American Century Companies Inc. Buys 20,272 Shares of Dolby Laboratories $DLB

Key Points

• American Century Companies Inc. increased its stake in Dolby Laboratories by 93.9% in Q1, acquiring an additional 20,272 shares for a total of $3,362,000.
• CEO Kevin J. Yeaman sold 25,000 shares of Dolby stock for approximately $1.8 million, reflecting a 17.89% decrease in his ownership.
• Dolby Laboratories announced a quarterly dividend of $0.33 per share, with a dividend yield of 1.8% and plans for FY 2025 guidance at $3.880-4.030 EPS.

American Century Companies Inc. grew its position in shares of Dolby Laboratories (NYSE:DLB - Free Report) by 93.9% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 41,860 shares of the electronics maker's stock after purchasing an additional 20,272 shares during the period. American Century Companies Inc.'s holdings in Dolby Laboratories were worth $3,362,000 at the end of the most recent quarter.

Other hedge funds have also recently made changes to their positions in the company. Bank of New York Mellon Corp grew its position in Dolby Laboratories by 18.3% in the first quarter. Bank of New York Mellon Corp now owns 5,709,193 shares of the electronics maker's stock worth $458,505,000 after acquiring an additional 882,716 shares in the last quarter. Vanguard Group Inc. grew its position in Dolby Laboratories by 7.1% in the first quarter. Vanguard Group Inc. now owns 7,535,722 shares of the electronics maker's stock worth $605,194,000 after acquiring an additional 502,110 shares in the last quarter. Alyeska Investment Group L.P. purchased a new position in Dolby Laboratories in the fourth quarter worth $27,314,000. Frontier Capital Management Co. LLC purchased a new position in Dolby Laboratories in the fourth quarter worth $24,323,000. Finally, Nuveen LLC purchased a new position in Dolby Laboratories in the first quarter worth $16,890,000. 58.56% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In related news, SVP Shriram Revankar sold 7,000 shares of the stock in a transaction dated Friday, August 22nd. The shares were 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 directly owned 70,435 shares of the company's stock, valued at $5,276,990.20. This represents a 9.04% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Kevin J. Yeaman sold 39,875 shares of the stock in a transaction dated Tuesday, July 15th. The stock was sold at an average price of $74.82, for a total transaction of $2,983,447.50. Following the completion of the transaction, the chief executive officer directly owned 114,725 shares of the company's stock, valued at approximately $8,583,724.50. The trade was a 25.79% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 133,049 shares of company stock valued at $9,920,281. Insiders own 38.39% of the company's stock.

Analysts Set New Price Targets

Several research analysts recently issued reports on the stock. Rosenblatt Securities reiterated a "buy" rating and issued a $95.00 target price on shares of Dolby Laboratories in a research report on Friday, August 1st. Wall Street Zen upgraded shares of Dolby Laboratories from a "hold" rating to a "buy" rating in a research report on Saturday, August 30th. Finally, Tigress Financial upped their price target on shares of Dolby Laboratories from $112.00 to $114.00 and gave the company a "buy" rating in a research report on Friday, August 15th. Three equities research analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Dolby Laboratories has a consensus rating of "Buy" and an average target price of $103.00.

Dolby Laboratories Stock Up 0.4%

Shares of NYSE:DLB traded up $0.28 during midday trading on Thursday, hitting $72.64. 95,340 shares of the stock traded hands, compared to its average volume of 431,956. The stock has a market capitalization of $6.96 billion, a PE ratio of 26.61 and a beta of 0.93. The business's 50 day moving average is $74.14 and its two-hundred day moving average is $76.03. Dolby Laboratories has a one year low of $68.24 and a one year high of $89.66.

Dolby Laboratories (NYSE:DLB - Get Free Report) last issued its quarterly earnings data on Thursday, July 31st. The electronics maker reported $0.78 EPS for the quarter, beating the consensus estimate of $0.72 by $0.06. The firm had revenue of $315.55 million during the quarter, compared to the consensus estimate of $305.23 million. Dolby Laboratories had a net margin of 19.62% and a return on equity of 11.52%. The company's quarterly revenue was up 9.2% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.71 earnings per share. 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, sell-side analysts forecast that Dolby Laboratories will post 2.94 earnings per share for the current year.

Dolby Laboratories Announces Dividend

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

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.