Dolby Laboratories (DLB) Stock Price, News & Analysis

Company Overview

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. Its audio technologies also include DD, a digital audio coding technology that provides multichannel sound to applications; DD+, a digital audio coding technology that offers audio transmission for a range of media applications and devices; Dolby TrueHD, a digital audio coding technology providing encoding for media application; Dolby Vision, an imaging technology for cinema and media devices; and HEVC, a digital video codec with high bandwidth efficiency for media devices. In addition, the company offers digital cinema servers, cinema processors, amplifiers, loudspeakers, and audio and imaging hardware and software products for the cinema, television, broadcast, communication, and entertainment industries. Further, it provides 3-D glasses and kits; and various services to support theatrical and television production for cinema exhibition, broadcast, and home entertainment. The company serves film studios, content creators, post-production facilities, cinema operators, broadcasters, and video game designers. It sells its products directly to the end users, as well as through dealers and distributors worldwide. Dolby Laboratories, Inc. was founded in 1965 and is headquartered in San Francisco, California.

Key Stats

• Today's Range: $75.36 to $76.17
• 50-Day Range: $66.75 to $78.76
• 52-Week Range: $66.35 to $90.06
• Volume: 266,122 shs
• Average Volume: 417,675 shs
• Market Capitalization: $7.27 billion
• P/E Ratio: 38.70
• Dividend Yield: 1.58%
• Price Target: $99.00
• Consensus Rating: Buy

Dolby Laboratories Stock Analysis - MarketRank™

Dolby Laboratories scored higher than 94% of companies evaluated by MarketBeat, and ranked 34th out of 305 stocks in the consumer discretionary sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.5 / 5
• Analyst Rating: Buy

Consensus Rating

Dolby Laboratories has received a consensus rating of Buy. The company's average rating score is 3.00, and is based on 2 buy ratings, no hold ratings, and no sell ratings.

Amount of Analyst Coverage

Dolby Laboratories has only been the subject of 1 research reports in the past 90 days.

Earnings and Valuation

• Score: 0.6 / 5
• Proj. Earnings Growth: -0.74%

Earnings Growth

Earnings for Dolby Laboratories are expected to decrease by -0.74% in the coming year, from $2.72 to $2.70 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Dolby Laboratories is 38.70, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 123.51.

Price to Earnings Ratio vs. Sector

The P/E ratio of Dolby Laboratories is 38.70, which means that it is trading at a more expensive P/E ratio than the Consumer Discretionary sector average P/E ratio of about 16.13.

Price to Book Value per Share Ratio

Dolby Laboratories has a P/B Ratio of 3.05. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.36% of the float of Dolby Laboratories has been sold short.

Short Interest Ratio / Days to Cover

Dolby Laboratories has a short interest ratio ("days to cover") of 1.6, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Dolby Laboratories has recently increased by 20.85%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

Dolby Laboratories pays a meaningful dividend of 1.58%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Dolby Laboratories does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Dolby Laboratories is 61.22%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Dolby Laboratories will have a dividend payout ratio of 44.44% next year. This indicates that Dolby Laboratories will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 3.5 / 5
• Environmental Score: -0.42

Percentage of Shares Shorted

1.36% of the float of Dolby Laboratories has been sold short.

Short Interest Ratio / Days to Cover

Dolby Laboratories has a short interest ratio ("days to cover") of 1.6, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Dolby Laboratories has recently increased by 20.85%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 3.2 / 5
• News Sentiment: 0.78

News Sentiment

Dolby Laboratories has a news sentiment score of 0.78. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.63 average news sentiment score of Consumer Discretionary companies.

News Coverage This Week

MarketBeat has tracked 9 news articles for Dolby Laboratories this week, compared to 4 articles on an average week.

MarketBeat Follows

1 people have added Dolby Laboratories to their MarketBeat watchlist in the last 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Dolby Laboratories insiders have not sold or bought any company stock.

Percentage Held by Insiders

39.54% of the stock of Dolby Laboratories is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

58.56% of the stock of Dolby Laboratories is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

DLB Stock Analysis - Frequently Asked Questions

How have DLB shares performed this year?

Dolby Laboratories' stock was trading at $86.18 at the start of the year. Since then, DLB stock has decreased by 12.0% and is now trading at $75.8450.
View the best growth stocks for 2024 here.

How were Dolby Laboratories' earnings last quarter?

Dolby Laboratories, Inc. (NYSE:DLB) posted its quarterly earnings results on Wednesday, August, 7th. The electronics maker reported $0.47 earnings per share for the quarter, topping analysts' consensus estimates of $0.33 by $0.14. The electronics maker earned $288.82 million during the quarter, compared to the consensus estimate of $286.26 million. Dolby Laboratories had a net margin of 16.87% and a trailing twelve-month return on equity of 10.66%.

How will Dolby Laboratories' stock buyback program work?

Dolby Laboratories' board initiated a share repurchase program on Wednesday, August 7th 2024, which permits the company to repurchase $350,000,000 in outstanding shares, according to EventVestor. This means that the company could buy up to 5% of its shares through open market purchases. Shares buyback programs are often a sign that the company's board of directors believes its shares are undervalued.

Does Dolby Laboratories have any subsidiaries?

Dolby Laboratories subsidiaries include Voxeet, Doremi Labs, Step Labs, Coding Technologies, Dolby International AB, and Dolby Laboratories Licensing Corporation.

How do I buy shares of Dolby Laboratories?

Shares of DLB stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Dolby Laboratories own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Dolby Laboratories investors own include InterDigital (IDCC), Energy Transfer (ET), Advanced Micro Devices (AMD), AbbVie (ABBV), Abbott Laboratories (ABT), Bank of Hawaii (BOH) and Mastercard (MA).

Company Calendar

• Last Earnings: 8/07/2024
• Ex-Dividend for 8/27 Dividend: 8/19/2024
• Dividend Payable: 8/27/2024
• Today: 10/01/2024
• Next Earnings (Estimated): 11/21/2024
• Fiscal Year End: 9/30/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Consumer Discretionary
• Industry: Patent owners & lessors
• Sub-Industry: Electronic Components
• Current Symbol: NYSE:DLB
• CUSIP: 25659T10
• CIK: 1308547
• Web: www.dolby.com
• Phone: (415) 558-0200
• Fax: 415-645-4000
• Employees: 2,246
• Year Founded: 1965

Price Target and Rating

• Average Stock Price Target: $99.00
• High Stock Price Target: $100.00
• Low Stock Price Target: $98.00
• Potential Upside/Downside: +30.5%
• Consensus Rating: Buy
• Rating Score (0-4): 3.00
• Research Coverage: 2 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $1.96
• Trailing P/E Ratio: 38.70
• Forward P/E Ratio: 27.88
• P/E Growth: N/A
• Net Income: $200.66 million
• Net Margins: 16.87%
• Pretax Margin: 20.78%
• Return on Equity: 10.66%
• Return on Assets: 8.59%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 4.14
• Quick Ratio: 4.04

Sales & Book Value

• Annual Sales: $1.26 billion
• Price / Sales: 5.77
• Cash Flow: $3.82 per share
• Price / Cash Flow: 19.88
• Book Value: $24.90 per share
• Price / Book: 3.05

Miscellaneous

• Outstanding Shares: 95,835,000
• Free Float: 57,942,000
• Market Cap: $7.27 billion
• Optionable: Optionable
• Beta: 0.97