Dropbox share price has gone through a wild ride since its IPO, and it's currently back to its IPO level. Is Dropbox a worthwhile long-term investment?
In this article, I will first discuss the possible reasons for the negative price actions and why a long-term investor should look past the short-term uncertainties.
I will then dive deeper into Dropbox's business fundamentals to prove that it's a wonderful business with favorable long-term prospects.
I will then perform a valuation on Dropbox based on long-term growth expectations and discuss the potential risks.
Finally, I conclude that Dropbox could potentially be a good investment idea for a patient long-term investor with a five- to 10-year investment horizon.
After a wild IPO run-up to the 52-week high of $43.50, Silicon Valley unicorn Dropbox's (DBX) share price made a round trip back to its $21 IPO price range and remained depressed for