Dropbox (DBX) Advances While Market Declines: Some Information for Investors

Dropbox (DBX) closed the latest trading day at $26.39, indicating a +0.42% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 1.07%. Elsewhere, the Dow lost 0.62%, while the tech-heavy Nasdaq lost 1.71%.Coming into today, shares of the online file-sharing company had lost 19.83% in the past month. In that same time, the Computer and Technology sector lost 11.12%, while the S&P 500 lost 7.03%.The investment community will be closely monitoring the performance of Dropbox in its forthcoming earnings report. The company is predicted to post an EPS of $0.62, indicating a 6.9% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $619.06 million, showing a 1.94% drop compared to the year-ago quarter.Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.54 per share and revenue of $2.47 billion, indicating changes of +2.01% and -2.9%, respectively, compared to the previous year.Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Dropbox. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 6.09% higher. As of now, Dropbox holds a Zacks Rank of #1 (Strong Buy).In terms of valuation, Dropbox is presently being traded at a Forward P/E ratio of 10.34. For comparison, its industry has an average Forward P/E of 21.64, which means Dropbox is trading at a discount to the group.Meanwhile, DBX's PEG ratio is currently 0.9. 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. DBX's industry had an average PEG ratio of 1.34 as of yesterday's close.The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 159, which puts it in the bottom 37% 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.You can find more information on all of these metrics, and much more, on Zacks.com.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dropbox, Inc. (DBX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks