Dolby Laboratories (NYSE:DLB) Stock Rating Lowered by Wall Street Zen

Key Points

• Dolby Laboratories has been downgraded from a "buy" to a "hold" rating by Wall Street Zen, indicating a shift in investor sentiment.
• Despite the downgrade, other analysts like Rosenblatt Securities and Barrington Research have maintained "buy" ratings with price targets of $95.00 and $100.00, respectively.
• The company reported earnings per share of $0.78 for the last quarter, beating expectations and demonstrating a year-over-year revenue increase of 9.2%.

Wall Street Zen lowered shares of Dolby Laboratories (NYSE:DLB - Free Report) from a buy rating to a hold rating in a report released on Saturday.

Several other equities research analysts have also commented on DLB. Tigress Financial assumed coverage on shares of Dolby Laboratories in a research note on Thursday, May 15th. They issued a "buy" rating and a $112.00 price target on the stock. Barrington Research restated an "outperform" rating and issued a $100.00 price target on shares of Dolby Laboratories in a research note on Friday, May 2nd. Finally, Rosenblatt Securities restated a "buy" rating and issued a $95.00 price target on shares of Dolby Laboratories in a research note on Friday, August 1st.

Dolby Laboratories Trading Up 0.9%

NYSE:DLB traded up $0.62 on Friday, reaching $72.60. The stock had a trading volume of 301,505 shares, compared to its average volume of 359,690. The stock has a market cap of $6.96 billion, a P/E ratio of 26.59 and a beta of 0.91. The company has a 50-day moving average of $74.67 and a 200 day moving average of $77.24. Dolby Laboratories has a 12-month low of $66.35 and a 12-month high of $89.66.

Dolby Laboratories (NYSE:DLB - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The electronics maker reported $0.78 earnings per share for the quarter, topping the consensus estimate of $0.72 by $0.06. The firm had revenue of $315.55 million for the quarter, compared to analyst estimates of $305.23 million. Dolby Laboratories had a net margin of 19.62% and a return on equity of 11.52%. Dolby Laboratories's quarterly revenue was up 9.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.71 earnings per share. On average, equities analysts predict that Dolby Laboratories will post 2.94 EPS for the current year.

Dolby Laboratories Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, August 20th. Investors of record on Tuesday, August 12th will be issued a dividend of $0.33 per share. This represents a $1.32 annualized dividend and a yield of 1.8%. The ex-dividend date of this dividend is Tuesday, August 12th. Dolby Laboratories's dividend payout ratio (DPR) is currently 48.35%.

Insider Activity at Dolby Laboratories

In other news, EVP Mark Andrew Sherman sold 15,000 shares of the stock in a transaction dated Wednesday, June 4th. The shares were sold at an average price of $75.02, for a total value of $1,125,300.00. Following the transaction, the executive vice president directly owned 62,397 shares of the company's stock, valued at $4,681,022.94. This represents a 19.38% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Kevin J. Yeaman sold 2,491 shares of the stock in a transaction dated Wednesday, July 16th. The shares were sold at an average price of $75.00, for a total transaction of $186,825.00. Following the completion of the transaction, the chief executive officer directly owned 114,725 shares in the company, valued at $8,604,375. The trade was a 2.13% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 116,049 shares of company stock valued at $8,713,391 in the last ninety days. Insiders own 38.39% of the company's stock.

Hedge Funds Weigh In On Dolby Laboratories

Several large investors have recently modified their holdings of DLB. Securian Asset Management Inc. increased its position in Dolby Laboratories by 3.0% during the first quarter. Securian Asset Management Inc. now owns 4,648 shares of the electronics maker's stock worth $373,000 after acquiring an additional 137 shares during the period. MAI Capital Management grew its stake in Dolby Laboratories by 87.1% during the first quarter. MAI Capital Management now owns 348 shares of the electronics maker's stock worth $28,000 after buying an additional 162 shares in the last quarter. Synovus Financial Corp grew its stake in Dolby Laboratories by 0.5% during the fourth quarter. Synovus Financial Corp now owns 32,235 shares of the electronics maker's stock worth $2,518,000 after buying an additional 173 shares in the last quarter. Equitable Trust Co. grew its stake in Dolby Laboratories by 3.3% during the second quarter. Equitable Trust Co. now owns 5,567 shares of the electronics maker's stock worth $413,000 after buying an additional 177 shares in the last quarter. Finally, Net Worth Advisory Group grew its stake in Dolby Laboratories by 5.2% during the first quarter. Net Worth Advisory Group now owns 3,591 shares of the electronics maker's stock worth $288,000 after buying an additional 178 shares in the last quarter. 58.56% of the stock is owned by institutional investors.

Dolby Laboratories Company Profile

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.