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Dropbox (DBX) Outpaces Stock Market Gains: What You Should Know
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Dropbox (DBX - Free Report) closed at $19.85 in the latest trading session, marking a +0.43% move from the prior day. This change outpaced the S&P 500's 0.05% gain on the day. Meanwhile, the Dow gained 0.48%, and the Nasdaq, a tech-heavy index, lost 0.61%.
Prior to today's trading, shares of the online file-sharing company had gained 0.69% over the past month. This has outpaced the Computer and Technology sector's gain of 0.29% and the S&P 500's loss of 0.52% in that time.
Investors will be hoping for strength from DBX as it approaches its next earnings release. The company is expected to report EPS of $0.19, up 46.15% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $482.57 million, up 12.7% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.77 per share and revenue of $1.90 billion. These totals would mark changes of +54% and +14.18%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DBX. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. DBX is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that DBX has a Forward P/E ratio of 25.54 right now. This represents a discount compared to its industry's average Forward P/E of 37.06.
Also, we should mention that DBX has a PEG ratio of 0.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Services stocks are, on average, holding a PEG ratio of 2.11 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 122, which puts it in the top 49% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Dropbox (DBX) Outpaces Stock Market Gains: What You Should Know
Dropbox (DBX - Free Report) closed at $19.85 in the latest trading session, marking a +0.43% move from the prior day. This change outpaced the S&P 500's 0.05% gain on the day. Meanwhile, the Dow gained 0.48%, and the Nasdaq, a tech-heavy index, lost 0.61%.
Prior to today's trading, shares of the online file-sharing company had gained 0.69% over the past month. This has outpaced the Computer and Technology sector's gain of 0.29% and the S&P 500's loss of 0.52% in that time.
Investors will be hoping for strength from DBX as it approaches its next earnings release. The company is expected to report EPS of $0.19, up 46.15% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $482.57 million, up 12.7% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.77 per share and revenue of $1.90 billion. These totals would mark changes of +54% and +14.18%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DBX. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. DBX is currently a Zacks Rank #2 (Buy).
Valuation is also important, so investors should note that DBX has a Forward P/E ratio of 25.54 right now. This represents a discount compared to its industry's average Forward P/E of 37.06.
Also, we should mention that DBX has a PEG ratio of 0.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Services stocks are, on average, holding a PEG ratio of 2.11 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 122, which puts it in the top 49% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.