DLB

Dolby Laboratories Inc. Technology - Audio Investor Relations →

YES
13.2% BELOW
↑ Moving away Was -14.1% last week
-15% -10% -5% 0% 5% 10% 15%+
Buy Threshold $74.68
14-Week RSI 46

Dolby Laboratories Inc. (DLB) closed at $64.85 as of 2026-02-02, trading 13.2% below its 200-week moving average of $74.68. This places DLB in the extreme value zone. The stock moved further from the line this week, up from -14.1% last week. The 14-week RSI sits at 46, indicating neutral momentum.

Over the past 1046 weeks of data, DLB has crossed below its 200-week moving average 18 times. On average, these episodes lasted 17 weeks. Historically, investors who bought DLB at the start of these episodes saw an average one-year return of +36.5%.

With a market cap of $6.2 billion, DLB is a mid-cap stock. The company generates a free cash flow yield of 5.9%, which is healthy. Return on equity stands at 9.5%. The stock trades at 2.4x book value.

Over the past 20.2 years, a hypothetical investment of $100 in DLB would have grown to $425, compared to $785 for the S&P 500. DLB has returned 7.4% annualized vs 10.8% for the index, underperforming the broader market over this period.

Free cash flow has been growing at a 18.4% compound annual rate, with 4 consecutive years of positive cash generation. A business generating more cash every year while trading below its 200-week moving average is exactly the kind of disconnect value investors look for.

Growth of $100: DLB vs S&P 500

Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.

What Happens After DLB Crosses Below the Line?

Across 18 historical episodes, buying DLB when it crossed below its 200-week moving average produced an average return of +38.2% after 12 months (median +20.0%), compared to +18.8% for the S&P 500 over the same periods. 76% of those episodes were profitable after one year. After 24 months, the average return was +49.6% vs +37.1% for the index.

Each line shows $100 invested at the moment DLB crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.

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Historical Touches

DLB has crossed below its 200-week MA 18 times with an average 1-year return of +36.5% after recovery.

Crossed BelowRecoveredWeeksMax Depth1-Year ReturnReturn Since Touch
Jan 2006Jan 200611.0%+71.7%+343.7%
Jul 2006Aug 200636.5%+68.3%+333.2%
Sep 2006Nov 200695.2%+76.2%+327.3%
Nov 2008Dec 2008513.0%+55.8%+212.2%
Jan 2009Feb 2009214.6%+73.3%+206.8%
Feb 2009Mar 200936.9%+78.5%+181.3%
May 2011Dec 201313540.2%-9.2%+85.0%
Jul 2015Feb 20162815.0%+43.2%+111.6%
Mar 2020May 2020915.1%+103.1%+42.1%
Feb 2022Mar 202223.7%+16.8%-5.2%
May 2022May 202213.3%+20.0%-4.0%
Jun 2022Jul 202254.5%+19.9%-3.6%
Aug 2022Jan 20232013.7%+15.8%-6.8%
Aug 2023Aug 202311.4%-10.6%-11.9%
Feb 2024Feb 202412.5%+9.0%-14.1%
Apr 2024Apr 202433.4%-7.0%-16.7%
May 2024Jan 20253617.4%-4.8%-16.5%
Mar 2025Ongoing45+17.0%Ongoing-9.3%
Average17+36.5%

Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.

Data as of Friday close, 2026-02-02