Dolby Laboratories (NYSE:DLB) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Dolby Laboratories (NYSE:DLB) from a hold rating to a buy rating in a research report report published on Monday.

Several other brokerages also recently issued reports on DLB. Rosenblatt Securities cut their price target on Dolby Laboratories from $95.00 to $85.00 and set a “buy” rating for the company in a report on Wednesday, November 19th. Barrington Research dropped their price objective on shares of Dolby Laboratories from $100.00 to $95.00 and set an “outperform” rating on the stock in a research report on Wednesday, November 19th. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of Dolby Laboratories in a research note on Monday, December 29th. Three analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $92.00.

Dolby Laboratories Trading Up 0.6%

NYSE DLB opened at $63.91 on Monday. The firm has a market capitalization of $6.10 billion, a P/E ratio of 24.30 and a beta of 0.88. The firm’s fifty day moving average price is $66.08 and its two-hundred day moving average price is $70.37. Dolby Laboratories has a 1 year low of $63.23 and a 1 year high of $89.66.

Dolby Laboratories (NYSE:DLB) last released its quarterly earnings data on Tuesday, November 18th. The electronics maker reported $0.99 earnings per share for the quarter, topping the consensus estimate of $0.70 by $0.29. Dolby Laboratories had a net margin of 18.90% and a return on equity of 11.99%. The company had revenue of $307.02 million for the quarter, compared to analyst estimates of $305.76 million. During the same period in the previous year, the business earned $0.61 EPS. Dolby Laboratories’s revenue for the quarter was up .7% compared to the same quarter last year. Dolby Laboratories has set its FY 2026 guidance at 4.190-4.340 EPS and its Q1 2026 guidance at 0.790-0.940 EPS. On average, research analysts anticipate that Dolby Laboratories will post 2.94 EPS for the current fiscal year.

Dolby Laboratories Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, December 10th. Stockholders of record on Tuesday, December 2nd were issued a dividend of $0.36 per share. This is an increase from Dolby Laboratories’s previous quarterly dividend of $0.33. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend was Tuesday, December 2nd. Dolby Laboratories’s payout ratio is 54.75%.

Insider Buying and Selling at Dolby Laboratories

In other Dolby Laboratories news, SVP Shriram Revankar sold 3,000 shares of the stock in a transaction that occurred on Friday, November 21st. The shares were sold at an average price of $65.55, for a total transaction of $196,650.00. Following the transaction, the senior vice president owned 67,435 shares in the company, valued at $4,420,364.25. This represents a 4.26% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Mark Andrew Sherman sold 9,109 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $66.73, for a total transaction of $607,843.57. Following the transaction, the executive vice president directly owned 73,054 shares in the company, valued at $4,874,893.42. This represents a 11.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 162,120 shares of company stock valued at $10,906,559. 37.93% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Dolby Laboratories

A number of large investors have recently added to or reduced their stakes in the stock. JPMorgan Chase & Co. increased its stake in Dolby Laboratories by 81.3% during the 3rd quarter. JPMorgan Chase & Co. now owns 312,028 shares of the electronics maker’s stock worth $22,582,000 after acquiring an additional 139,900 shares during the period. Allworth Financial LP grew its holdings 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 worth $73,000 after purchasing an additional 502 shares in the last quarter. Swiss Life Asset Management Ltd bought a new position in shares of Dolby Laboratories in the third quarter worth $210,000. Advisory Services Network LLC acquired a new position in Dolby Laboratories in the third quarter valued at about $102,000. Finally, XTX Topco Ltd bought a new stake in Dolby Laboratories during the third quarter worth about $741,000. Institutional investors and hedge funds 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.