What is Zacks Research's Forecast for DLB Q4 Earnings?

Dolby Laboratories (NYSE:DLB - Free Report) - Research analysts at Zacks Research decreased their Q4 2026 earnings per share (EPS) estimates for Dolby Laboratories in a research report issued on Thursday, August 20th. Zacks Research analyst Team now anticipates that the electronics maker will earn $0.87 per share for the quarter, down from their prior forecast of $0.91. The consensus estimate for Dolby Laboratories' current full-year earnings is $3.23 per share. Zacks Research also issued estimates for Dolby Laboratories' Q1 2027 earnings at $0.78 EPS, Q2 2027 earnings at $1.01 EPS, Q3 2027 earnings at $0.57 EPS, Q4 2027 earnings at $0.82 EPS, FY2027 earnings at $3.19 EPS, Q2 2028 earnings at $0.91 EPS, Q3 2028 earnings at $0.86 EPS and FY2028 earnings at $3.38 EPS.

DLB has been the topic of several other reports. Rosenblatt Securities reissued a "buy" rating and issued a $85.00 price target on shares of Dolby Laboratories in a research note on Friday, July 31st. Weiss Ratings downgraded shares of Dolby Laboratories from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Thursday, August 13th. Barrington Research reiterated an "outperform" rating and issued a $90.00 price objective on shares of Dolby Laboratories in a research note on Monday, June 15th. Finally, Wall Street Zen downgraded shares of Dolby Laboratories from a "buy" rating to a "hold" rating in a research report on Saturday, August 1st. Two investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $83.00.

Dolby Laboratories Price Performance

Shares of NYSE:DLB opened at $65.02 on Thursday. The company has a market cap of $6.09 billion, a price-to-earnings ratio of 27.67 and a beta of 0.80. The firm has a 50 day simple moving average of $55.28 and a 200 day simple moving average of $58.52. Dolby Laboratories has a one year low of $48.26 and a one year high of $73.78.

Dolby Laboratories (NYSE:DLB - Get Free Report) last issued its earnings results on Thursday, July 30th. The electronics maker reported $0.69 EPS for the quarter, beating the consensus estimate of $0.67 by $0.02. Dolby Laboratories had a net margin of 16.70% and a return on equity of 11.08%. The company had revenue of $305.00 million during the quarter, compared to analysts' expectations of $311.96 million. During the same period in the previous year, the company earned $0.78 EPS. The business's revenue for the quarter was down 3.3% compared to the same quarter last year. Dolby Laboratories has set its FY 2026 guidance at 4.250-4.400 EPS and its Q4 2026 guidance at 1.130-1.280 EPS.

Dolby Laboratories Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Tuesday, August 11th were issued a dividend of $0.36 per share. The ex-dividend date was Tuesday, August 11th. This represents a $1.44 annualized dividend and a dividend yield of 2.2%. Dolby Laboratories's payout ratio is currently 61.28%.

Dolby Laboratories announced that its Board of Directors has initiated a share repurchase plan on Thursday, July 30th that authorizes the company to buyback $350.00 million in outstanding shares. This buyback authorization authorizes the electronics maker to reacquire up to 7% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's leadership believes its stock is undervalued.

Insider Transactions at Dolby Laboratories

In related news, SVP John D. Couling sold 7,667 shares of Dolby Laboratories stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $60.00, for a total value of $460,020.00. Following the completion of the sale, the senior vice president owned 118,727 shares of the company's stock, valued at approximately $7,123,620. This trade represents a 6.07% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, SVP Shriram Revankar sold 3,000 shares of the business's stock in a transaction on Friday, August 14th. The shares were sold at an average price of $62.71, for a total transaction of $188,130.00. Following the sale, the senior vice president owned 73,274 shares of the company's stock, valued at $4,595,012.54. This trade represents a 3.93% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 27,705 shares of company stock valued at $1,587,692 over the last ninety days. 37.93% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the business. Boothbay Fund Management LLC increased its holdings in shares of Dolby Laboratories by 4.1% in the 2nd quarter. Boothbay Fund Management LLC now owns 4,020 shares of the electronics maker's stock worth $299,000 after purchasing an additional 157 shares in the last quarter. Covestor Ltd boosted its position in shares of Dolby Laboratories by 6.0% during the fourth quarter. Covestor Ltd now owns 3,088 shares of the electronics maker's stock valued at $198,000 after buying an additional 175 shares during the last quarter. Fifth Third Bancorp boosted its position in shares of Dolby Laboratories by 34.7% during the fourth quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker's stock valued at $48,000 after buying an additional 192 shares during the last quarter. State of Michigan Retirement System increased its holdings in 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 worth $883,000 after buying an additional 200 shares in the last quarter. Finally, Raymond James Financial Inc. raised its position in Dolby Laboratories by 1.0% in the 2nd quarter. Raymond James Financial Inc. now owns 24,344 shares of the electronics maker's stock worth $1,808,000 after buying an additional 235 shares during the last quarter. 58.56% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about Dolby Laboratories

Here are the key news stories impacting Dolby Laboratories this week:

• Positive Sentiment: Zacks Research raised its FY2026 EPS forecast to $3.17 from $3.16, suggesting slightly better near-term profitability expectations. The estimate remains below the broader consensus of $3.23. Dolby Laboratories analyst estimates
• Positive Sentiment: The firm increased its forecasts for Q1 2027 EPS to $0.78 from $0.77 and Q2 2027 EPS to $1.01 from $1.00, indicating slightly stronger expectations for the first half of fiscal 2027. Dolby Laboratories earnings estimates
• Positive Sentiment: Zacks also raised its Q3 2028 EPS projection to $0.86 from $0.79, although this longer-range revision is less likely to drive immediate trading than current-year estimates. Dolby Laboratories long-term estimates
• Neutral Sentiment: Zacks projects FY2027 EPS of $3.19 and FY2028 EPS of $3.38. These forecasts imply continued earnings generation, but the overall revision trend was not consistently positive.
• Negative Sentiment: Zacks lowered its Q4 2026 EPS estimate to $0.87 from $0.91 and cut its Q3 2027 forecast to $0.57 from $0.58, signaling some weakening in selected upcoming quarters.
• Negative Sentiment: The firm reduced its FY2027 EPS forecast to $3.19 from $3.22 and its FY2028 estimate to $3.38 from $3.40. The FY2027 projection is also slightly below the current full-year consensus of $3.23.
• Negative Sentiment: Dolby’s latest reported quarter showed revenue down 3.3% year over year, although EPS of $0.69 exceeded analysts’ $0.67 estimate. The combination of softer revenue and mixed earnings revisions may restrain further upside.

Dolby Laboratories Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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