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Dolby Laboratories (DLB)



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Upturn Advisory Summary
03/27/2025: DLB (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Analysis of Past Performance
Type Stock | Historic Profit -24.76% | Avg. Invested days 37 | Today’s Advisory WEAK BUY |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 7.83B USD | Price to earnings Ratio 30.08 | 1Y Target Price 100 |
Price to earnings Ratio 30.08 | 1Y Target Price 100 | ||
Volume (30-day avg) 533574 | Beta 1 | 52 Weeks Range 65.54 - 89.31 | Updated Date 04/2/2025 |
52 Weeks Range 65.54 - 89.31 | Updated Date 04/2/2025 | ||
Dividends yield (FY) 1.63% | Basic EPS (TTM) 2.7 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 19.97% | Operating Margin (TTM) 23.84% |
Management Effectiveness
Return on Assets (TTM) 5.69% | Return on Equity (TTM) 10.85% |
Valuation
Trailing PE 30.08 | Forward PE 20.04 | Enterprise Value 7294507717 | Price to Sales(TTM) 5.95 |
Enterprise Value 7294507717 | Price to Sales(TTM) 5.95 | ||
Enterprise Value to Revenue 5.55 | Enterprise Value to EBITDA 19.77 | Shares Outstanding 61206300 | Shares Floating 60496855 |
Shares Outstanding 61206300 | Shares Floating 60496855 | ||
Percent Insiders 1.37 | Percent Institutions 93.13 |
Analyst Ratings
Rating 4.67 | Target Price 100 | Buy 1 | Strong Buy 2 |
Buy 1 | Strong Buy 2 | ||
Hold - | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Dolby Laboratories

Company Overview
History and Background
Dolby Laboratories was founded in 1965 by Ray Dolby. Initially focused on noise reduction technology, it revolutionized audio recording. Key milestones include the introduction of Dolby Stereo in the 1970s and Dolby Digital in the 1990s, becoming a standard in cinema and home entertainment.
Core Business Areas
- Licensing: Licensing of Dolby technologies to manufacturers of consumer electronics, cinema, and broadcast equipment.
- Products and Services: Development and sale of audio and imaging products and services for cinema, broadcast, and consumer markets. This includes Dolby Cinema, Dolby Vision, and Dolby Atmos implementations
Leadership and Structure
Kevin Yeaman is the CEO of Dolby Laboratories. The company has a hierarchical structure with various departments focusing on research, engineering, marketing, and sales.
Top Products and Market Share
Key Offerings
- Dolby Atmos: An immersive audio technology used in cinemas, home theaters, and mobile devices. Market share difficult to pinpoint exactly, but widely adopted across various platforms. Competitors include DTS:X and Auro-3D.
- Dolby Vision: A high dynamic range (HDR) video technology that enhances picture quality. Market share growing rapidly as HDR becomes more prevalent. Competitors include HDR10+.
- Dolby Cinema: A premium cinema experience that combines Dolby Atmos and Dolby Vision technologies. Revenue from this is not publically available, but is a key focus for the company.
Market Dynamics
Industry Overview
The audio and visual technology industry is driven by advancements in digital media, increasing demand for immersive experiences, and the proliferation of streaming services. There's increased focus on higher resolution and better sound quality.
Positioning
Dolby is a well-established leader in audio and imaging technologies, with a strong brand reputation and extensive patent portfolio. Their competitive advantage lies in their innovative technology and widespread licensing agreements.
Total Addressable Market (TAM)
The TAM for immersive audio and visual technologies is estimated to be billions of dollars. Dolby is well-positioned to capture a significant share of this market through its licensing and product offerings.
Upturn SWOT Analysis
Strengths
- Strong brand recognition
- Extensive patent portfolio
- Established relationships with key industry players
- Leading position in audio and imaging technologies
Weaknesses
- Dependence on licensing revenue
- Exposure to piracy and counterfeiting
- Potential for disruptive technologies
Opportunities
- Growth in streaming services
- Expansion into new markets (e.g., VR/AR)
- Development of new audio and imaging technologies
Threats
- Increasing competition from other audio and visual technology companies
- Economic downturns that reduce consumer spending on entertainment
- Changes in industry standards and regulations
Competitors and Market Share
Key Competitors
- DTS
- Realtek
Competitive Landscape
Dolby Laboratories has a strong competitive advantage due to its brand recognition, patent portfolio, and established relationships with key industry players. However, it faces increasing competition from other audio and visual technology companies.
Major Acquisitions
Millicast
- Year: 2020
- Acquisition Price (USD millions): 100
- Strategic Rationale: Enhanced real-time streaming capabilities
Growth Trajectory and Initiatives
Historical Growth: Dolby Laboratories has experienced moderate growth in recent years, driven by the adoption of Dolby Atmos and Dolby Vision technologies.
Future Projections: Analysts expect Dolby Laboratories to continue to grow in the coming years, driven by the increasing demand for immersive entertainment experiences.
Recent Initiatives: Dolby Laboratories is focusing on expanding its presence in new markets, such as VR/AR, and developing new audio and imaging technologies.
Summary
Dolby Laboratories is a financially stable company with a strong brand and significant presence in the audio and imaging technology industry. They have consistent dividend payouts and long-term positive shareholder returns, despite facing increasing competition. To enhance long-term growth, Dolby should continue to innovate its technology and expand into emerging markets while mitigating the risks from piracy.
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Sources and Disclaimers
Data Sources:
- Company filings (SEC)
- Industry reports
- Analyst estimates
- Dolby Laboratories Investor Relations
Disclaimers:
This analysis is based on publicly available information and should not be considered financial advice. Market conditions can change rapidly, and past performance is not indicative of future results.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Dolby Laboratories
Exchange NYSE | Headquaters San Francisco, CA, United States | ||
IPO Launch date 2005-02-17 | President, CEO & Director Mr. Kevin J. Yeaman | ||
Sector Industrials | Industry Specialty Business Services | Full time employees 2080 | Website https://www.dolby.com |
Full time employees 2080 | Website https://www.dolby.com |
Dolby Laboratories, Inc. engages in the design and manufacture of audio, imaging, accessibility, and other hardware and software solutions primarily for application in the television, broadcast, and live entertainment industries in the United States and internationally. The company develops and licenses its audio technologies, such as AAC, HE-AAC, and extended HE-AAC, a digital audio codec solution; AVC, a digital video codec used in STBs, mobile devices, cameras, and broadcast television services and other products; and Dolby Atmos and Dolby Vision include encoding technologies that artists use to create more compelling and immersive audio and video experiences. Its audio technologies also include DD+, an advanced surround sound audio codec technology; Dolby AC-4, an audio codec that uses cutting edge compression; and HEVC, a next-generation digital video codec that compresses video. In addition, the company offers Dolby Cinemas, a premium large format cinemas that deliver a Dolby branded premium cinema offering with Dolby Vision, Dolby Atmos, and a Dolby theater design; Dolby.io, a next generation SaaS product of immersive, interactive, and social experiences with real-time engagement for live events, especially sports; and 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 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, and broadcasters. Dolby Laboratories, Inc. was founded in 1965 and is headquartered in San Francisco, California.
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