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by ebikelaw
2896 days ago
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Pulling out of a nosedive is a neat trick at an airshow, but it's less fun when the plane slams into the ground. Maybe you think Dropbox is on a trajectory to turn a profit, but we won't know for a few more quarters. It also remains to be seen how resilient their business might be against macroeconomic downturns. |
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Dropbox is not in any kind of nosedive. They have positive free cash flow margins that have grown steadily for three years [1]. That is precisely the opposite of a nosedive.
You'd have a point if we were talking about Uber, but we're not, we're talking about Dropbox, a company that has solid and improving financials, which is why it's trading at a healthy premium on its IPO price.
[1] https://medium.com/@alexfclayton/dropbox-ipo-s-1-breakdown-3...