst Weigh In

DBX has been the subject of several research analyst reports. Weiss Ratings reiterated a "hold (c)" rating on shares of Dropbox in a report on Monday, May 4th. JPMorgan Chase & Co. dropped their price objective on Dropbox from $29.00 to $25.00 and set a "neutral" rating for the company in a report on Friday, February 20th. Citigroup increased their price objective on Dropbox from $27.00 to $28.00 and gave the stock a "neutral" rating in a report on Monday, May 11th. Royal Bank Of Canada increased their price objective on Dropbox from $30.00 to $32.00 and gave the stock an "outperform" rating in a report on Friday, May 8th. Finally, William Blair reiterated an "underperform" rating on shares of Dropbox in a report on Monday, March 23rd. One investment analyst has rated the stock with a Buy rating, three have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Reduce" and an average target price of $27.00.

Insider Activity

In related news, CAO Sarah Elizabeth Schubach sold 1,306 shares of the stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $28.14, for a total value of $36,750.84. Following the completion of the transaction, the chief accounting officer directly owned 131,120 shares in the company, valued at $3,689,716.80. This trade represents a 0.99% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available 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, CEO Andrew Houston sold 30,332 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $27.50, for a total transaction of $834,130.00. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 339,263 shares of company stock worth $8,428,641. 35.48% of the stock is currently owned by corporate insiders.

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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