Dolby Laboratories Hits New 52-Week Low at $64.56 Amid Declining Sales

Dolby Laboratories, Inc. has reached a new 52-week low, trading at USD 64.56 as of October 29, 2025. This marks a significant decline for the small-cap software company, which has a market capitalization of USD 7,024 million. The stock's performance has been under scrutiny, particularly given its recent financial metrics.
The company's price-to-earnings (P/E) ratio stands at 27.00, while its return on equity (ROE) is reported at 10.42%. Despite a dividend yield of 1.80%, Dolby has faced challenges in achieving robust growth, with net sales increasing at an annual rate of only 2.52% over the past five years. Recent quarterly results have shown a decline in pre-tax profit by 33.05% and net profit by 31.39%, indicating a tough operating environment.

Additionally, Dolby's cash and equivalents have reached a low of USD 1,507.67 million. The stock has generated a return of -1.20% over the past year and has underperformed compared to the S&P 500 in both the short and long term. With high institutional holdings at 100%, the company remains a focal point for investors analyzing its fundamentals.