Skip to main content

Dolby Laboratories (DLB) Stock Analysis

Recovery setup

Buy WaitVALUE-TRAP 1/5Moderate Confidence

Industrials · Specialty Business Services

Earnings in 0 days (2026-04-30). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Wait for pullback to $62.78. At $63.55 the A.R:R is 1.4:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $62.78 (Ma50 Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Thin upside margin: 8.4%; Leverage penalty (D/E 1.6): -1.0.

Dolby Laboratories licenses audio and video technology (Dolby Atmos, Dolby Vision, codecs) to ~1,000 device manufacturers representing 93% of fiscal 2025 revenue, and sells cinema products to exhibitors. Revenue protected by 28,400+ issued patents enabling entertainment... Read more

$63.55+10.0% A.UpsideScore 5.8/10#3 of 21 Specialty Business Services
Entry $62.78(Ma50 Sticky)Stop $60.05Target $68.85(analyst − 15%)A.R:R 1.4:1Setup A.R:R 2.3:1
Analyst target$81.00+27.5%3 analysts
$68.85our TP
$63.55price
$81.00mean
$90

Wait for pullback to $62.78. At $63.55 the A.R:R is 1.4:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $62.78 (Ma50 Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Thin upside margin: 8.4%; Leverage penalty (D/E 1.6): -1.0. Chart setup: Death cross but MACD improving, RSI 66. Earnings in 0 days. Wait until post-earnings. Score 5.8/10, moderate confidence.

Passes 3/7 gates (clean insider activity, no SEC red flags, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and death cross (50MA < 200MA) and earnings proximity 0d<=7d. Suitability: moderate.

Thesis

Rewards
No bull case signals
Risks
Thin upside margin: 8.4%
Leverage penalty (D/E 1.6): -1.0

Key Metrics

P/E (TTM)25.6
P/E (Fwd)13.7
Mkt Cap$6.0B
EV/EBITDA15.3
Profit Mgn18.0%
ROE9.5%
Rev Growth-2.9%
Beta0.86
Dividend2.18%
Rating analysts11

Quality Signals

Piotroski F7/9

Options Flow

P/C0.16bullish
IV54%elevated

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomersmall number of key licensees
    10-K Item 1A: 'A small number of our licensees or other customers may represent a significant percentage of our Licensing, Products, or Services revenue'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

1 floor-breaker

Momentum below the gate floor. Component breakdown shows what dragged the score down.static

Volume
0.0
Obv
1.0
Rsi
3.4
Ma Position
6.0
Macd
7.2
Volume distribution (falling OBV)Below 200-MA, MA slope -2.6%/30d — confirmed downtrend
GatesMomentum 3.5<4.5A.R:R 1.4 < 1.5@spotDeath cross (50MA < 200MA)EARNINGS PROXIMITY 0d<=7dInsider activity: OKNo SEC red flagsSEMI CYCLE PEAK CLEARRecoverySuitability: Moderate
RSI
66 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $59.65Resistance $65.65

Price Targets

$60
$63
$69
A.Upside+8.3%
A.R:R1.4:1
Setup A.R:R (at entry)2.3:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeCautious

Risk Alerts

! Earnings in 0 days - binary event risk
! Momentum score 3.5/10 — below 4.5 minimum
! Reward/Risk 1.4:1 at current price — below 1.5:1 minimum

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-04-30 (0d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is DLB stock a buy right now?

Wait for pullback to $62.78. At $63.55 the A.R:R is 1.4:1 — below the 1.5:1 minimum for BUY_NOW. Engine's entry $62.78 (Ma50 Sticky) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Thin upside margin: 8.4%; Leverage penalty (D/E 1.6): -1.0. Chart setup: Death cross but MACD improving, RSI 66. Earnings in 0 days. Wait until post-earnings. Target $68.85 (+8.3%), stop $60.05 (−5.8%), Setup A.R:R 2.3:1. Score 5.8/10, moderate confidence.

What is the DLB stock price target?

Take-profit target: $68.85 (+10.0% upside). Target $68.85 (+8.3%), stop $60.05 (−5.8%), Setup A.R:R 2.3:1. Stop-loss: $60.05.

What are the risks of investing in DLB?

Thin upside margin: 8.4%; Leverage penalty (D/E 1.6): -1.0.

Is DLB overvalued or undervalued?

Dolby Laboratories trades at a P/E of 25.6 (forward 13.7). TrendMatrix value score: 6.9/10. Verdict: Buy (Wait for Entry).

What do analysts say about DLB?

11 analysts cover DLB with a consensus score of 4.0/5. Average price target: $81.

What does Dolby Laboratories do?Dolby Laboratories licenses audio and video technology (Dolby Atmos, Dolby Vision, codecs) to ~1,000 device...

Dolby Laboratories licenses audio and video technology (Dolby Atmos, Dolby Vision, codecs) to ~1,000 device manufacturers representing 93% of fiscal 2025 revenue, and sells cinema products to exhibitors. Revenue protected by 28,400+ issued patents enabling entertainment experiences across TVs, PCs, mobile devices, gaming, and streaming.

Related stocks: CBZ (CBIZ, Inc.) · FA (First Advantage Corporation) · MMS (Maximus, Inc.) · CMPR (Cimpress PLC) · ABM (ABM Industries Incorporated)