Dolby Laboratories, Inc. (NYSE:DLB) last week reported its latest quarterly results, which makes it a good time for investors to dive in and see if the business is performing in line with expectations. It looks like a credible result overall - although revenues of US$370m were in line with what the analysts predicted, Dolby Laboratories surprised by delivering a statutory profit of US$0.94 per share, a notable 11% above expectations. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

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Taking into account the latest results, Dolby Laboratories' three analysts currently expect revenues in 2025 to be US$1.34b, approximately in line with the last 12 months. Statutory earnings per share are forecast to decrease 8.1% to US$2.46 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$1.35b and earnings per share (EPS) of US$2.44 in 2025. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.

Check out our latest analysis for Dolby Laboratories

The analysts reconfirmed their price target of US$97.50, showing that the business is executing well and in line with expectations. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. There are some variant perceptions on Dolby Laboratories, with the most bullish analyst valuing it at US$100.00 and the most bearish at US$95.00 per share. With such a narrow range of valuations, the analysts apparently share similar views on what they think the business is worth.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. It's clear from the latest estimates that Dolby Laboratories' rate of growth is expected to accelerate meaningfully, with the forecast 3.3% annualised revenue growth to the end of 2025 noticeably faster than its historical growth of 1.4% p.a. over the past five years. Compare this with other companies in the same industry, which are forecast to see revenue growth of 13% annually. So it's clear that despite the acceleration in growth, Dolby Laboratories is expected to grow meaningfully slower than the industry average.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on Dolby Laboratories. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Dolby Laboratories analysts - going out to 2027, and you can see them free on our platform here.

Plus, you should also learn about the 1 warning sign we've spotted with Dolby Laboratories .

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