Dolby Laboratories (NYSE:DLB) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Dolby Laboratories has received a consensus rating of "Moderate Buy" from analysts, with an average 12-month price target of $95.75.
• The company reported earnings of $0.78 per share for the last quarter, surpassing expectations and experiencing a 9.2% year-over-year revenue increase.
• Dolby Laboratories declared a quarterly dividend of $0.33 per share, resulting in an annualized yield of 1.8%.

Dolby Laboratories (NYSE:DLB - Get Free Report) has earned a consensus rating of "Moderate Buy" from the five analysts that are covering the firm, MarketBeat reports. Two investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. The average 12-month price target among brokerages that have updated their coverage on the stock in the last year is $95.75.

Several research analysts have recently weighed in on the company. Tigress Financial upped their target price on Dolby Laboratories from $112.00 to $114.00 and gave the stock a "buy" rating in a research note on Friday, August 15th. Rosenblatt Securities restated a "buy" rating and set a $95.00 target price on shares of Dolby Laboratories in a report on Friday, August 1st. Barrington Research reissued an "outperform" rating and issued a $100.00 price objective on shares of Dolby Laboratories in a report on Friday, September 12th. Baird R W upgraded Dolby Laboratories to a "hold" rating in a research report on Friday, September 5th. Finally, Wall Street Zen upgraded shares of Dolby Laboratories from a "hold" rating to a "buy" rating in a research report on Saturday, August 30th.

Dolby Laboratories Stock Down 0.1%

Shares of DLB opened at $72.34 on Wednesday. Dolby Laboratories has a 52 week low of $68.24 and a 52 week high of $89.66. The stock's 50-day moving average price is $72.93 and its 200-day moving average price is $74.68. The company has a market capitalization of $6.93 billion, a price-to-earnings ratio of 26.50 and a beta of 0.93.

Dolby Laboratories (NYSE:DLB - Get Free Report) last posted its earnings results on Thursday, July 31st. The electronics maker reported $0.78 earnings per share for the quarter, beating the consensus estimate of $0.72 by $0.06. Dolby Laboratories had a net margin of 19.62% and a return on equity of 11.52%. The firm had revenue of $315.55 million during the quarter, compared to analyst estimates of $305.23 million. During the same period in the previous year, the firm earned $0.71 EPS. The business's quarterly revenue was up 9.2% on a year-over-year basis. Dolby Laboratories has set its FY 2025 guidance at 3.880-4.030 EPS. Q4 2025 guidance at 0.610-0.760 EPS. As a group, equities analysts anticipate that Dolby Laboratories will post 2.94 EPS for the current fiscal year.

Dolby Laboratories Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 20th. Shareholders of record on Tuesday, August 12th were paid a dividend of $0.33 per share. The ex-dividend date was Tuesday, August 12th. This represents a $1.32 dividend on an annualized basis and a yield of 1.8%. Dolby Laboratories's dividend payout ratio is 48.35%.

Insider Buying and Selling

In other news, SVP Shriram Revankar sold 7,000 shares of Dolby Laboratories stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $74.92, for a total value of $524,440.00. Following the completion of the transaction, the senior vice president owned 70,435 shares in the company, valued at approximately $5,276,990.20. This trade represents a 9.04% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Kevin J. Yeaman sold 25,000 shares of the business's stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $71.66, for a total transaction of $1,791,500.00. Following the transaction, the chief executive officer owned 114,725 shares of the company's stock, valued at $8,221,193.50. This trade represents a 17.89% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 99,366 shares of company stock worth $7,293,963. 38.39% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Alpine Bank Wealth Management purchased a new position in Dolby Laboratories in the first quarter valued at approximately $25,000. Cheviot Value Management LLC purchased a new position in shares of Dolby Laboratories during the first quarter worth about $27,000. MAI Capital Management increased its holdings in shares of Dolby Laboratories by 87.1% in the first quarter. MAI Capital Management now owns 348 shares of the electronics maker's stock valued at $28,000 after purchasing an additional 162 shares during the period. Caitong International Asset Management Co. Ltd acquired a new position in Dolby Laboratories in the 1st quarter valued at $29,000. Finally, Allworth Financial LP increased its stake in shares of Dolby Laboratories by 590.4% during the second quarter. Allworth Financial LP now owns 504 shares of the electronics maker's stock worth $37,000 after acquiring an additional 431 shares during the period. Hedge funds and other institutional investors own 58.56% of the company's stock.

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.

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