Dolby Laboratories (NYSE:DLB) Sets New 12-Month Low – Time to Sell?

Dolby Laboratories (NYSE:DLB) hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $50.71 and last traded at $51.0610, with a volume of 870386 shares changing hands. The stock had previously closed at $52.59.

Analyst Ratings Changes

A number of research analysts recently weighed in on DLB shares. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Dolby Laboratories in a research note on Wednesday, June 24th. Barrington Research reaffirmed an “outperform” rating and issued a $90.00 price target on shares of Dolby Laboratories in a research note on Monday, June 15th. Rosenblatt Securities reiterated a “buy” rating and set a $85.00 price target on shares of Dolby Laboratories in a research report on Thursday, June 11th. Finally, Wall Street Zen raised Dolby Laboratories from a “hold” rating to a “buy” rating in a research note on Saturday, May 30th. Three research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $90.75.

Dolby Laboratories Stock Performance

The firm’s 50 day moving average price is $55.84 and its two-hundred day moving average price is $60.84. The firm has a market cap of $4.84 billion, a PE ratio of 20.20 and a beta of 0.81.

Dolby Laboratories (NYSE:DLB) last released its quarterly earnings results on Thursday, April 30th. The electronics maker reported $1.37 EPS for the quarter, beating 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 firm 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 company earned $1.34 EPS. The business’s revenue for the quarter was up 7.0% compared to the same quarter last year. 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, analysts forecast that Dolby Laboratories will post 3.21 earnings per share for the current year.

Dolby Laboratories Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 20th. Stockholders of record on Tuesday, May 12th were issued a dividend of $0.36 per share. The ex-dividend date was Tuesday, May 12th. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.8%. Dolby Laboratories’s dividend payout ratio is currently 56.92%.

Insiders Place Their Bets

In other Dolby Laboratories news, CMO Todd Pendleton sold 11,876 shares of Dolby Laboratories stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $54.55, for a total transaction of $647,835.80. Following the completion of the sale, the chief marketing officer directly owned 41,480 shares in the company, valued at $2,262,734. This trade represents a 22.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP Shriram Revankar sold 3,000 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $54.90, for a total transaction of $164,700.00. Following the completion of the sale, the senior vice president directly owned 80,603 shares in the company, valued at $4,425,104.70. This trade represents a 3.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 39,791 shares of company stock valued at $2,231,653 over the last 90 days. Company insiders own 37.93% of the company’s stock.

Institutional Trading of Dolby Laboratories

Institutional investors have recently added to or reduced their stakes in the stock. Norges Bank acquired a new position in Dolby Laboratories during the fourth quarter worth $54,966,000. AQR Capital Management LLC grew its stake in shares of Dolby Laboratories by 51.8% in the second quarter. AQR Capital Management LLC now owns 1,736,260 shares of the electronics maker’s stock valued at $128,935,000 after buying an additional 592,282 shares in the last quarter. First Trust Advisors LP raised its holdings in shares of Dolby Laboratories by 19.9% in the 1st quarter. First Trust Advisors LP now owns 2,254,933 shares of the electronics maker’s stock valued at $135,431,000 after buying an additional 374,405 shares during the period. Alyeska Investment Group L.P. purchased a new stake in shares of Dolby Laboratories in the 4th quarter valued at $23,477,000. Finally, Voloridge Investment Management LLC lifted its stake in Dolby Laboratories by 2,017.9% during the 4th quarter. Voloridge Investment Management LLC now owns 325,499 shares of the electronics maker’s stock worth $20,904,000 after acquiring an additional 310,130 shares in the last quarter. Institutional investors and hedge funds own 58.56% of the company’s stock.

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.