Dolby Laboratories (NYSE:DLB) Hits New 1-Year Low – Time to Sell?

Dolby Laboratories (NYSE:DLB) shares reached a new 52-week low on Tuesday . The company traded as low as $48.62 and last traded at $48.7080, with a volume of 16058 shares changing hands. The stock had previously closed at $49.36.

Wall Street Analyst Weigh In

DLB has been the subject of a number of recent analyst reports. Wall Street Zen raised shares of Dolby Laboratories from a “hold” rating to a “buy” rating in a research report on Saturday, May 30th. Barrington Research reissued an “outperform” rating and set a $90.00 target price on shares of Dolby Laboratories in a research report on Monday, June 15th. Weiss Ratings restated a “hold (c-)” rating on shares of Dolby Laboratories in a research note on Wednesday, June 24th. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $85.00 target price on shares of Dolby Laboratories in a report on Thursday, June 11th. Three equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $90.75.

Dolby Laboratories Stock Performance

The stock has a 50 day moving average price of $53.64 and a 200 day moving average price of $59.91. The company has a market capitalization of $4.61 billion, a P/E ratio of 19.26 and a beta of 0.81.

Dolby Laboratories (NYSE:DLB) last posted its quarterly earnings data on Thursday, April 30th. The electronics maker reported $1.37 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.31 by $0.06. The business had revenue of $395.63 million during 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 firm’s quarterly revenue was up 7.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.34 earnings per share. 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 expect that Dolby Laboratories will post 3.21 earnings per share for the current year.

Dolby Laboratories Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, May 20th. Investors of record on Tuesday, May 12th were paid a $0.36 dividend. The ex-dividend date was Tuesday, May 12th. This represents a $1.44 annualized dividend and a yield of 3.0%. Dolby Laboratories’s dividend payout ratio is presently 56.92%.

Insider Transactions at Dolby Laboratories

In related news, SVP Shriram Revankar sold 3,000 shares of Dolby Laboratories stock in a transaction dated Friday, May 15th. The stock was sold at an average price of $54.90, for a total value of $164,700.00. Following the completion of the sale, the senior vice president owned 80,603 shares of the company’s stock, valued at approximately $4,425,104.70. This trade represents a 3.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CFO Robert J. Park sold 4,895 shares of the company’s stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $56.68, for a total transaction of $277,448.60. Following the sale, the chief financial officer directly owned 81,490 shares in the company, valued at approximately $4,618,853.20. This trade represents a 5.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 47,458 shares of company stock valued at $2,639,537 in the last three months. 37.93% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Dolby Laboratories

Large investors have recently modified their holdings of the business. Boothbay Fund Management LLC lifted 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 valued at $299,000 after buying an additional 157 shares in the last quarter. Covestor Ltd grew its stake in Dolby Laboratories by 6.0% in the 4th quarter. Covestor Ltd now owns 3,088 shares of the electronics maker’s stock valued at $198,000 after buying an additional 175 shares in the last quarter. Fifth Third Bancorp raised its holdings in Dolby Laboratories by 34.7% during the 4th quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker’s stock valued at $48,000 after acquiring an additional 192 shares during the period. State of Michigan Retirement System raised its holdings 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, Raymond James Financial Inc. lifted its position in shares of Dolby Laboratories by 1.0% during the second quarter. Raymond James Financial Inc. now owns 24,344 shares of the electronics maker’s stock worth $1,808,000 after acquiring an additional 235 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.