Dolby Laboratories (NYSE:DLB) Stock Rating Lowered by Zacks Research

by · The Cerbat Gem

Dolby Laboratories (NYSE:DLB – Get Free Report) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued to investors on Thursday, Zacks reports.

DLB has been the subject of a number of other research reports. Weiss Ratings raised Dolby Laboratories from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, September 9th. Rosenblatt Securities reissued a “buy” rating and issued a $85.00 price objective on shares of Dolby Laboratories in a report on Friday, August 28th. Finally, Wall Street Zen lowered Dolby Laboratories from a “buy” rating to a “hold” rating in a report on Saturday, August 1st. Two equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $87.50.

View Our Latest Stock Analysis on DLB

Dolby Laboratories Stock Performance

DLB stock traded down $0.83 on Thursday, hitting $60.00. 512,709 shares of the company’s stock were exchanged, compared to its average volume of 841,600. Dolby Laboratories has a 12-month low of $48.26 and a 12-month high of $69.95. The firm has a 50 day moving average price of $60.72 and a two-hundred day moving average price of $57.58. The stock has a market cap of $5.62 billion, a P/E ratio of 25.53 and a beta of 0.78.

Dolby Laboratories (NYSE:DLB – Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The electronics maker reported $0.69 EPS for the quarter, beating analysts’ consensus estimates of $0.67 by $0.02. The company had revenue of $305.00 million during the quarter, compared to analysts’ expectations of $311.96 million. Dolby Laboratories had a return on equity of 11.08% and a net margin of 16.70%. The firm’s 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. Sell-side analysts expect that Dolby Laboratories will post 3.23 earnings per share for the current fiscal year.

Dolby Laboratories declared that its Board of Directors has authorized a stock buyback 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 buy up to 7% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

Insider Activity at Dolby Laboratories

In other Dolby Laboratories news, SVP John D. Couling sold 7,667 shares of the firm’s stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $60.00, for a total value of $460,020.00. Following the sale, the senior vice president directly owned 118,727 shares of the company’s stock, valued at approximately $7,123,620. This trade 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 is accessible through this hyperlink. Also, SVP Shriram Revankar sold 3,000 shares of the firm’s stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $62.71, for a total value of $188,130.00. Following the completion of the sale, the senior vice president directly owned 73,274 shares in the company, valued at approximately $4,595,012.54. The trade was a 3.93% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 28,889 shares of company stock worth $1,749,388 in the last 90 days. Corporate insiders own 37.93% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Paragon Capital Management Inc. acquired a new position in Dolby Laboratories during the first quarter worth $1,306,000. Hsbc Holdings PLC grew its position 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 purchasing an additional 24,958 shares during the period. Pacer Advisors Inc. increased its stake in shares of 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 purchasing an additional 38,389 shares in the last quarter. Entropy Technologies LP purchased a new stake in shares of Dolby Laboratories during the first quarter worth about $1,674,000. Finally, Wellington Management Group LLP increased its stake in shares of Dolby Laboratories by 19.4% during the second quarter. Wellington Management Group LLP now owns 320,156 shares of the electronics maker’s stock worth $16,834,000 after purchasing an additional 52,053 shares in the last quarter. 58.56% of the stock is owned by institutional investors and hedge funds.

About Dolby Laboratories

(Get Free Report)

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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