Insider Selling: Dolby Laboratories (NYSE:DLB) CEO Sells 25,000 Shares of Stock

Key Points

• Kevin Yeaman, CEO of Dolby Laboratories, sold 25,000 shares at an average price of $68.87, resulting in a total transaction value of $1,721,750 and a 17.89% decrease in his ownership.
• Dolby Laboratories reported $0.78 earnings per share for the recent quarter, exceeding analysts' expectations and showing a 9.2% year-over-year revenue growth.
• The company declared a quarterly dividend of $0.33 per share, representing a 1.9% yield, with an annual payout of $1.32 per share.

Dolby Laboratories (NYSE:DLB - Get Free Report) CEO Kevin Yeaman sold 25,000 shares of the company's stock in a transaction dated Tuesday, October 14th. The stock was sold at an average price of $68.87, for a total value of $1,721,750.00. Following the completion of the transaction, the chief executive officer owned 114,725 shares in the company, valued at $7,901,110.75. This represents a 17.89% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link.

Dolby Laboratories Trading Down 0.9%

Shares of DLB traded down $0.62 during trading hours on Thursday, reaching $68.18. 394,029 shares of the company's stock traded hands, compared to its average volume of 548,666. Dolby Laboratories has a 12 month low of $67.54 and a 12 month high of $89.66. The stock has a market cap of $6.53 billion, a PE ratio of 24.97 and a beta of 0.92. The firm's 50 day simple moving average is $71.93 and its 200-day simple moving average is $73.79.

Dolby Laboratories (NYSE:DLB - Get Free Report) last announced its earnings results on Thursday, July 31st. The electronics maker reported $0.78 earnings per share for the quarter, beating analysts' consensus estimates of $0.72 by $0.06. The business had revenue of $315.55 million for 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%. Dolby Laboratories's quarterly revenue was up 9.2% on a year-over-year basis. During the same period last 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, analysts expect that Dolby Laboratories will post 2.94 earnings per share for the current fiscal year.

Dolby Laboratories Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, August 20th. Shareholders of record on Tuesday, August 12th were given a dividend of $0.33 per share. The ex-dividend date was Tuesday, August 12th. This represents a $1.32 dividend on an annualized basis and a yield of 1.9%. Dolby Laboratories's dividend payout ratio (DPR) is presently 48.35%.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Wall Street Zen upgraded Dolby Laboratories from a "hold" rating to a "buy" rating in a report on Saturday, August 30th. Weiss Ratings reiterated a "hold (c)" rating on shares of Dolby Laboratories in a research report on Wednesday, October 8th. Barrington Research restated an "outperform" rating and issued a $100.00 price objective on shares of Dolby Laboratories in a report on Friday, September 12th. Tigress Financial increased their target price on shares of Dolby Laboratories from $112.00 to $114.00 and gave the company a "buy" rating in a report on Friday, August 15th. Finally, Baird R W upgraded shares of Dolby Laboratories to a "hold" rating in a research report on Friday, September 5th. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, Dolby Laboratories currently has a consensus rating of "Moderate Buy" and an average price target of $95.75.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Wealth Enhancement Advisory Services LLC raised its holdings in Dolby Laboratories by 114.6% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 12,141 shares of the electronics maker's stock valued at $975,000 after buying an additional 6,484 shares during the last quarter. Vanguard Group Inc. increased its position in shares of Dolby Laboratories by 7.1% in the first quarter. Vanguard Group Inc. now owns 7,535,722 shares of the electronics maker's stock valued at $605,194,000 after acquiring an additional 502,110 shares during the period. Fiera Capital Corp raised its stake in shares of Dolby Laboratories by 19.0% during the first quarter. Fiera Capital Corp now owns 639,404 shares of the electronics maker's stock valued at $51,351,000 after acquiring an additional 102,028 shares during the last quarter. Principal Financial Group Inc. boosted its holdings in shares of Dolby Laboratories by 3.0% during the first quarter. Principal Financial Group Inc. now owns 140,806 shares of the electronics maker's stock worth $11,308,000 after purchasing an additional 4,121 shares during the period. Finally, Lecap Asset Management Ltd. purchased a new stake in shares of Dolby Laboratories during the first quarter worth about $502,000. Institutional investors own 58.56% 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.

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