WallStSmart

Dropbox Inc (DBX) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Dropbox Inc stock (DBX) is currently trading at $22.70. Dropbox Inc PE ratio is 12.43. Dropbox Inc PS ratio (Price-to-Sales) is 2.30. Analyst consensus price target for DBX is $25.50. WallStSmart rates DBX as Hold.

  • DBX PE ratio analysis and historical PE chart
  • DBX PS ratio (Price-to-Sales) history and trend
  • DBX intrinsic value — DCF, Graham Number, EPV models
  • DBX stock price prediction 2025 2026 2027 2028 2029 2030
  • DBX fair value vs current price
  • DBX insider transactions and insider buying
  • Is DBX undervalued or overvalued?
  • Dropbox Inc financial analysis — revenue, earnings, cash flow
  • DBX Piotroski F-Score and Altman Z-Score
  • DBX analyst price target and Smart Rating
DBX

Dropbox Inc

NASDAQTECHNOLOGY
$22.70
$0.42 (-1.82%)
52W$22.51
$32.40
Target$25.50+12.3%

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IV

DBX Intrinsic Value Analysis for Value Investors

Benjamin Graham Formula · Dropbox Inc (DBX)

Margin of Safety
+72.0%
Strong Buy Zone
DBX Fair Value
$87.05
Graham Formula
Current Price
$22.70
$64.35 below fair value
Undervalued
Fair: $87.05
Overvalued
Price $22.70
Graham IV $87.05
Analyst $25.50

DBX trades at a significant discount to its Graham intrinsic value of $87.05, offering a 72% margin of safety — a level value investors typically seek before buying.

Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.

WallStSmart

Smart Analysis

Dropbox Inc (DBX) · 10 metrics scored

Smart Score

58
out of 100
Grade: C
Buy
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in operating margin, eps growth, profit margin. Concerns around peg ratio and price/book. Fundamentals are solid but monitor weak areas for improvement.

Dropbox Inc (DBX) Key Strengths (6)

Avg Score: 8.3/10
Profit MarginProfitability
20.20%10/10

Keeps $20 of every $100 in revenue as net profit

Institutional Own.Quality
127.94%10/10

127.94% of shares held by major funds and institutions

Operating MarginProfitability
24.90%8/10

Strong operational efficiency: $25 kept per $100 revenue

EPS GrowthGrowth
27.20%8/10

Strong earnings growth at 27.20% per year

Market CapQuality
$5.79B7/10

Mid-cap company balancing growth potential with stability

Return on EquityProfitability
16.80%7/10

Solid profitability: $17 profit per $100 equity

Supporting Valuation Data

P/E Ratio
12.43
Undervalued
Forward P/E
8.29
Attractive
Trailing P/E
12.43
Undervalued

Dropbox Inc (DBX) Areas to Watch (4)

Avg Score: 2.5/10
Revenue GrowthGrowth
-1.20%0/10

Revenue declining -1.20%, a shrinking business

PEG RatioValuation
11.852/10

Very expensive relative to growth, significant premium

Price/BookValuation
29.812/10

Very expensive at 29.8x book value

Price/SalesValuation
2.306/10

Revenue is fairly priced at 2.30x sales

Supporting Valuation Data

DBX Target Price
$25.5
1% Downside

Dropbox Inc (DBX) Detailed Analysis Report

Overall Assessment

This company scores 58/100 in our Smart Analysis, earning a C grade. Out of 10 metrics analyzed, 6 register as strengths (avg 8.3/10) while 4 fall into concern territory (avg 2.5/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on Profit Margin, Institutional Own., Operating Margin. Profitability is solid with Return on Equity at 16.80%, Operating Margin at 24.90%, Profit Margin at 20.20%. Growth metrics are encouraging with EPS Growth at 27.20%.

The Bear Case

The primary concerns are Revenue Growth, PEG Ratio, Price/Book. Some valuation metrics including PEG Ratio (11.85), Price/Sales (2.30), Price/Book (29.81) suggest expensive pricing. Growth concerns include Revenue Growth at -1.20%, which may limit upside.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Revenue Growth improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at 16.80% currently healthy but needing to be sustained. Third, growth sustainability, with Revenue Growth at -1.20% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a moderate-to-high risk investment. The weight of evidence leans positive, with more strengths than concerns. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Mixed fundamentals with both positives (Profit Margin, Institutional Own.) and negatives (Revenue Growth, PEG Ratio). A cautious approach is warranted. Monitor for improvement in weak areas before increasing conviction.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

DBX Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

DBX's Price-to-Sales ratio of 2.30x sits near its historical average of 2.34x (64th percentile), suggesting the market is pricing in steady-state growth. The current valuation is 55% below its historical high of 5.11x set in Jun 2018, and 50% above its historical low of 1.53x in Apr 2023. Over the past 12 months, the PS ratio has expanded from ~1.8x, reflecting growing market expectations outpacing revenue growth.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Dropbox Inc (DBX) · TECHNOLOGYSOFTWARE - INFRASTRUCTURE

The Big Picture

Dropbox Inc faces headwinds with declining revenue, though profitability provides a cushion. Revenue reached 2.5B with 1% decline year-over-year. Profit margins are strong at 20.2%, reflecting pricing power and operational efficiency.

Key Findings

Strong Profitability

Profit margin of 20.2% and operating margin of 24.9% demonstrate strong pricing power and operational efficiency.

Cash Flow Positive

Generating 225M in free cash flow and 235M in operating cash flow. Earnings are translating into actual cash generation.

What to Watch Next

Sector dynamics: monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive moves, and regulatory changes that could impact Dropbox Inc.

Bottom Line

Dropbox Inc faces challenges with declining revenue. While profitability provides a buffer, the long-term trajectory needs to improve. Watch for management's strategic response and whether the company can stabilize or pivot to new growth drivers.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

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About Dropbox Inc(DBX)

Exchange

NASDAQ

Sector

TECHNOLOGY

Industry

SOFTWARE - INFRASTRUCTURE

Country

USA

Dropbox, Inc. provides a worldwide collaboration platform. The company is headquartered in San Francisco, California.