Dropbox Inc. provides a collaboration platform worldwide. Its platform allows individuals, teams, and organizations to create, access, and share content online. The company was founded in 2007 and is based in San Francisco, California.
DBX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Dropbox Inc. To summarize, we found that Dropbox Inc ranked in the 32th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Dropbox Inc ended up being:
The company has produced more trailing twelve month cash flow than 72.44% of its sector Technology.
The business' balance sheet reveals debt to be 10% of the company's capital (with equity being the remaining amount). Approximately merely 23.08% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Dropbox Inc's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than just 0% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Dropbox Inc? See GLOB, TER, EXFO, SVMK, and ALOT.
Photo storage startup Loom announced it had been acquired by Dropbox in 2014; it also said it would be shutting down its service a month later. In 2015, Divshot revealed it had been bought out by Google; it also added it would be closing doors two months later. Guess what happened when Meta Mind got acquired by SalesForce in April 2016? It shuttered the same year in June. You get the idea. When startups break the news they’ve been acquired, there’s also a tendency to announce they’ll be shutting down their services, like three days later. But more than the… This story continues at The Next Web
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