Dolby Laboratories Valuation

DLB Stock  USD 67.45  0.45  0.67%   
At this time, the firm appears to be undervalued. Dolby Laboratories shows a prevailing Real Value of $79.33 per share. The current price of the firm is $67.45. Our model computes the value of Dolby Laboratories from reviewing the firm fundamentals such as Shares Outstanding of 60.85 M, profit margin of 0.19 %, and Current Valuation of 5.74 B as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Dolby Laboratories' valuation include:
Price Book
2.4399
Enterprise Value
5.7 B
Enterprise Value Ebitda
15.1499
Price Sales
4.7917
Forward PE
15.9236
Undervalued
Today
67.45
Please note that Dolby Laboratories' price fluctuation is very steady at this time. Calculation of the real value of Dolby Laboratories is based on 3 months time horizon. Increasing Dolby Laboratories' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Dolby Laboratories is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Dolby Stock. However, Dolby Laboratories' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  67.45 Real  79.33 Target  90.5 Hype  67.34
The real value of Dolby Stock, also known as its intrinsic value, is the underlying worth of Dolby Laboratories Company, which is reflected in its stock price. It is based on Dolby Laboratories' financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Dolby Laboratories' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
79.33
Real Value
80.59
Upside
Estimating the potential upside or downside of Dolby Laboratories helps investors to forecast how Dolby stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Dolby Laboratories more accurately as focusing exclusively on Dolby Laboratories' fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
1.311.371.42
Details
Hype
Prediction
LowEstimatedHigh
66.0867.3468.60
Details
4 Analysts
Consensus
LowTarget PriceHigh
82.3690.50100.46
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Dolby Laboratories' intrinsic value based on its ongoing forecasts of Dolby Laboratories' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Dolby Laboratories' closest peers. If more than one evaluation category is relevant for Dolby Laboratories we suggest using both methods to arrive at a better estimate.

Dolby Laboratories Cash

528.48 Million

Dolby Revenue by Product

Dolby Laboratories Total Value Analysis

Dolby Laboratories is currently expected to have company total value of 5.74 B with market capitalization of 6.46 B, debt of 38.88 M, and cash on hands of 482.05 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Dolby Laboratories fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
5.74 B
6.46 B
38.88 M
482.05 M

Dolby Laboratories Investor Information

About 98.0% of the company shares are held by institutions such as insurance companies. The book value of Dolby Laboratories was currently reported as 27.47. The company has Price/Earnings To Growth (PEG) ratio of 2.08. Dolby Laboratories last dividend was issued on the 2nd of December 2025. Based on the key indicators related to Dolby Laboratories' liquidity, profitability, solvency, and operating efficiency, Dolby Laboratories is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.210.2075
Fairly Up
Slightly volatile
Total Cash From Operating Activities322.6 M472.2 M
Way Down
Very volatile
Operating Income249.7 M265 M
Notably Down
Very volatile

Dolby Laboratories Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Dolby Laboratories has an asset utilization ratio of 41.8 percent. This suggests that the Company is making $0.42 for each dollar of assets. An increasing asset utilization means that Dolby Laboratories is more efficient with each dollar of assets it utilizes for everyday operations.
 
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Dolby Laboratories Ownership Allocation

Dolby Laboratories holds a total of 60.85 Million outstanding shares. The majority of Dolby Laboratories outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Dolby Laboratories to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Dolby Laboratories. Please pay attention to any change in the institutional holdings of Dolby Laboratories as this could imply that something significant has changed or is about to change at the company. Please note that on October 23, 2025, Representative Lisa McClain of US Congress acquired under $15k worth of Dolby Laboratories's common stock.

Dolby Laboratories Profitability Analysis

The company reported the last year's revenue of 1.35 B. Total Income to common stockholders was 256.49 M with profit before taxes, overhead, and interest of 1.19 B.

Dolby Laboratories Past Distributions to stockholders

Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Dolby Laboratories' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Dolby Laboratories and how it compares across the competition.

About Dolby Laboratories Valuation

The stock valuation mechanism determines Dolby Laboratories' current worth on a weekly basis. Our valuation model uses a comparative analysis of Dolby Laboratories. We calculate exposure to Dolby Laboratories's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Dolby Laboratories's related companies.
Last ReportedProjected for Next Year
Gross Profit1.2 B805 M
Pretax Profit Margin 0.22  0.25 
Operating Profit Margin 0.21  0.21 
Net Profit Margin 0.19  0.21 
Gross Profit Margin 0.88  0.89 

Dolby Laboratories Quarterly Retained Earnings

2.63 Billion

Dolby Laboratories' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Dolby Laboratories' value is low or high relative to the company's performance and growth projections. Determining the market value of Dolby Laboratories can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Dolby Laboratories represents a small ownership stake in the entity. As a stockholder of Dolby, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Dolby Laboratories Dividends Analysis For Valuation

The current year's Dividends Paid is expected to grow to about (120.3 M). In addition to that, Dividend Yield is expected to decline to 0.02. At present, Dolby Laboratories' Price Earnings Ratio is projected to increase slightly based on the last few years of reporting. The current year's Price Earnings To Growth Ratio is expected to grow to 0.32, whereas Retained Earnings are forecasted to decline to about 1.7 B.
Last ReportedProjected for Next Year
Dividends Paid-126.6 M-120.3 M
Dividend Yield 0.02  0.02 
Dividend Payout Ratio 0.50  0.44 
Dividend Paid And Capex Coverage Ratio 2.60  2.47 
There are various types of dividends Dolby Laboratories can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Dolby shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Dolby Laboratories directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Dolby pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Dolby Laboratories by the value of the dividends paid out.

Dolby Laboratories Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding97.5 M
Quarterly Earnings Growth Y O Y-0.15
Forward Price Earnings15.9236

Dolby Laboratories Current Valuation Indicators

Valuation refers to the process of determining the present value of Dolby Laboratories and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Dolby we look at many different elements of the entity such as Dolby's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Dolby Laboratories, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Dolby Laboratories' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Dolby Laboratories' worth.

Complementary Tools for Dolby Stock analysis

When running Dolby Laboratories' price analysis, check to measure Dolby Laboratories' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dolby Laboratories is operating at the current time. Most of Dolby Laboratories' value examination focuses on studying past and present price action to predict the probability of Dolby Laboratories' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dolby Laboratories' price. Additionally, you may evaluate how the addition of Dolby Laboratories to your portfolios can decrease your overall portfolio volatility.
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