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Dropbox (DBX) Falls More Steeply Than Broader Market: What Investors Need to Know
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Dropbox (DBX - Free Report) closed the latest trading day at $25.05, indicating a -1.49% change from the previous session's end. This change lagged the S&P 500's 0.93% loss on the day. Elsewhere, the Dow saw a downswing of 0.41%, while the tech-heavy Nasdaq depreciated by 1.53%.
The online file-sharing company's shares have seen an increase of 1.15% over the last month, not keeping up with the Computer and Technology sector's gain of 2.77% and the S&P 500's gain of 2.17%.
The investment community will be paying close attention to the earnings performance of Dropbox in its upcoming release. The company's earnings per share (EPS) are projected to be $0.52, reflecting a 7.14% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $636.93 million, up 0.62% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.22 per share and a revenue of $2.54 billion, signifying shifts of +12.12% and +1.73%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Dropbox. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Dropbox is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Dropbox is presently trading at a Forward P/E ratio of 11.45. This denotes a discount relative to the industry's average Forward P/E of 30.63.
We can additionally observe that DBX currently boasts a PEG ratio of 0.94. 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. The average PEG ratio for the Internet - Services industry stood at 1.83 at the close of the market yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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) Falls More Steeply Than Broader Market: What Investors Need to Know
Dropbox (DBX - Free Report) closed the latest trading day at $25.05, indicating a -1.49% change from the previous session's end. This change lagged the S&P 500's 0.93% loss on the day. Elsewhere, the Dow saw a downswing of 0.41%, while the tech-heavy Nasdaq depreciated by 1.53%.
The online file-sharing company's shares have seen an increase of 1.15% over the last month, not keeping up with the Computer and Technology sector's gain of 2.77% and the S&P 500's gain of 2.17%.
The investment community will be paying close attention to the earnings performance of Dropbox in its upcoming release. The company's earnings per share (EPS) are projected to be $0.52, reflecting a 7.14% decrease from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $636.93 million, up 0.62% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.22 per share and a revenue of $2.54 billion, signifying shifts of +12.12% and +1.73%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Dropbox. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Dropbox is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, Dropbox is presently trading at a Forward P/E ratio of 11.45. This denotes a discount relative to the industry's average Forward P/E of 30.63.
We can additionally observe that DBX currently boasts a PEG ratio of 0.94. 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. The average PEG ratio for the Internet - Services industry stood at 1.83 at the close of the market yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 93, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.