AXQ Capital LP Invests $1.58 Million in Dolby Laboratories $DLB

Key Points

• AXQ Capital LP acquired 30,109 Dolby Laboratories shares in the second quarter, valued at approximately $1.58 million. Institutional investors collectively own 58.56% of the company.
• Dolby reported quarterly EPS of $0.69, exceeding estimates by $0.02, although revenue fell 3.3% year over year to $305 million. The company also authorized a $350 million stock-repurchase program and maintains a $0.36 quarterly dividend.
• Analyst sentiment remains mixed: Dolby has an average “Hold” rating and an $87.50 target price, while recent insider activity has been weighted toward selling, with executives selling 28,889 shares over the past quarter.

AXQ Capital LP acquired a new stake in Dolby Laboratories (NYSE:DLB - Free Report) in the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm acquired 30,109 shares of the electronics maker's stock, valued at approximately $1,583,000.

Several other hedge funds also recently bought and sold shares of the company. Fifth Third Bancorp grew its position in shares of Dolby Laboratories by 34.7% during the 4th quarter. Fifth Third Bancorp now owns 746 shares of the electronics maker's stock valued at $48,000 after purchasing an additional 192 shares in the last quarter. Aquatic Capital Management LLC bought a new position in Dolby Laboratories in the 3rd quarter worth about $56,000. iSAM Funds UK Ltd purchased a new stake in shares of Dolby Laboratories in the 3rd quarter valued at about $68,000. Quarry LP raised its holdings in shares of Dolby Laboratories by 1,486.7% in the 4th quarter. Quarry LP now owns 1,190 shares of the electronics maker's stock valued at $76,000 after acquiring an additional 1,115 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd boosted its position in shares of Dolby Laboratories by 73,900.0% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 1,480 shares of the electronics maker's stock valued at $95,000 after acquiring an additional 1,478 shares during the last quarter. Hedge funds and other institutional investors own 58.56% of the company's stock.

Dolby Laboratories Stock Down 0.2%

NYSE:DLB opened at $61.81 on Friday. Dolby Laboratories has a twelve month low of $48.26 and a twelve month high of $73.78. The stock has a market cap of $5.79 billion, a P/E ratio of 26.30 and a beta of 0.80. The firm's fifty day simple moving average is $56.58 and its 200 day simple moving average is $58.33.

Dolby Laboratories (NYSE:DLB - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The electronics maker reported $0.69 EPS for the quarter, topping the consensus estimate of $0.67 by $0.02. The business had revenue of $305.00 million during the quarter, compared to analyst estimates of $311.96 million. Dolby Laboratories had a net margin of 16.70% and a return on equity of 11.08%. Dolby Laboratories's quarterly revenue was down 3.3% compared to the same quarter last year. During the same period last year, the business posted $0.78 earnings per share. 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. On average, analysts expect that Dolby Laboratories will post 3.23 EPS for the current fiscal year.

Dolby Laboratories Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 19th. Investors of record on Tuesday, August 11th were given a dividend of $0.36 per share. This represents a $1.44 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date of this dividend was Tuesday, August 11th. Dolby Laboratories's dividend payout ratio (DPR) is 61.28%.

Dolby Laboratories declared that its board has initiated a stock repurchase program on Thursday, July 30th that authorizes the company to repurchase $350.00 million in shares. This repurchase authorization authorizes the electronics maker to buy up to 7% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company's board of directors believes its shares are undervalued.

Analyst Ratings Changes

Several research analysts recently weighed in on the stock. Weiss Ratings cut shares of Dolby Laboratories from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Thursday, August 13th. Rosenblatt Securities reiterated a "buy" rating and set a $85.00 target price on shares of Dolby Laboratories in a research report on Friday, August 28th. Wall Street Zen cut shares of Dolby Laboratories from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Finally, Barrington Research reissued an "outperform" rating and issued a $90.00 price target on shares of Dolby Laboratories in a report on Monday, June 15th. Two research analysts have rated the stock with a Buy rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, Dolby Laboratories currently has an average rating of "Hold" and an average target price of $87.50.

Insider Buying and Selling

In other Dolby Laboratories news, SVP John Couling sold 7,667 shares of the company's stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $61.05, for a total value of $468,070.35. Following the sale, the senior vice president owned 118,727 shares in the company, valued at approximately $7,248,283.35. This represents a 6.07% 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, CAO Ryan Nicholson sold 1,183 shares of the firm's stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $65.28, for a total transaction of $77,226.24. Following the transaction, the chief accounting officer directly owned 34,453 shares of the company's stock, valued at $2,249,091.84. This represents a 3.32% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 28,889 shares of company stock valued at $1,706,606 over the last quarter. Corporate insiders own 37.93% of the company's stock.

Dolby Laboratories 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.

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