Added to YB: 2025-11-24
Pitch date: 2025-11-20
DBX [bearish]
Dropbox, Inc.
+5.64%
current return
Author Info
Inwood Capital shares investment ideas across the TMT, consumer and industrial sectors with heavy focus on risk asymmetry and 12-18 month time horizon. Sign up for the newsletter.
Company Info
Dropbox, Inc. provides a content collaboration platform in the United States and internationally. The company’s platform enables individuals, families, teams, and organizations to collaborate for free through its website or app, or through a paid subscription plan for premium features.
Market Cap
$5.7B
Pitch Price
$28.88
Price Target
N/A
Dividend
N/A
EV/EBITDA
9.16
P/E
12.91
EV/Sales
3.28
Sector
Software
Category
N/A
Dropbox - AI Loser and Secular Short
DBX (short): Subscale FSS player vs MSFT/GOOGL dominance; AI bundling accelerates decline. Downloads -30% YoY, FTP conversions at -2% (lowest ever), paying users shrinking. Market share fell 4.4%→3.2%. New products (Dash) immaterial. Buybacks slowing due to convert maturities. 8x EV/EBITDA expensive vs declining revenue peers at <4x.
Read full article (4 min)