Dolby Laboratories (NYSE:DLB) Stock Price Crosses Above Two Hundred Day Moving Average - Here's What Happened

Key Points

• Dolby Laboratories shares rose above their 200-day moving average, reaching $59.66 and last trading near $59.05, compared with a 200-day average of $57.64.
• Analysts maintain a generally positive outlook, with a consensus rating of “Moderate Buy” and an average price target of $87.50; individual targets range from $85 to $90.
• The company reported quarterly EPS of $0.69, beating estimates, while revenue fell 3.3% year over year. Dolby also announced a $350 million share-repurchase authorization and a quarterly dividend of $0.36 per share.

Dolby Laboratories (NYSE:DLB - Get Free Report) shares passed above its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of $57.64 and traded as high as $59.66. Dolby Laboratories shares last traded at $59.0490, with a volume of 792,128 shares changing hands.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on the stock. Weiss Ratings raised shares of Dolby Laboratories from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Wednesday, September 9th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $85.00 price objective on shares of Dolby Laboratories in a research report on Friday, August 28th. Wall Street Zen lowered shares of Dolby Laboratories from a "buy" rating to a "hold" rating in a research note on Saturday, August 1st. Finally, Barrington Research reiterated an "outperform" rating and set a $90.00 target price 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 issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $87.50.

Dolby Laboratories Trading Up 0.5%

The company has a 50 day simple moving average of $60.18 and a 200 day simple moving average of $57.64. The stock has a market cap of $5.53 billion, a P/E ratio of 25.13 and a beta of 0.78.

Dolby Laboratories (NYSE:DLB - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The electronics maker reported $0.69 earnings per share for the quarter, topping 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 last year, the business earned $0.78 EPS. The business's quarterly revenue was down 3.3% on a year-over-year basis. 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. As a group, sell-side analysts expect that Dolby Laboratories will post 3.23 earnings per share for the current year.

Dolby Laboratories Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Investors of record on Tuesday, August 11th were given a $0.36 dividend. The ex-dividend date of this dividend was Tuesday, August 11th. This represents a $1.44 dividend on an annualized basis and a yield of 2.4%. Dolby Laboratories's dividend payout ratio (DPR) is 61.28%.

Dolby Laboratories announced that its Board of Directors has initiated a stock repurchase plan on Thursday, July 30th that allows the company to repurchase $350.00 million in outstanding shares. This repurchase authorization allows the electronics maker to repurchase up to 7% of its stock through open market purchases. Stock repurchase plans are often a sign that the company's management believes its shares are undervalued.

Insiders Place Their Bets

In other Dolby Laboratories news, SVP Shriram Revankar sold 3,000 shares of the business's stock in a transaction dated 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 directly owned 73,274 shares of the company's stock, valued at $4,595,012.54. The trade was a 3.93% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CAO Ryan Nicholson sold 1,183 shares of the stock in a transaction dated Tuesday, August 25th. The stock was sold at an average price of $65.28, for a total transaction of $77,226.24. Following the transaction, the chief accounting officer owned 34,453 shares of the company's stock, valued at approximately $2,249,091.84. This represents a 3.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 21,222 shares of company stock valued at $1,298,721 in the last three months. 37.93% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of DLB. Paragon Capital Management Inc. bought a new stake in shares of Dolby Laboratories during the 1st quarter worth approximately $1,306,000. Hsbc Holdings PLC grew its stake in shares of Dolby Laboratories by 396.1% in the first quarter. Hsbc Holdings PLC now owns 31,259 shares of the electronics maker's stock valued at $1,875,000 after buying an additional 24,958 shares in the last quarter. Pacer Advisors Inc. increased its holdings in Dolby Laboratories by 8.0% during the first quarter. Pacer Advisors Inc. now owns 516,292 shares of the electronics maker's stock worth $31,008,000 after buying an additional 38,389 shares during the last quarter. Norges Bank acquired a new position in Dolby Laboratories during the fourth quarter worth $54,966,000. Finally, Entropy Technologies LP bought a new stake in Dolby Laboratories during the first quarter worth $1,674,000. 58.56% of the stock is owned by institutional investors and hedge funds.

Dolby Laboratories Company Profile

Dolby Laboratories, Inc develops audio and imaging technologies for entertainment and communications. The company's products and intellectual property are used in cinemas, televisions, mobile devices, personal computers, streaming platforms, gaming systems and automobiles to improve sound quality, picture quality and overall viewing experiences.

Dolby's technology portfolio includes Dolby Atmos immersive audio, Dolby Vision high-dynamic-range imaging, and Dolby Digital and Dolby AC-4 audio formats.

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