Dolby Laboratories (NYSE:DLB – Get Free Report) has been assigned a consensus rating of “Moderate Buy” from the five analysts that are presently covering the stock, MarketBeat.com reports. Two analysts have rated the stock with a hold recommendation and three have assigned a buy recommendation to the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $90.75.
A number of equities research analysts recently weighed in on DLB shares. Wall Street Zen cut Dolby Laboratories from a “buy” rating to a “hold” rating in a research note on Saturday. Rosenblatt Securities reiterated a “buy” rating and issued a $85.00 price objective on shares of Dolby Laboratories in a report on Friday. Weiss Ratings reiterated a “hold (c-)” rating on shares of Dolby Laboratories in a report on Wednesday, June 24th. Finally, Barrington Research reissued an “outperform” rating and issued a $90.00 price objective on shares of Dolby Laboratories in a research report on Monday, June 15th.
Read Our Latest Stock Analysis on DLB
Insider Activity at Dolby Laboratories
Institutional Trading of Dolby Laboratories
Hedge funds have recently added to or reduced their stakes in the company. Fifth Third Bancorp grew its holdings in Dolby Laboratories by 34.7% in the 4th quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker’s stock valued at $48,000 after buying an additional 192 shares in the last quarter. Aquatic Capital Management LLC bought a new position in Dolby Laboratories during the third quarter worth about $56,000. iSAM Funds UK Ltd acquired a new stake in shares of Dolby Laboratories in the third quarter valued at approximately $68,000. Allworth Financial LP lifted its position in shares of Dolby Laboratories by 99.6% during the 3rd quarter. Allworth Financial LP now owns 1,006 shares of the electronics maker’s stock valued at $73,000 after acquiring an additional 502 shares during the period. Finally, Quarry LP lifted its position in Dolby Laboratories by 1,486.7% during the fourth quarter. Quarry LP now owns 1,190 shares of the electronics maker’s stock worth $76,000 after purchasing an additional 1,115 shares during the period. 58.56% of the stock is owned by institutional investors and hedge funds.
Key Headlines Impacting Dolby Laboratories
Here are the key news stories impacting Dolby Laboratories this week:
- Positive Sentiment: Adjusted earnings beat expectations: Dolby reported fiscal third-quarter adjusted EPS of $0.69, above the $0.67 consensus estimate. Lower operating expenses helped offset weaker revenue. Dolby’s Q3 Earnings Beat Estimates on Lower Operating Expenses
- Positive Sentiment: Upbeat forward outlook: Fiscal fourth-quarter revenue guidance of $362 million to $392 million exceeded the roughly $351 million analyst estimate, while full-year EPS guidance of $4.25 to $4.40 topped the $4.10 consensus. Management cited momentum in video licensing, automotive applications, and new device categories. Dolby Laboratories Reports Third Quarter 2026 Financial Results
- Positive Sentiment: $350 million stock-repurchase authorization: Dolby’s board approved a plan to repurchase up to 7% of outstanding shares, signaling management’s view that the stock may be undervalued and potentially supporting per-share results. Dolby Laboratories Share Repurchase Plan
- Positive Sentiment: Dividend and analyst support: Dolby declared a quarterly dividend of $0.36 per share, representing an approximate 2.5% annualized yield. Rosenblatt Securities reaffirmed its Buy rating and set an $85 price target, well above the recent trading level. Dolby Laboratories Dividend Signals Confidence
- Neutral Sentiment: Cash generation remained strong: Operating cash flow rose to $167.5 million, and Dolby ended the quarter with $669.4 million in cash, providing flexibility for buybacks, dividends, and investment.
- Negative Sentiment: Revenue and reported profitability declined: Third-quarter revenue fell 3.3% year over year to $305 million and missed estimates near $312 million. Reported net income and diluted GAAP EPS also declined from the prior year, reflecting softer device sales and continued pressure in some business areas. Dolby Laboratories Fiscal Q3 Adjusted Earnings, Revenue Fall
Dolby Laboratories Stock Up 13.5%
Shares of NYSE DLB opened at $58.78 on Tuesday. The business’s 50 day moving average price is $52.29 and its two-hundred day moving average price is $58.58. The company has a market cap of $5.56 billion, a PE ratio of 25.01 and a beta of 0.81. Dolby Laboratories has a twelve month low of $48.26 and a twelve month high of $75.80.
Dolby Laboratories (NYSE:DLB – Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The electronics maker reported $0.69 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.67 by $0.02. Dolby Laboratories had a return on equity of 11.06% and a net margin of 16.70%.The company had revenue of $305.00 million during the quarter, compared to analysts’ expectations of $311.96 million. During the same period last year, the firm posted $0.78 earnings per share. The business’s revenue was down 3.3% on a year-over-year basis. Dolby Laboratories has set its FY 2026 guidance at 4.250-4.400 EPS and its Q4 2026 guidance at 1.130-1.280 EPS. As a group, research analysts anticipate that Dolby Laboratories will post 3.21 EPS for the current fiscal year.
Dolby Laboratories Dividend Announcement
The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 19th. Investors of record on Tuesday, August 11th will be paid a $0.36 dividend. The ex-dividend date is Tuesday, August 11th. This represents a $1.44 dividend on an annualized basis and a yield of 2.4%. Dolby Laboratories’s dividend payout ratio is 61.28%.
Dolby Laboratories declared that its board has authorized a stock buyback plan on Thursday, July 30th that authorizes the company to repurchase $350.00 million in outstanding shares. This repurchase authorization authorizes the electronics maker to repurchase up to 7% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.
Dolby Laboratories Company Profile
Dolby Laboratories, Inc is a global leader in audio and imaging technologies, specializing in the development, licensing and deployment of solutions that enhance entertainment and communications experiences. The company’s core business revolves around creating advanced audio codecs, noise reduction systems and spatial sound technologies for a wide range of applications, including cinema, broadcast, gaming, streaming and personal devices. Dolby’s licensing model enables consumer electronics manufacturers, content creators and service providers to integrate its technologies into products such as televisions, smartphones, home theater systems and set-top boxes.
Among its flagship innovations are Dolby Atmos, an immersive audio format that delivers three-dimensional soundscapes for theaters and home systems; Dolby Digital and Dolby Digital Plus, widely adopted audio compression formats for broadcast and streaming; and Dolby Vision, a high-dynamic-range imaging technology that expands color, contrast and brightness in displays.
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