DBX Technology

Dropbox, Inc.

$34.96-1.91%

Price as of close on Nov 3, 2026 · Financials updated Oct 8, 2026

Basics

Sector: Technology
Industry: Software - Infrastructure
Country: United States
Market cap: 7.6B USD
Enterprise value: 10.5B USD
Full-time employees: 2,113

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings
Drawback: growing more slowly than most peersgrowing more slowly than peers
Drawback: higher risk than most peers: less short-term liquidity (current ratio 1.07 vs a peer median of 1.83)higher risk: less liquidity (current ratio 1.07 vs peers 1.83)

Ranks #668 of 1,612 technology companies (top 42%)

See how it ranks against its peers

Worth knowing

Negative shareholders' equity. Liabilities exceed assets on the balance sheet.
Dropbox's liabilities exceed its assets on the balance sheet. Large share buybacks can cause this in healthy companies, but so can accumulated losses; either way, debt-based ratios need care.
Returning more cash than it generates. Paid out $3.5B vs $2.6B of free cash flow over the 3 fiscal years to 2025.
Dropbox returned $3.5B to shareholders over three years, 136% of the free cash flow it produced. That gap has to be covered by cash reserves or new debt, which can't last indefinitely.
Stock-based pay is a large cost. Stock pay was 12% of revenue in 2025.
Dropbox paid employees $301M in stock in 2025, 12% of its $2.5B revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.
Operating margin at a 6-year high. 27% in 2025, the best of the last 6 years.
Dropbox kept 27% of revenue as operating profit in 2025, its highest in the 6 years of filings we have.

StockQuotient Score

55/ 100

Oct 5 56 → Nov 4 55 (-1)

Valuation

Is the price right?

83/100

Strong

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why

Stronger than most peers on:

▲ FCF yield
▲ Earnings yield
▲ EBITDA yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield5.6%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score 1.48Sector median: 0.0225 · MAD: 0.0225

EBITDA yield7.9%

Yahoo Finance fallback · SEC enterprise value unavailable (debt or EBITDA not reported in standard form) · trailing 12 monthsReported value50% base weight · Z-score 1.03Sector median: 0.0423 · MAD: 0.0361

Free cash flow yield12.1%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 3.40Sector median: 0.0274 · MAD: 0.0274

Other data (not scored)

Book yield-27.6%

SEC filings · latest balance sheetOutlier capped at sector 5th/95th percentileInformational · 0% composite weightSector median: 0.3292 · MAD: 0.1754

Growth

Is it growing?

35/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Revenue growth
▼ 3-yr revenue

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth11.3%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.01Sector median: 0.1108 · MAD: 0.3050

3-year revenue growth1.5%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score -0.42Sector median: 0.0483 · MAD: 0.0793

Revenue growth-0.0%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.84Sector median: 0.0853 · MAD: 0.1017

Profitability

Does it earn well?

95/100

Strong

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Stronger than most peers on:

▲ ROA
▲ Operating margin
▲ ROIC

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin26.6%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 2.87Sector median: 0.0631 · MAD: 0.0710

Return on assets15.7%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 3.52Sector median: 0.0293 · MAD: 0.0362

Return on invested capital36.1%

Yahoo Finance fallback · SEC operating income or invested capital unavailable · trailing 12 monthsReported value33% base weight · Z-score 3.43Sector median: 0.0676 · MAD: 0.0857

Other data (not scored)

Gross margin79.7%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.3343 · MAD: 0.1632

Return on equityUnavailable

Missing · left out of the scoreInformational · 0% composite weightSector median: 0.0753 · MAD: 0.0889

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Debt / equity
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta0.63

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score 0.65Sector median: 0.8710 · MAD: 0.3700

Current ratio1.07×

SEC filings · latest balance sheetReported value33% base weight · Z-score -1.10Sector median: 1.8295 · MAD: 0.6848

Debt / equityUnavailable

Shareholders' equity is negative, so debt/equity counts as among the highest in its peer group33% base weight · Z-score -7.82Sector median: 0.2495 · MAD: 0.2270

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Dropbox

Is Dropbox getting weaker?: Its latest SEC filing (Aug 7, 2026) showed no major changes. Its overall score is unchanged at 55/100 since Oct 28, 2026.
How is Dropbox valued vs its peers?: Priced lower than most peers relative to what it earns. Valuation scores 83/100 against 1,711 technology peers. Free cash flow yield 12.1% vs a peer median of 2.7% (stronger than 92% of peers).Free cash flow yield 12.1% vs peers 2.7% (stronger than 92% of peers).
Is Dropbox growing?: More slowly than most of its peers. Growth scores 35/100 against 1,711 technology peers. Revenue growth -0.0% vs a peer median of 8.5% (weaker than 73% of peers).Revenue growth -0.0% vs peers 8.5% (weaker than 73% of peers).
How profitable is Dropbox?: More profitable than most of its peers. Profitability scores 95/100 against 1,711 technology peers. Return on assets 15.7% vs a peer median of 2.9% (stronger than 94% of peers).Return on assets 15.7% vs peers 2.9% (stronger than 94% of peers).
How risky is Dropbox?: Higher risk relative to 1,711 technology peers, judged on debt, liquidity and share-price swings. Beta 0.63 vs a peer median of 0.87 (stronger than 68% of peers).Beta 0.63 vs peers 0.87 (stronger than 68% of peers). Current ratio 1.07× vs a peer median of 1.83× (weaker than 85% of peers).Current ratio 1.07× vs peers 1.83× (weaker than 85% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Aug 7, 2026 · compared with the quarter ended Mar 31, 2026

No major changes

	Previous quarter	Latest quarter	Change
Revenue (12 months)	2.5B USD	2.5B USD	+0.2%
Net income (12 months)	472.6M USD	442.8M USD	−6.3%
Operating margin	26.8%	26.6%	−0.2 pts
Free cash flow (12 months)	980.4M USD	957.1M USD	−2.4%
Cash	1.2B USD	1.1B USD	−12.5%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Industry: Software - Infrastructure · 71 companies

Valuations in Software - Infrastructure are above their usual range since 2016.

61% of months since 2016 were valued lower than now.
22% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values +19% and earnings +22% (medians): prices and earnings moved broadly together.
Median price-to-sales is +97% vs the whole market, against a usual +103%.

2016Shaded: most expensive fifth of its range2026

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	79.4%	80.9%	80.9%	82.5%	80.1%	▼ 2.4 pts
Operating margin	12.7%	7.8%	21.5%	19.1%	27.3%	▲ 8.3 pts
Net margin	15.6%	23.8%	18.1%	17.7%	20.2%	▲ 2.4 pts
Return on assets (ROA)	10.9%	17.8%	15.2%	13.6%	17.9%	▲ 4.3 pts
Return on equity (ROE)	—	—	—	—	—	—
Free cash flow margin	32.8%	32.8%	30.4%	34.2%	36.9%	▲ 2.7 pts
Current ratio	1.57×	1.25×	1.26×	1.44×	0.63×	▼ 56%

DBX price history

Price history is added with the daily price update and will appear after the next one.

Similar companies

Sector leaderboards

LEENO Industrial Inc.058470.KQ97/ 100

Transcend Information, Inc.2451.TW94/ 100

Joint Stock Company Kaspi.kzKSPI93/ 100

Bringing the fundamentals into focus…

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings

Drawback: growing more slowly than most peersgrowing more slowly than peers

Drawback: higher risk than most peers: less short-term liquidity (current ratio 1.07 vs a peer median of 1.83)higher risk: less liquidity (current ratio 1.07 vs peers 1.83)

Ranks #668 of 1,612 technology companies (top 42%)

See how it ranks against its peers

Worth knowing

Negative shareholders' equity. Liabilities exceed assets on the balance sheet.

Dropbox's liabilities exceed its assets on the balance sheet. Large share buybacks can cause this in healthy companies, but so can accumulated losses; either way, debt-based ratios need care.

Returning more cash than it generates. Paid out $3.5B vs $2.6B of free cash flow over the 3 fiscal years to 2025.

Dropbox returned $3.5B to shareholders over three years, 136% of the free cash flow it produced. That gap has to be covered by cash reserves or new debt, which can't last indefinitely.

Stock-based pay is a large cost. Stock pay was 12% of revenue in 2025.

Dropbox paid employees $301M in stock in 2025, 12% of its $2.5B revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.

Operating margin at a 6-year high. 27% in 2025, the best of the last 6 years.

Dropbox kept 27% of revenue as operating profit in 2025, its highest in the 6 years of filings we have.

Questions investors ask about Dropbox

Is Dropbox getting weaker?

Its latest SEC filing (Aug 7, 2026) showed no major changes. Its overall score is unchanged at 55/100 since Oct 28, 2026.

How is Dropbox valued vs its peers?

Priced lower than most peers relative to what it earns. Valuation scores 83/100 against 1,711 technology peers. Free cash flow yield 12.1% vs a peer median of 2.7% (stronger than 92% of peers).Free cash flow yield 12.1% vs peers 2.7% (stronger than 92% of peers).

Is Dropbox growing?

More slowly than most of its peers. Growth scores 35/100 against 1,711 technology peers. Revenue growth -0.0% vs a peer median of 8.5% (weaker than 73% of peers).Revenue growth -0.0% vs peers 8.5% (weaker than 73% of peers).

How profitable is Dropbox?

More profitable than most of its peers. Profitability scores 95/100 against 1,711 technology peers. Return on assets 15.7% vs a peer median of 2.9% (stronger than 94% of peers).Return on assets 15.7% vs peers 2.9% (stronger than 94% of peers).

How risky is Dropbox?

Higher risk relative to 1,711 technology peers, judged on debt, liquidity and share-price swings. Beta 0.63 vs a peer median of 0.87 (stronger than 68% of peers).Beta 0.63 vs peers 0.87 (stronger than 68% of peers). Current ratio 1.07× vs a peer median of 1.83× (weaker than 85% of peers).Current ratio 1.07× vs peers 1.83× (weaker than 85% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

2.5B USD

2.5B USD

+0.2%

Net income (12 months)

472.6M USD

442.8M USD

−6.3%

Operating margin

26.8%

26.6%

−0.2 pts

Free cash flow (12 months)

980.4M USD

957.1M USD

−2.4%

Cash

1.2B USD

1.1B USD

−12.5%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

79.4%

80.9%

82.5%

80.1%

▼ 2.4 pts

Operating margin

12.7%

7.8%

21.5%

19.1%

27.3%

▲ 8.3 pts

Net margin

15.6%

23.8%

18.1%

17.7%

20.2%

▲ 2.4 pts

Return on assets (ROA)

10.9%

17.8%

15.2%

13.6%

17.9%

▲ 4.3 pts

Return on equity (ROE)

—

Free cash flow margin

32.8%

30.4%

34.2%

36.9%

▲ 2.7 pts

Current ratio

1.57×

1.25×

1.26×

1.44×

0.63×

▼ 56%