In an increasingly digitized world, we believe that Dropbox is amid a transition from a cloud-storage pure play to a more holistic content collaboration platform. With acquisitions in the e-signature and document-sharing spaces, we believe no-moat Dropbox’s pivot away from cloud storage could provide the firm with economic tailwinds.
Dropbox has the potential to materially grow its top line via its acquisitions in high-growth spaces of document sharing and e-signatures.
Dropbox faces formidable well-capitalized competition that includes the likes of Google and Microsoft.
|
Metric
|
DBX
|
MSFT
|
GOOGL
|
|---|---|---|---|
Price/Earnings (Normalized) | 12.65 | 36.08 | 26.49 |
Price/Book Value | — | 11.71 | 6.86 |
Price/Sales | 3.31 | 12.59 | 6.46 |
Price/Cash Flow | 9.16 | 26.78 | 18.80 |
|
Metric
|
DBX
|
MSFT
|
GOOGL
|
|---|---|---|---|
Quick Ratio | 1.19 | 1.02 | 1.94 |
Current Ratio | 1.26 | 1.22 | 2.10 |
Interest Coverage | — | 41.49 | 266.75 |
|
Metric
|
DBX
|
MSFT
|
GOOGL
|
|---|---|---|---|
Return on Assets (Normalized) | 22.78% | 21.60% | 24.48% |
Return on Equity (Normalized) | — | 42.54% | 35.00% |
Return on Invested Capital (Normalized) | 35.11% | 31.65% | 30.54% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|
MSFT
| Microsoft Corp | Ylhjsfmnf | Qfcn | $3.0 Tril | |
ORCL
| Oracle Corp | Yyhq | Mggqtt | $315.8 Bil | |
ADBE
| Adobe Inc | Knsswkfng | Spjh | $213.7 Bil | |
PANW
| Palo Alto Networks Inc | Lzfqgfsk | Syhw | $93.3 Bil | |
SNPS
| Synopsys Inc | Mxkbcyqpl | Hntnks | $80.9 Bil | |
CRWD
| CrowdStrike Holdings Inc Class A | Jjpcnjth | Qdxnwq | $72.1 Bil | |
FTNT
| Fortinet Inc | Qtshrsh | Zfld | $49.9 Bil | |
PLTR
| Palantir Technologies Inc Ordinary Shares - Class A | Jpmypqnkr | Pcgrky | $47.8 Bil | |
SQ
| Block Inc Class A | Pzlwdqcv | Cptwnqj | $44.8 Bil | |
NET
| Cloudflare Inc | Ppfyzbznsn | Bfqnq | $29.5 Bil |
:quality(80)/s3.amazonaws.com/arc-authors/morningstar/4ef98a5a-6be5-4127-a335-3568837ad0cd.jpg)