Dropbox

DBX

Market cap $6.26B

Dropbox is downgraded to 'sell' due to flat revenues, underwhelming AI progress, and intensifying competitive risks. Q4 results showed minimal revenue growth, declining ARR, and gross margin pressure from hardware refresh and Dash scaling costs. 2026 guidance implies flat revenues and limited free cash flow upside, with AI-driven monetization and Dash adoption remaining uncertain.

Dropbox tops Q4 earnings estimates despite y/y revenue and ARR declines, shares inch up as cost cuts lift margins, and the 2026 guidance sets a cautious tone.

Dropbox faces structural headwinds, with Q4 results revealing user contraction and declining ARPU, reinforcing my 'Sell' rating. DBX guides for FY26 revenue of $2.485–$2.5 billion, implying -1.6% to -0.8% y/y growth and margin de-leverage to 39.0–39.5%. Despite a low 8.5x EV/FY26 FCF multiple, DBX's profit sustainability is questionable amid ongoing user and revenue declines.

Dropbox, Inc. (DBX) Q4 2025 Earnings Call Transcript

Dropbox (DBX) came out with quarterly earnings of $0.68 per share, beating the Zacks Consensus Estimate of $0.66 per share. This compares to earnings of $0.73 per share a year ago.

SAN FRANCISCO--(BUSINESS WIRE)--Dropbox, Inc. (NASDAQ: DBX), today announced financial results for its fourth quarter and fiscal year ended December 31, 2025. “We closed out 2025 on a strong note, exceeding the high end of our revenue and operating margin guidance and demonstrating our continued operating discipline,” said Drew Houston, Dropbox Co-Founder and Chief Executive Officer. “Last year, we began reshaping how we invest in and evolve the business, and we're starting to see results. We'r.

Dropbox (DBX) closed the most recent trading day at $24.41, moving 2.28% from the previous trading session.

Hedge funds are increasing their short bets against software stocks, contributing to the brutal sell-off in the space so far this year, according to sources at two major funds on Wall Street.

In the closing of the recent trading day, Dropbox (DBX) stood at $25.11, denoting a -2.14% move from the preceding trading day.

SAN FRANCISCO--(BUSINESS WIRE)--Dropbox, Inc. (NASDAQ: DBX) announced today that it will report financial results for the fourth quarter and fiscal year ended December 31, 2025 after market close on Thursday, February 19, 2026. The company will also hold a conference call on the same day at 2:00 PM PT / 5:00 PM ET to discuss its financial results with the investment community. A live webcast and replay of the conference call will be accessible on the Dropbox investor relations website at http:/.