Element Capital Management LLC Acquires New Shares in Dolby Laboratories $DLB

Key Points

• Element Capital Management LLC has acquired 33,361 shares of Dolby Laboratories, valued at approximately $2.68 million, indicating institutional interest in the company.
• Dolby Laboratories reported an earnings per share (EPS) of $0.78 for the last quarter, exceeding expectations and reflecting a 9.2% increase in revenue year-over-year.
• The company recently declared a quarterly dividend of $0.33, equating to an annualized dividend yield of 1.8%, with the ex-dividend date set for August 12th.

Element Capital Management LLC acquired a new stake in shares of Dolby Laboratories (NYSE:DLB - Free Report) in the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 33,361 shares of the electronics maker's stock, valued at approximately $2,679,000.

A number of other hedge funds and other institutional investors also recently made changes to their positions in DLB. Palogic Value Management L.P. lifted its holdings in shares of Dolby Laboratories by 6.4% during the fourth quarter. Palogic Value Management L.P. now owns 3,888 shares of the electronics maker's stock valued at $304,000 after acquiring an additional 235 shares during the period. Russell Investments Group Ltd. lifted its holdings in shares of Dolby Laboratories by 5.5% during the fourth quarter. Russell Investments Group Ltd. now owns 40,924 shares of the electronics maker's stock valued at $3,196,000 after acquiring an additional 2,117 shares during the period. Cerity Partners LLC lifted its holdings in shares of Dolby Laboratories by 33.9% during the fourth quarter. Cerity Partners LLC now owns 14,643 shares of the electronics maker's stock valued at $1,135,000 after acquiring an additional 3,706 shares during the period. Invesco Ltd. lifted its holdings in shares of Dolby Laboratories by 8.3% during the fourth quarter. Invesco Ltd. now owns 266,269 shares of the electronics maker's stock valued at $20,796,000 after acquiring an additional 20,431 shares during the period. Finally, Raymond James Financial Inc. bought a new position in shares of Dolby Laboratories during the fourth quarter valued at $1,872,000. 58.56% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of research firms recently weighed in on DLB. Barrington Research reaffirmed an "outperform" rating and set a $100.00 price target on shares of Dolby Laboratories in a report on Friday, May 2nd. Tigress Financial raised their price target on Dolby Laboratories from $112.00 to $114.00 and gave the company a "buy" rating in a report on Friday, August 15th. Wall Street Zen cut Dolby Laboratories from a "buy" rating to a "hold" rating in a report on Saturday, August 9th. Finally, Rosenblatt Securities reaffirmed a "buy" rating and set a $95.00 price target on shares of Dolby Laboratories in a report on Friday, August 1st. Three research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, the company currently has an average rating of "Buy" and a consensus price target of $103.00.

Dolby Laboratories Trading Down 0.5%

Shares of DLB traded down $0.3670 during mid-day trading on Wednesday, hitting $73.4330. 511,476 shares of the company traded hands, compared to its average volume of 390,984. Dolby Laboratories has a one year low of $68.24 and a one year high of $89.66. The business has a 50-day moving average of $74.34 and a 200 day moving average of $76.80. The stock has a market capitalization of $7.04 billion, a price-to-earnings ratio of 26.90 and a beta of 0.91.

Dolby Laboratories (NYSE:DLB - Get Free Report) last released its earnings results on Thursday, July 31st. The electronics maker reported $0.78 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.72 by $0.06. Dolby Laboratories had a net margin of 19.62% and a return on equity of 11.52%. The company had revenue of $315.55 million for the quarter, compared to the consensus estimate of $305.23 million. During the same period in the prior year, the company posted $0.71 EPS. The company's revenue was up 9.2% compared to the same quarter last year. 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, 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. Shareholders of record on Tuesday, August 12th will be given a dividend of $0.33 per share. The ex-dividend date is 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 presently 48.35%.

Insider Transactions at Dolby Laboratories

In related news, CEO Kevin J. Yeaman sold 39,875 shares of the company's stock in a transaction dated Tuesday, July 15th. The stock was sold at an average price of $74.82, for a total value of $2,983,447.50. Following the completion of the sale, the chief executive officer owned 114,725 shares in the company, valued at approximately $8,583,724.50. This represents a 25.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, EVP Mark Andrew Sherman sold 15,000 shares of the company's 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 completion of the sale, the executive vice president owned 62,397 shares of the company's stock, valued at $4,681,022.94. This represents a 19.38% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 141,049 shares of company stock worth $10,521,141. Corporate insiders own 38.39% of the company's stock.

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.