Redwood Investment Management LLC Invests $1.31 Million in Dropbox, Inc. $DBX

Key Points

• Redwood Investment Management LLC acquired a new position in Dropbox, Inc. worth approximately $1.31 million by purchasing 49,191 shares in the first quarter.
• Dropbox's stock has received a mixed review from analysts, with Citigroup raising its target price to $32.00 and UBS lowering it to $29.00, both maintaining a "neutral" rating.
• Insider trading has seen significant activity, including CEO Andrew Houston selling 319,000 shares, reducing his ownership by 3.72% and highlighting a total of 564,572 shares sold by insiders over the last 90 days.

Redwood Investment Management LLC purchased a new stake in Dropbox, Inc. (NASDAQ:DBX - Free Report) in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund purchased 49,191 shares of the company's stock, valued at approximately $1,314,000.

Other institutional investors have also added to or reduced their stakes in the company. True Wealth Design LLC boosted its stake in Dropbox by 191.0% in the 4th quarter. True Wealth Design LLC now owns 1,036 shares of the company's stock valued at $31,000 after purchasing an additional 680 shares during the period. Elequin Capital LP boosted its stake in Dropbox by 71.0% in the 1st quarter. Elequin Capital LP now owns 1,130 shares of the company's stock valued at $30,000 after purchasing an additional 469 shares during the period. Brooklyn Investment Group lifted its position in shares of Dropbox by 250.3% during the 1st quarter. Brooklyn Investment Group now owns 1,387 shares of the company's stock valued at $37,000 after acquiring an additional 991 shares during the period. SBI Securities Co. Ltd. lifted its position in shares of Dropbox by 33.4% during the 1st quarter. SBI Securities Co. Ltd. now owns 1,794 shares of the company's stock valued at $48,000 after acquiring an additional 449 shares during the period. Finally, Fifth Third Bancorp lifted its position in shares of Dropbox by 27.3% during the 1st quarter. Fifth Third Bancorp now owns 2,288 shares of the company's stock valued at $61,000 after acquiring an additional 490 shares during the period. 94.84% of the stock is currently owned by institutional investors.

Dropbox Price Performance

Shares of DBX stock traded up $0.14 on Friday, hitting $29.06. 2,596,203 shares of the company's stock were exchanged, compared to its average volume of 3,648,723. Dropbox, Inc. has a 12 month low of $22.72 and a 12 month high of $33.33. The stock has a market cap of $7.84 billion, a P/E ratio of 17.72, a price-to-earnings-growth ratio of 3.84 and a beta of 0.64. The company has a 50 day moving average of $27.69 and a 200 day moving average of $27.85.

Dropbox (NASDAQ:DBX - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.71 earnings per share for the quarter, topping the consensus estimate of $0.63 by $0.08. Dropbox had a negative return on equity of 61.31% and a net margin of 19.17%.The business had revenue of $625.70 million during the quarter, compared to the consensus estimate of $618.60 million. During the same period in the prior year, the company earned $0.60 EPS. Dropbox's revenue for the quarter was down 1.4% on a year-over-year basis. Sell-side analysts predict that Dropbox, Inc. will post 1.64 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on DBX shares. Citigroup upped their target price on Dropbox from $30.00 to $32.00 and gave the company a "neutral" rating in a research report on Friday, May 9th. UBS Group cut their target price on Dropbox from $31.00 to $29.00 and set a "neutral" rating for the company in a research report on Friday, August 8th. Three equities research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $30.33.

Insider Buying and Selling at Dropbox

In other Dropbox news, CFO Timothy Regan sold 2,500 shares of the stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $27.95, for a total value of $69,875.00. Following the completion of the transaction, the chief financial officer directly owned 482,121 shares in the company, valued at approximately $13,475,281.95. This trade represents a 0.52% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Ashraf Alkarmi sold 10,098 shares of the stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $27.30, for a total value of $275,675.40. Following the completion of the transaction, the insider owned 469,333 shares of the company's stock, valued at $12,812,790.90. This represents a 2.11% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 562,072 shares of company stock worth $15,858,981 over the last quarter. 29.95% of the stock is currently owned by company insiders.

Dropbox 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.