Dolby Laboratories (NYSE:DLB) Releases Q4 2025 Earnings Guidance

Key Points

• Dolby Laboratories has updated its fourth quarter 2025 earnings guidance, projecting earnings per share (EPS) between $0.610 and $0.760, which is below the consensus estimate of $0.773.
• The company also provided revenue guidance of $288.0 million to $318.0 million, slightly lower than the consensus revenue estimate of $310.1 million.
• Despite the guidance updates, Dolby's stock price is currently down 0.6%, trading at approximately $75.30.

Dolby Laboratories (NYSE:DLB - Get Free Report) issued an update on its fourth quarter 2025 earnings guidance on Thursday morning. The company provided earnings per share guidance of 0.610-0.760 for the period, compared to the consensus earnings per share estimate of 0.773. The company issued revenue guidance of $288.0 million-$318.0 million, compared to the consensus revenue estimate of $310.1 million. Dolby Laboratories also updated its FY 2025 guidance to 3.880-4.030 EPS.

Analyst Ratings Changes

Several equities analysts recently weighed in on the stock. Barrington Research restated an "outperform" rating and set a $100.00 target price on shares of Dolby Laboratories in a report on Friday, May 2nd. Wall Street Zen upgraded shares of Dolby Laboratories from a "hold" rating to a "buy" rating in a report on Friday, May 30th. Tigress Financial assumed coverage on shares of Dolby Laboratories in a report on Thursday, May 15th. They set a "buy" rating and a $112.00 target price on the stock. Finally, Rosenblatt Securities restated a "buy" rating and set a $95.00 target price on shares of Dolby Laboratories in a report on Friday.

Dolby Laboratories Stock Down 6.8%

NYSE DLB traded down $5.15 on Friday, hitting $70.19. The stock had a trading volume of 818,905 shares, compared to its average volume of 299,803. Dolby Laboratories has a one year low of $66.35 and a one year high of $89.66. The stock has a market cap of $6.74 billion, a price-to-earnings ratio of 25.71 and a beta of 0.91. The company's 50-day moving average is $74.92 and its two-hundred day moving average is $77.57.

Dolby Laboratories (NYSE:DLB - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The electronics maker reported $0.78 earnings per share for the quarter, topping analysts' consensus estimates of $0.72 by $0.06. The company had revenue of $315.55 million during 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 11.62%. The business's revenue for the quarter was up 9.2% compared to the same quarter last year. During the same period in the prior year, the business posted $0.71 EPS. On average, sell-side analysts anticipate that Dolby Laboratories will post 2.94 earnings per share for the current year.

Dolby Laboratories Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, August 20th. Investors of record on Tuesday, August 12th will be paid a dividend of $0.33 per share. The ex-dividend date of this dividend is Tuesday, August 12th. This represents a $1.32 annualized dividend and a yield of 1.9%. Dolby Laboratories's dividend payout ratio is currently 48.35%.

Insider Activity at Dolby Laboratories

In related news, CEO Kevin J. Yeaman sold 2,491 shares of the stock in a transaction that occurred on 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 sale, the chief executive officer directly owned 114,725 shares of the company's stock, valued at $8,604,375. This represents a 2.13% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, SVP John D. Couling sold 675 shares of the company's stock in a transaction that occurred on Monday, May 5th. The shares were sold at an average price of $75.04, for a total transaction of $50,652.00. Following the completion of the sale, the senior vice president owned 121,151 shares of the company's stock, valued at approximately $9,091,171.04. This trade represents a 0.55% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 116,724 shares of company stock valued at $8,764,043 over the last ninety days. Insiders own 38.39% of the company's stock.

Hedge Funds Weigh In On Dolby Laboratories

A number of hedge funds have recently modified their holdings of DLB. Focus Partners Wealth acquired a new position in shares of Dolby Laboratories during the 1st quarter worth $390,000. Royal Bank of Canada increased its stake in shares of Dolby Laboratories by 3.5% during the 1st quarter. Royal Bank of Canada now owns 68,367 shares of the electronics maker's stock worth $5,491,000 after purchasing an additional 2,298 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of Dolby Laboratories by 5.6% during the 1st 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. Finally, Goldman Sachs Group Inc. increased its stake in shares of Dolby Laboratories by 218.8% during the 1st 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. 58.56% of the stock is owned by institutional investors and hedge funds.

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.