Dolby Laboratories (NYSE:DLB) Hits New 52-Week Low – What’s Next?

Dolby Laboratories (NYSE:DLB) shares reached a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $51.53 and last traded at $52.06, with a volume of 328666 shares. The stock had previously closed at $52.84.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on DLB shares. Barrington Research reaffirmed an “outperform” rating and issued a $90.00 target price on shares of Dolby Laboratories in a research report on Monday. Weiss Ratings reissued a “hold (c-)” rating on shares of Dolby Laboratories in a research report on Friday, March 27th. Rosenblatt Securities reissued a “buy” rating and issued a $85.00 price objective on shares of Dolby Laboratories in a research note on Thursday, June 11th. Finally, Wall Street Zen upgraded shares of Dolby Laboratories from a “hold” rating to a “buy” rating in a report on Saturday, May 30th. Three analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $90.75.

Dolby Laboratories Stock Down 3.1%

The stock has a market capitalization of $4.84 billion, a PE ratio of 20.23 and a beta of 0.81. The stock has a fifty day moving average of $58.03 and a 200-day moving average of $61.97.

Dolby Laboratories (NYSE:DLB) last issued its quarterly earnings results on Thursday, April 30th. The electronics maker reported $1.37 earnings per share for the quarter, topping the consensus estimate of $1.31 by $0.06. The company had revenue of $395.63 million for the quarter, compared to the consensus estimate of $385.80 million. Dolby Laboratories had a return on equity of 11.47% and a net margin of 17.85%.Dolby Laboratories’s revenue was up 7.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.34 EPS. 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. Equities research analysts expect that Dolby Laboratories will post 3.21 EPS for the current year.

Dolby Laboratories Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 20th. Investors of record on Tuesday, May 12th were issued a $0.36 dividend. The ex-dividend date of this dividend was Tuesday, May 12th. This represents a $1.44 annualized dividend and a yield of 2.8%. Dolby Laboratories’s dividend payout ratio (DPR) is 56.92%.

Insider Activity

In related news, CMO Todd Pendleton sold 11,876 shares of Dolby Laboratories stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $54.55, for a total value of $647,835.80. Following the completion of the transaction, the chief marketing officer owned 41,480 shares in the company, valued at $2,262,734. The trade was 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 through this hyperlink. Also, CFO Robert J. Park sold 4,895 shares of the business’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $56.68, for a total transaction of $277,448.60. Following the transaction, the chief financial officer owned 81,490 shares of the company’s stock, valued at $4,618,853.20. This trade represents a 5.67% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 39,791 shares of company stock worth $2,231,653 over the last three months. Insiders own 37.93% of the company’s stock.

Hedge Funds Weigh In On Dolby Laboratories

Several large investors have recently bought and sold shares of the business. Boothbay Fund Management LLC raised its stake in Dolby Laboratories by 4.1% in the second quarter. Boothbay Fund Management LLC now owns 4,020 shares of the electronics maker’s stock valued at $299,000 after buying an additional 157 shares in the last quarter. Covestor Ltd boosted its position in shares of Dolby Laboratories by 6.0% during the 4th quarter. Covestor Ltd now owns 3,088 shares of the electronics maker’s stock worth $198,000 after acquiring an additional 175 shares in the last quarter. Fifth Third Bancorp boosted its position in shares of Dolby Laboratories by 34.7% during the 4th quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker’s stock worth $48,000 after acquiring an additional 192 shares in the last quarter. State of Michigan Retirement System increased its holdings in shares of Dolby Laboratories by 1.4% in the 1st quarter. State of Michigan Retirement System now owns 14,700 shares of the electronics maker’s stock valued at $883,000 after acquiring an additional 200 shares during the last quarter. Finally, Gabelli Funds LLC increased its holdings in shares of Dolby Laboratories by 0.4% in the 3rd quarter. Gabelli Funds LLC now owns 49,143 shares of the electronics maker’s stock valued at $3,556,000 after acquiring an additional 202 shares during the last quarter. Hedge funds and other institutional investors 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.