Dolby Laboratories (NYSE:DLB) Receives Average Recommendation of “Moderate Buy” from Analysts

Dolby Laboratories (NYSE:DLB) has earned an average rating of “Moderate Buy” from the five brokerages that are currently covering the firm, MarketBeat.com reports. Two equities research analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 1 year price target among analysts that have updated their coverage on the stock in the last year is $90.75.

Several research analysts have recently issued reports on the stock. Wall Street Zen downgraded shares of Dolby Laboratories from a “buy” rating to a “hold” rating in a research note on Saturday, January 31st. Barrington Research reaffirmed an “outperform” rating and set a $90.00 target price on shares of Dolby Laboratories in a report on Monday, April 27th. Rosenblatt Securities reaffirmed a “buy” rating and set a $85.00 target price on shares of Dolby Laboratories in a report on Friday, January 30th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Dolby Laboratories in a report on Friday, March 27th.

Insiders Place Their Bets

In other Dolby Laboratories news, SVP John D. Couling sold 7,666 shares of Dolby Laboratories stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $57.55, for a total value of $441,178.30. Following the completion of the transaction, the senior vice president directly owned 118,353 shares of the company’s stock, valued at $6,811,215.15. This trade represents a 6.08% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CFO Robert J. Park sold 4,895 shares of the firm’s stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $56.68, for a total transaction of $277,448.60. Following the completion of the sale, the chief financial officer owned 81,490 shares of the company’s stock, valued at $4,618,853.20. This trade represents a 5.67% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 17,249 shares of company stock valued at $992,734. 37.93% of the stock is owned by company insiders.

Institutional Investors Weigh In On Dolby Laboratories

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Boothbay Fund Management LLC increased its position in Dolby Laboratories by 4.1% during the 2nd quarter. Boothbay Fund Management LLC now owns 4,020 shares of the electronics maker’s stock valued at $299,000 after purchasing an additional 157 shares during the period. Covestor Ltd grew its position in Dolby Laboratories by 6.0% during the 4th quarter. Covestor Ltd now owns 3,088 shares of the electronics maker’s stock worth $198,000 after purchasing an additional 175 shares during the last quarter. Fifth Third Bancorp grew its position in Dolby Laboratories by 34.7% during the 4th quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker’s stock worth $48,000 after purchasing an additional 192 shares during the last quarter. State of Michigan Retirement System lifted its stake in Dolby Laboratories by 1.4% during the 1st quarter. State of Michigan Retirement System now owns 14,700 shares of the electronics maker’s stock valued at $883,000 after acquiring an additional 200 shares during the period. Finally, Gabelli Funds LLC lifted its stake in Dolby Laboratories by 0.4% during the 3rd quarter. Gabelli Funds LLC now owns 49,143 shares of the electronics maker’s stock valued at $3,556,000 after acquiring an additional 202 shares during the period. Institutional investors own 58.56% of the company’s stock.

Dolby Laboratories Price Performance

NYSE:DLB opened at $54.32 on Thursday. Dolby Laboratories has a one year low of $53.45 and a one year high of $77.36. The company’s 50-day simple moving average is $60.88 and its 200 day simple moving average is $63.67. The firm has a market capitalization of $5.14 billion, a P/E ratio of 21.47 and a beta of 0.86.

Dolby Laboratories (NYSE:DLB) last posted its quarterly earnings data on Thursday, April 30th. The electronics maker reported $1.37 EPS for the quarter, topping the consensus estimate of $1.31 by $0.06. Dolby Laboratories had a net margin of 17.85% and a return on equity of 11.47%. The business had revenue of $395.63 million for the quarter, compared to analyst estimates of $385.80 million. During the same quarter in the previous year, the firm posted $1.34 earnings per share. Dolby Laboratories’s quarterly revenue was up 7.0% on a year-over-year basis. Dolby Laboratories has set its FY 2026 guidance at 4.300-4.450 EPS and its Q3 2026 guidance at 0.560-0.710 EPS. On average, equities research analysts expect that Dolby Laboratories will post 3.22 earnings per share for the current fiscal year.

Dolby Laboratories Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, May 20th. Investors of record on Tuesday, May 12th will be given a dividend of $0.36 per share. The ex-dividend date is Tuesday, May 12th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.7%. Dolby Laboratories’s dividend payout ratio is currently 56.92%.

About Dolby Laboratories

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.