Dropbox Reports Q4 Results, Provides Outlook
<p><a href='https://financialmodelingprep.com/financial-summary/DBX'>Dropbox, Inc. (NASDAQ:DBX) </a>reported its Q4 results. While the company beat the expectations, its Q1/22 guidance came in lower than the Street estimates. EPS was $0.41, compared to the consensus estimate of $0.37, and revenue was $565.5 million (up 12.2% year-over-year) compared to the consensus estimate of $558.16 million.</p>
<p>Analysts at Berenberg Bank provided their views on the company following the result, highlighting that the company raised its long-term target for gross margin to 80%-82% from 78%- 80%, which flows through to an increase in the operating margin target from 28%-30% to 30%-32%. The analysts are pleased with the plans to return capital to shareholders in the form of buybacks, with an additional $1.2 billion share repurchases program on top of the remaining $344 million from the prior program. </p>
<p>While the long-term outlook for margins improves, the analysts mentioned that the top-line growth continues to decelerate and they seek more clarity into the mid-to-long-term growth trajectory.</p>

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