DropboxWBO:DBX +2.41%72 FCF Margin % is 32.30% as of Mar. 2026, which is 12% above its 10-year median of 28.91. GuruFocus rates WBO:DBX with a GF Score™ of 72/100 and a GF Value™ of €31.02 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 2,814 Software companies, Dropbox ranks better than 96.45% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Dropbox's Free Cash Flow for the
three
months ended in Mar. 2026 was €176 Mil. Dropbox's Revenue for the
three
months ended in Mar. 2026 was €545 Mil. Therefore, Dropbox's FCF Margin % for the quarter that ended in Mar. 2026 was 32.30%.
The historical rank and industry rank for Dropbox's FCF Margin % or its related term are showing as below:
WBO:DBX'
s FCF Margin % Range Over the Past 10 Years
Min: 15.26 Med: 28.91 Max: 38.8
Current: 38.8
During the past 11 years, the highest FCF Margin % of Dropbox was 38.80%. The lowest was 15.26%. And the median was 28.91%.
WBO:DBX's FCF Margin % is ranked better than 96.45% of 2814
companies
in the Software industry
Industry Median: 2.41
vs WBO:DBX: 38.80
Dropbox FCF Margin % Related Terms
Dropbox FCF Margin % Historical Data
* Premium members only.
The historical data trend for Dropbox's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
WBO:DBX vs PATH, DOX, ZETA: FCF Margin % Comparison
For the Software - Infrastructure subindustry, Dropbox's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Dropbox FCF Margin % vs Software Industry
For the Software industry and Technology sector, Dropbox's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Dropbox's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Dropbox (WBO:DBX) has a FCF Margin % of 32.30% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Dropbox and its competitors. This is 12% above median its historical median of 28.91. Over the past decade, Dropbox's FCF Margin % has ranged from 15.26 to 38.80. According to the industry distribution chart, Dropbox ranks #100 out of 2814 companies in the Software industry, placing it in the top 3.6%.
Is Dropbox's FCF Margin % too high?
Dropbox's current FCF Margin % of 32.30% is 12% above median its 10-year median of 28.91. Over the past 10 years, this metric has ranged from a low of 15.26 to a high of 38.80. The Software industry median FCF Margin % is 2.41. Dropbox's value of 32.30% is 1240.2% above this industry median. Based on the distribution chart, Dropbox ranks #100 out of 2814 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Dropbox has a GF Score™ of 72/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dropbox's FCF Margin % compare to PATH and DOX?
According to the Software industry distribution chart, Dropbox ranks #100 out of 2814 companies for FCF Margin %. This places Dropbox in the top 4% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.41. Dropbox's value of 32.30% is 1240.2% above this benchmark. Historically, Dropbox's own FCF Margin % has ranged from 15.26 to 38.80 over the past decade. While the company's 10-year median is 28.91 vs. the industry median of 2.41, Dropbox has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 2.41, based on 2,814 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Dropbox's current FCF Margin % of 32.30% is 1240.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Dropbox and its competitors. For the Software industry, the median FCF Margin % is 2.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dropbox's current FCF Margin % is 32.30%, which is 12% above median its own 10-year median of 28.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dropbox stock overvalued right now?
Based on GuruFocus' analysis, Dropbox (WBO:DBX) is currently considered Modestly Undervalued. The stock's GF Value™ is €31.02, compared to a current price of €23.61 — trading 23.9% below its estimated fair value. The current FCF Margin % is 32.30%, which is 12% above median its 10-year median of 28.91 and 1240.2% above the Software industry median of 2.41. Dropbox's overall GF Score™ is 72/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Dropbox (WBO:DBX), the current FCF Margin % is 32.30% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Dropbox (WBO:DBX) Overvalued in 2026?
Based on GuruFocus' analysis, Dropbox stock appears to be undervalued.
The current stock price of €23.61 is trading 23.9% below its estimated GF Value™ of €31.02.
GuruFocus considers Dropbox to be Modestly Undervalued.
Key valuation signals for WBO:DBX:
FCF Margin %: 32.30% (12% above median its 10-year median of 28.91)
GF Value™: €31.02 vs. price of €23.61 (23.9% below fair value)
Industry Position: 1240.2% above the Software median (#100 of 2814)
No single metric tells the full story. See the WBO:DBX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Dropbox provides cloud storage and content collaboration tools, focusing on individuals and small to midsize businesses. Founded in 2007, Dropbox was a pioneer in the file sync and share market. In recent years, the firm has been emphasizing its Dash product, which facilitates AI-powered universal search across unstructured cloud data.
72GF Score
Get the complete analysis for WBO:DBX
FCF Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
WBO:DBX has been successfully added to your 
