Dolby Laboratories (NYSE:DLB) Reaches New 12-Month Low – Should You Sell?

Dolby Laboratories (NYSE:DLB)’s share price reached a new 52-week low on Tuesday . The stock traded as low as $55.11 and last traded at $55.5180, with a volume of 572340 shares traded. The stock had previously closed at $57.59.

Analyst Ratings Changes

Several analysts have weighed in on the stock. Barrington Research reissued an “outperform” rating and issued a $90.00 price target on shares of Dolby Laboratories in a research note on Monday, April 27th. Wall Street Zen downgraded shares of Dolby Laboratories from a “buy” rating to a “hold” rating in a research note on Saturday, January 31st. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Dolby Laboratories in a research note on Friday, March 27th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $85.00 price objective on shares of Dolby Laboratories in a research note on Friday, January 30th. Three investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $90.75.

Dolby Laboratories Trading Down 3.7%

The stock’s fifty day moving average price is $61.96 and its 200 day moving average price is $64.11. The stock has a market cap of $5.25 billion, a P/E ratio of 21.92 and a beta of 0.86.

Dolby Laboratories (NYSE:DLB) last announced its quarterly earnings data on Thursday, April 30th. The electronics maker reported $1.37 EPS for the quarter, beating the consensus estimate of $1.31 by $0.06. The firm had revenue of $395.63 million for the quarter, compared to the consensus estimate of $385.80 million. Dolby Laboratories had a net margin of 17.85% and a return on equity of 11.47%. The company’s revenue was up 7.0% on a year-over-year basis. During the same period last year, the firm earned $1.34 EPS. 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. As a group, sell-side analysts forecast that Dolby Laboratories will post 3.22 earnings per share for the current year.

Dolby Laboratories Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, May 20th. Investors of record on Tuesday, May 12th will be given a $0.36 dividend. The ex-dividend date is Tuesday, May 12th. This represents a $1.44 dividend on an annualized basis and a yield of 2.6%. Dolby Laboratories’s dividend payout ratio (DPR) is currently 56.92%.

Insider Activity at Dolby Laboratories

In other Dolby Laboratories news, CAO Ryan Nicholson sold 2,667 shares of the business’s stock in a transaction dated Friday, February 13th. The shares were sold at an average price of $66.38, for a total value of $177,035.46. Following the completion of the sale, the chief accounting officer directly owned 36,956 shares of the company’s stock, valued at $2,453,139.28. The trade was a 6.73% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP John D. Couling sold 7,666 shares of the company’s stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $57.55, for a total transaction of $441,178.30. Following the completion of the sale, the senior vice president directly owned 118,353 shares of the company’s stock, valued at $6,811,215.15. The trade was a 6.08% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 18,021 shares of company stock worth $1,090,741. Insiders own 37.93% of the company’s stock.

Institutional Investors Weigh In On Dolby Laboratories

Several hedge funds have recently modified their holdings of the business. Boothbay Fund Management LLC raised its stake in shares of Dolby Laboratories by 4.1% during the 2nd quarter. Boothbay Fund Management LLC now owns 4,020 shares of the electronics maker’s stock worth $299,000 after acquiring an additional 157 shares in the last quarter. Covestor Ltd raised its stake in shares of 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 acquiring an additional 175 shares in the last quarter. Fifth Third Bancorp raised its stake in shares of 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 acquiring an additional 192 shares in the last quarter. State of Michigan Retirement System raised its stake in shares of 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 worth $883,000 after acquiring an additional 200 shares in the last quarter. Finally, Gabelli Funds LLC raised its stake in shares of Dolby Laboratories by 0.4% during the 3rd quarter. Gabelli Funds LLC now owns 49,143 shares of the electronics maker’s stock worth $3,556,000 after acquiring an additional 202 shares in the last quarter. Hedge funds and other institutional investors own 58.56% of the company’s stock.

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.