Box (BOX) AI Stock Analysis

• Market Cap: $4.75B
• Dividend Yield: N/A
• Average Volume (3M): 3.10M
• Price to Earnings (P/E): 25.5
• Beta (1Y): 0.60
• Revenue Growth: 4.88%
• EPS Growth: 80.94%
• Country: US
• Employees: 2,810
• Sector: Technology
• Sector Strength: 86
• Industry: Software - Infrastructure
• EPS (TTM): 0.30
• Shares Outstanding: 144,811,980
• 10 Day Avg. Volume: 2,174,029
• 30 Day Avg. Volume: 3,101,497
• PEG Ratio: -1.01
• Price to Book (P/B): -135.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 16.32
• Enterprise Value/Market Cap: 0.52
• Enterprise Value/Revenue: 0.57
• Enterprise Value/Gross Profit: 2.81
• Enterprise Value/Ebitda: 5.50
• 1Y Price Target: $38.38
• Price Target Upside: 16.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 69 Neutral
• Price Target: $36.00 ▲(9.69%Upside)

Box's strong financial performance and positive earnings call are significant strengths, offsetting the bearish technical indicators and modest valuation. Corporate events provide additional support, although the high debt-to-equity ratio remains a concern.

Positive Factors

AI and Innovation

Box is strategically well positioned to benefit from AI applications, enhancing decision-making and potentially boosting revenue through its new AI-heavy subscription tier.

Earnings

Box reported strong results, with total revenue significantly higher than estimates, indicating robust financial performance.

Revenue Guidance

Management increased FY26 revenue guidance, which is above consensus, showcasing confidence in future growth.

Negative Factors

Competitive Environment

A discount to the low-growth software group is warranted given Box's intensifying competitive environment.

Macroeconomic Factors

A guidance embedding more macro-related conservatism limits positive estimate revisions, indicating cautious outlook amidst broader economic concerns.

Box Business Overview & Revenue Model

Company Description

Box, Inc. is a cloud content management and file sharing service that caters to businesses across various sectors. Founded in 2005 and headquartered in Redwood City, California, Box provides a secure, efficient platform for file storage, collaboration, and workflow management. The company's core products and services include cloud-based solutions for document management, collaboration tools, and data security, enabling organizations to streamline their operations and enhance productivity.

How the Company Makes Money

Box makes money primarily through a subscription-based revenue model. The company offers a range of service plans (such as Starter, Business, Business Plus, and Enterprise) that businesses can subscribe to based on their storage needs, user requirements, and additional features required. These plans are typically billed on a monthly or annual basis, providing Box with a steady stream of recurring revenue. Additionally, Box generates revenue through professional services, which include consulting, implementation, and training services to help enterprises effectively integrate and use their solutions. Significant partnerships with technology companies like Google, Microsoft, and IBM also contribute to Box’s earnings by enhancing its service offerings and extending its market reach.

Box Financial Statement Overview

Summary

Box's financial performance is strong with consistent revenue growth and profitability. The company has a high gross profit margin of 79% and a net profit margin of 21.4%. Its cash flow management is impressive, with a significant free cash flow growth of 37.3%. However, high leverage with a debt-to-equity ratio of 3.38 poses a risk.

Income Statement

Box has demonstrated a strong upward trend in its financial performance, with significant improvements in revenue and profitability metrics. The company achieved a TTM gross profit margin of 79% and a net profit margin of 21.4%, indicating efficient cost management and scalability. Revenue growth has been consistent, with a notable increase from $874 million in 2022 to $1,102 million TTM in 2025. EBIT and EBITDA margins are healthy at 6.2% and 10.3% respectively, showing robust operational efficiency. However, the EBIT margin is slightly below industry leaders, suggesting potential for further improvement.

Balance Sheet

Box's balance sheet reflects a mixed picture with strong equity growth but high leverage. The debt-to-equity ratio is elevated due to substantial debt levels, with a TTM value of 3.38, posing a potential risk in volatile markets. However, the company has improved its equity position significantly from -$395 million in 2022 to $215 million in 2025, enhancing financial stability. The equity ratio stands at 13.1%, which is below optimal levels, indicating a reliance on debt financing. Despite these challenges, the overall trend towards positive equity is encouraging.

Cash Flow

Box has shown impressive cash flow management, with strong free cash flow generation and growth. The TTM free cash flow stands at $303 million, reflecting a solid 37.3% year-over-year increase, driven by effective cost control and operational efficiency. The operating cash flow to net income ratio is robust at 1.39, indicating healthy cash conversion. Additionally, the free cash flow to net income ratio of 1.29 underscores the company's ability to generate cash profits, which supports future growth and debt servicing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	1.10B	1.09B	1.04B	990.87M	874.33M	770.77M
Gross Profit	871.22M	862.02M	777.13M	738.32M	624.85M	546.03M
EBITDA	113.38M	113.34M	101.99M	102.83M	50.61M	37.84M
Net Income	235.59M	244.62M	129.03M	26.78M	-41.46M	-43.43M
Balance Sheet
Total Assets	1.64B	1.67B	1.24B	1.21B	1.39B	1.35B
Cash, Cash Equivalents and Short-Term Investments	790.40M	722.82M	480.69M	461.25M	586.27M	595.08M
Total Debt	724.96M	721.32M	491.80M	535.10M	621.50M	648.15M
Total Liabilities	1.43B	1.47B	1.18B	1.24B	1.79B	1.20B
Stockholders Equity	214.58M	197.28M	61.03M	-33.86M	-395.09M	151.06M
Cash Flow
Free Cash Flow	303.34M	329.68M	300.32M	281.49M	224.33M	180.34M
Operating Cash Flow	328.11M	332.26M	318.73M	297.98M	234.82M	196.83M
Investing Cash Flow	-10.43M	-23.21M	-82.79M	120.60M	-239.37M	-16.38M
Financing Cash Flow	-88.44M	-62.36M	-272.90M	-396.50M	-172.86M	218.68M

Box Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 32.82
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOX, the sentiment is Neutral. The current price of 32.82 is below the 20-day moving average (MA) of 35.40, below the 50-day MA of 33.58, and above the 200-day MA of 32.68, indicating a neutral trend. The MACD of -0.19 indicates Positive momentum. The RSI at 34.67 is Neutral, neither overbought nor oversold. The STOCH value of 10.92 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BOX.

Box Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
QLYS	78 Outperform	$5.25B	29.42	40.23%	―	9.58%	12.41%
TENB	70 Neutral	$4.11B	―	-12.09%	―	11.79%	35.35%
BOX	69 Neutral	$4.75B	25.45	152.34%	―	4.88%	80.94%
VRNS	64 Neutral	$5.60B	―	-22.21%	―	13.34%	13.71%
S	64 Neutral	$6.03B	―	-26.98%	―	32.25%	20.56%
Sector *	63 Neutral	$33.61B	6.06	-11.53%	1.82%	5.53%	-18.79%

Box Corporate Events

Box Approves Key Proposals at Annual Meeting

On June 27, 2025, Box, Inc. held its annual meeting of stockholders, where several key proposals were approved. Notably, amendments to the 2015 Equity Incentive Plan and the Employee Stock Purchase Plan were approved, increasing the number of shares reserved for issuance by 5,000,000 and 6,000,000 shares, respectively. The meeting also saw the election of two Class II directors, approval of executive compensation, an amendment to the company’s certificate of incorporation, and the ratification of Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending January 31, 2026. These approvals are expected to impact Box’s operational flexibility and governance structure positively.

The most recent analyst rating on (BOX) stock is a Hold with a $30.00 price target. To see the full list of analyst forecasts on Box stock, see the BOX Stock Forecast page.