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

Shares of Dolby Laboratories (NYSE:DLB) reached a new 52-week low during mid-day trading on Friday . The stock traded as low as $63.86 and last traded at $64.0050, with a volume of 36773 shares trading hands. The stock had previously closed at $64.22.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the company. Rosenblatt Securities lowered their target price 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 reduced their price target 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. Wall Street Zen lowered shares of Dolby Laboratories from a “buy” rating to a “hold” rating in a research note on Sunday, December 28th. Robert W. Baird assumed coverage on shares of Dolby Laboratories in a research note on Friday, September 5th. They set a “neutral” rating and a $74.00 target price on the stock. Finally, Weiss Ratings reiterated a “hold (c-)” rating on shares of Dolby Laboratories in a report on Monday. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $92.00.

Dolby Laboratories Stock Down 1.1%

The company’s fifty day moving average is $66.23 and its two-hundred day moving average is $70.56. The stock has a market cap of $6.07 billion, a price-to-earnings ratio of 24.16 and a beta of 0.89.

Dolby Laboratories (NYSE:DLB) last posted its quarterly earnings results on Tuesday, November 18th. The electronics maker reported $0.99 EPS 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 during the quarter, compared to analysts’ expectations of $305.76 million. During the same quarter in the previous year, the business posted $0.61 EPS. The firm’s revenue was up .7% on a year-over-year basis. 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. Sell-side analysts predict that Dolby Laboratories will post 2.94 EPS for the current fiscal year.

Dolby Laboratories Increases Dividend

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

Insiders Place Their Bets

In other news, EVP Mark Andrew Sherman sold 2,491 shares of the company’s stock in a transaction dated Wednesday, December 17th. The stock was sold at an average price of $67.26, for a total transaction of $167,544.66. Following the completion of the transaction, the executive vice president directly owned 70,563 shares of the company’s stock, valued at approximately $4,746,067.38. This represents a 3.41% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP John D. Couling sold 7,273 shares of the firm’s stock in a transaction dated Thursday, December 11th. The stock was sold at an average price of $68.75, for a total value of $500,018.75. Following the sale, the senior vice president directly owned 108,065 shares in the company, valued at $7,429,468.75. This trade represents a 6.31% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 162,120 shares of company stock valued at $10,906,559 over the last quarter. Corporate insiders own 37.93% of the company’s stock.

Institutional Investors Weigh In On Dolby Laboratories

Institutional investors and hedge funds have recently bought and sold shares of the stock. First Horizon Corp purchased a new position in shares of Dolby Laboratories in the 3rd quarter valued at approximately $25,000. Hantz Financial Services Inc. lifted its holdings in shares of Dolby Laboratories by 166.7% during the third quarter. Hantz Financial Services Inc. now owns 352 shares of the electronics maker’s stock worth $25,000 after purchasing an additional 220 shares during the period. MAI Capital Management grew its position in Dolby Laboratories by 87.1% in the 1st quarter. MAI Capital Management now owns 348 shares of the electronics maker’s stock valued at $28,000 after buying an additional 162 shares during the last quarter. Allworth Financial LP increased its stake in Dolby Laboratories by 590.4% in the 2nd quarter. Allworth Financial LP now owns 504 shares of the electronics maker’s stock valued at $37,000 after buying an additional 431 shares during the period. Finally, Mather Group LLC. acquired a new position in Dolby Laboratories in the 3rd quarter valued at $38,000. 58.56% of the stock is owned by hedge funds and other institutional investors.

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.