Dolby Laboratories (NYSE:DLB) Reaches New 1-Year Low – What’s Next?

Dolby Laboratories (NYSE:DLB)’s stock price reached a new 52-week low during mid-day trading on Monday . The company traded as low as $64.33 and last traded at $64.3040, with a volume of 400566 shares trading hands. The stock had previously closed at $65.56.

Analysts Set New Price Targets

DLB has been the subject of several analyst reports. Baird R W upgraded Dolby Laboratories to a “hold” rating in a research note on Friday, September 5th. Barrington Research cut their price objective on shares of Dolby Laboratories from $100.00 to $95.00 and set an “outperform” rating for the company in a research report on Wednesday. Robert W. Baird began coverage on shares of Dolby Laboratories in a report on Friday, September 5th. They set a “neutral” rating and a $74.00 target price on the stock. Tigress Financial increased their target price on shares of Dolby Laboratories from $112.00 to $114.00 and gave the stock a “buy” rating in a research note on Friday, August 15th. Finally, Wall Street Zen raised shares of Dolby Laboratories from a “hold” rating to a “buy” rating in a report on Saturday, August 30th. Three analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $92.00.

Dolby Laboratories Stock Performance

The firm has a market cap of $6.23 billion, a PE ratio of 23.88 and a beta of 0.97. The stock’s 50 day simple moving average is $68.93 and its 200 day simple moving average is $72.51.

Dolby Laboratories (NYSE:DLB) last released its earnings results on Tuesday, November 18th. The electronics maker reported $0.99 EPS for the quarter, beating analysts’ consensus estimates of $0.70 by $0.29. Dolby Laboratories had a return on equity of 11.52% and a net margin of 19.62%.The business had revenue of $307.02 million for the quarter, compared to analysts’ expectations of $305.76 million. During the same quarter in the prior year, the firm earned $0.61 earnings per share. 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. Q1 2026 guidance at 0.790-0.940 EPS. As a group, analysts anticipate that Dolby Laboratories will post 2.94 earnings per share for the current year.

Dolby Laboratories Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 10th. Shareholders of record on Tuesday, December 2nd will be paid a $0.36 dividend. This is an increase from Dolby Laboratories’s previous quarterly dividend of $0.33. This represents a $1.44 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend is Tuesday, December 2nd. Dolby Laboratories’s payout ratio is currently 48.35%.

Insider Buying and Selling

In other Dolby Laboratories news, CEO Kevin J. Yeaman sold 25,000 shares of Dolby Laboratories stock in a transaction that occurred on Tuesday, October 14th. The shares were sold at an average price of $68.87, for a total transaction of $1,721,750.00. Following the transaction, the chief executive officer directly owned 114,725 shares of the company’s stock, valued at approximately $7,901,110.75. This trade represents a 17.89% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, SVP Shriram Revankar sold 7,000 shares of the business’s stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $74.92, for a total transaction of $524,440.00. Following the completion of the sale, the senior vice president owned 70,435 shares of the company’s stock, valued at approximately $5,276,990.20. The trade was a 9.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 57,000 shares of company stock worth $4,037,690 over the last quarter. Company insiders own 38.39% of the company’s stock.

Institutional Trading of Dolby Laboratories

Institutional investors have recently added to or reduced their stakes in the business. Norges Bank purchased a new position in Dolby Laboratories in the 2nd quarter worth approximately $55,030,000. AQR Capital Management LLC grew its holdings 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 worth $128,935,000 after purchasing an additional 592,282 shares during the last quarter. Vanguard Group Inc. increased its stake in shares of Dolby Laboratories by 7.1% in the first quarter. Vanguard Group Inc. now owns 7,535,722 shares of the electronics maker’s stock worth $605,194,000 after buying an additional 502,110 shares during the period. Jones Financial Companies Lllp increased its stake in shares of Dolby Laboratories by 241,160.1% in the first quarter. Jones Financial Companies Lllp now owns 429,443 shares of the electronics maker’s stock worth $36,975,000 after buying an additional 429,265 shares during the period. Finally, First Trust Advisors LP raised its holdings in Dolby Laboratories by 35.2% during the 2nd quarter. First Trust Advisors LP now owns 1,237,443 shares of the electronics maker’s stock valued at $91,893,000 after buying an additional 322,063 shares during the last quarter. 58.56% of the stock is currently owned by hedge funds and other institutional investors.

About Dolby Laboratories

Dolby Laboratories, Inc creates audio and imaging technologies that transform entertainment at the cinema, DTV transmissions and devices, mobile devices, OTT video and music services, home entertainment devices, and automobiles. The company develops and licenses its audio technologies, such as AAC & HE-AAC, a digital audio codec solution used for a range of media applications; AVC, a digital video codec with high bandwidth efficiency used in various media devices; Dolby AC-4, a digital audio coding technology that delivers new audio experiences to a range of playback devices; and Dolby Atmos technology for cinema and various media devices.