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

Dolby Laboratories (NYSE:DLB) hit a new 52-week low during mid-day trading on Thursday . The company traded as low as $63.16 and last traded at $63.3640, with a volume of 78359 shares changing hands. The stock had previously closed at $64.45.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the company. Barrington Research dropped their price objective on Dolby Laboratories from $100.00 to $95.00 and set an “outperform” rating on the stock in a research note on Wednesday, November 19th. Wall Street Zen upgraded shares of Dolby Laboratories from a “hold” rating to a “buy” rating in a research report on Monday. Weiss Ratings reissued a “hold (c-)” rating on shares of Dolby Laboratories in a report on Monday, December 29th. Finally, Rosenblatt Securities lowered their price objective on shares of Dolby Laboratories from $95.00 to $85.00 and set a “buy” rating on the stock in a research note on Wednesday, November 19th. Three 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 stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $92.00.

Dolby Laboratories Price Performance

The firm’s fifty day simple moving average is $66.03 and its 200 day simple moving average is $70.27. The company has a market capitalization of $6.05 billion, a price-to-earnings ratio of 24.17 and a beta of 0.88.

Dolby Laboratories (NYSE:DLB) last issued its quarterly earnings results on Tuesday, November 18th. The electronics maker reported $0.99 EPS for the quarter, beating 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 business had revenue of $307.02 million during the quarter, compared to the consensus estimate of $305.76 million. During the same quarter in the prior year, the firm earned $0.61 EPS. The firm’s quarterly 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. Equities research analysts forecast that Dolby Laboratories will post 2.94 earnings per share for the current fiscal year.

Dolby Laboratories Increases Dividend

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

Insiders Place Their Bets

In other news, EVP Mark Andrew Sherman sold 9,109 shares of the stock in a transaction that occurred on Tuesday, December 16th. The shares were sold at an average price of $66.73, for a total value of $607,843.57. Following the completion of the sale, the executive vice president directly owned 73,054 shares of the company’s stock, valued at $4,874,893.42. This represents a 11.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Kevin J. Yeaman sold 36,699 shares of the business’s stock in a transaction that occurred on Monday, November 24th. The shares were sold at an average price of $66.91, for a total transaction of $2,455,530.09. Following the transaction, the chief executive officer directly owned 114,725 shares in the company, valued at $7,676,249.75. The trade was a 24.24% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 162,120 shares of company stock worth $10,906,559. Insiders own 37.93% of the company’s stock.

Hedge Funds Weigh In On Dolby Laboratories

A number of hedge funds have recently modified their holdings of the stock. Commonwealth of Pennsylvania Public School Empls Retrmt SYS lifted its position in shares of Dolby Laboratories by 7.8% during the 2nd quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 15,777 shares of the electronics maker’s stock worth $1,172,000 after purchasing an additional 1,146 shares during the last quarter. Campbell & CO Investment Adviser LLC increased its position in Dolby Laboratories by 193.2% in the 2nd quarter. Campbell & CO Investment Adviser LLC now owns 17,275 shares of the electronics maker’s stock worth $1,283,000 after buying an additional 11,384 shares during the period. Boston Trust Walden Corp lifted its holdings in shares of Dolby Laboratories by 2.1% during the second quarter. Boston Trust Walden Corp now owns 1,098,218 shares of the electronics maker’s stock worth $81,554,000 after buying an additional 22,404 shares during the last quarter. Sequoia Financial Advisors LLC bought a new stake in shares of Dolby Laboratories in the second quarter valued at approximately $550,000. Finally, Clifford Capital Partners LLC boosted its position in shares of Dolby Laboratories by 3.1% in the second quarter. Clifford Capital Partners LLC now owns 264,059 shares of the electronics maker’s stock valued at $19,609,000 after acquiring an additional 7,871 shares during the period. 58.56% of the stock is owned by institutional investors and hedge funds.

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.