Q3 EPS Estimate for Dolby Laboratories Decreased by Analyst

Dolby Laboratories (NYSE:DLB) – Analysts at Zacks Research cut their Q3 2026 earnings per share estimates for Dolby Laboratories in a note issued to investors on Thursday, May 21st. Zacks Research analyst Team now anticipates that the electronics maker will post earnings of $0.39 per share for the quarter, down from their previous estimate of $0.65. The consensus estimate for Dolby Laboratories’ current full-year earnings is $3.22 per share. Zacks Research also issued estimates for Dolby Laboratories’ Q4 2026 earnings at $0.91 EPS, FY2026 earnings at $3.16 EPS, Q1 2027 earnings at $0.77 EPS, Q2 2027 earnings at $1.00 EPS, Q3 2027 earnings at $0.58 EPS, Q4 2027 earnings at $0.87 EPS, FY2027 earnings at $3.22 EPS, Q1 2028 earnings at $0.65 EPS, Q2 2028 earnings at $0.90 EPS and FY2028 earnings at $3.40 EPS.

Several other brokerages also recently commented on DLB. Wall Street Zen downgraded shares of Dolby Laboratories from a “buy” rating to a “hold” rating in a research report on Saturday, January 31st. Barrington Research restated an “outperform” rating and set a $90.00 price objective on shares of Dolby Laboratories in a research report on Monday, April 27th. Rosenblatt Securities restated a “buy” rating and set a $85.00 price objective on shares of Dolby Laboratories in a research report on Friday, January 30th. Finally, Weiss Ratings restated a “hold (c-)” rating on shares of Dolby Laboratories in a research report on Friday, March 27th. Three research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, Dolby Laboratories currently has an average rating of “Moderate Buy” and a consensus price target of $90.75.

Dolby Laboratories Price Performance

Shares of DLB opened at $56.64 on Wednesday. Dolby Laboratories has a one year low of $52.45 and a one year high of $77.00. The company has a market cap of $5.36 billion, a P/E ratio of 22.39 and a beta of 0.86. The firm has a 50 day simple moving average of $59.79 and a two-hundred day simple moving average of $63.20.

Dolby Laboratories (NYSE:DLB) last issued its quarterly earnings results on Thursday, April 30th. The electronics maker reported $1.37 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.31 by $0.06. Dolby Laboratories had a return on equity of 11.47% and a net margin of 17.85%.The business had revenue of $395.63 million during the quarter, compared to analysts’ expectations of $385.80 million. During the same period in the previous year, the company posted $1.34 earnings per share. The firm’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.

Dolby Laboratories Announces Dividend

The business 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 annualized dividend and a dividend yield of 2.5%. Dolby Laboratories’s dividend payout ratio is 56.92%.

Insider Transactions at Dolby Laboratories

In other news, CFO Robert J. Park sold 4,895 shares of the company’s stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $56.68, for a total transaction of $277,448.60. Following the completion of the transaction, the chief financial officer directly owned 81,490 shares in the company, valued at approximately $4,618,853.20. This represents a 5.67% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Shriram Revankar sold 3,000 shares of the company’s stock in a transaction on Friday, May 15th. The stock was sold at an average price of $54.90, for a total transaction of $164,700.00. Following the transaction, the senior vice president owned 80,603 shares of the company’s stock, valued at $4,425,104.70. This trade represents a 3.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 20,249 shares of company stock worth $1,157,434. Corporate insiders own 37.93% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of DLB. Royal Bank of Canada increased its holdings in shares of Dolby Laboratories by 3.5% during the first quarter. Royal Bank of Canada now owns 68,367 shares of the electronics maker’s stock worth $5,491,000 after buying an additional 2,298 shares in the last quarter. Goldman Sachs Group Inc. grew its stake in shares of Dolby Laboratories by 218.8% in the first quarter. Goldman Sachs Group Inc. now owns 249,574 shares of the electronics maker’s stock worth $20,043,000 after purchasing an additional 171,288 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Dolby Laboratories by 5.6% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 238,216 shares of the electronics maker’s stock worth $19,131,000 after purchasing an additional 12,598 shares during the last quarter. Focus Partners Wealth bought a new stake in shares of Dolby Laboratories in the first quarter worth $390,000. Finally, EverSource Wealth Advisors LLC grew its stake in shares of Dolby Laboratories by 273.3% in the second quarter. EverSource Wealth Advisors LLC now owns 2,598 shares of the electronics maker’s stock worth $193,000 after purchasing an additional 1,902 shares during the last quarter. 58.56% of the stock is currently owned by institutional investors and hedge funds.

Dolby Laboratories News Roundup

Here are the key news stories impacting Dolby Laboratories this week:

• Positive Sentiment: Zacks Research raised estimates for multiple periods, including FY2026 EPS to $3.16, FY2027 EPS to $3.22, and FY2028 EPS to $3.40, signaling improved long-term earnings expectations.
• Positive Sentiment: Near-term forecasts were also increased for Q4 2026, Q1 2027, Q2 2027, Q4 2027, Q1 2028 and Q2 2028, which may support sentiment around Dolby’s ability to sustain growth. Article Link
• Neutral Sentiment: One offsetting change was a lower Q3 2026 EPS estimate, which was cut to $0.39 from $0.65, suggesting some near-term variability despite the broader upgrade trend.

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.