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Dolby Laboratories Piotroski F-Score

: 6 (As of Today)
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The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Dolby Laboratories has an F-score of 6 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for Dolby Laboratories's Piotroski F-Score or its related term are showing as below:

DLB' s Piotroski F-Score Range Over the Past 10 Years
Min: 4   Med: 6   Max: 8
Current: 6

During the past 13 years, the highest Piotroski F-Score of Dolby Laboratories was 8. The lowest was 4. And the median was 6.


Dolby Laboratories Piotroski F-Score Historical Data

The historical data trend for Dolby Laboratories's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Dolby Laboratories Annual Data
Trend Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21
Piotroski F-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 5.00 7.00 6.00 7.00

Dolby Laboratories Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Piotroski F-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 7.00 7.00 7.00 6.00

Competitive Comparison

For the Information Technology Services subindustry, Dolby Laboratories's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Dolby Laboratories Piotroski F-Score Distribution

For the Software industry and Technology sector, Dolby Laboratories's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Dolby Laboratories's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Jun22) TTM:Last Year (Jun21) TTM:
Net Income was 44.191 + 80.014 + 36.72 + 39.597 = $201 Mil.
Cash Flow from Operations was 109.773 + 31.66 + 62.999 + 172.608 = $377 Mil.
Revenue was 285.025 + 351.633 + 334.371 + 289.585 = $1,261 Mil.
Gross Profit was 254.326 + 318.924 + 298.856 + 253.628 = $1,126 Mil.
Average Total Assets from the begining of this year (Jun21)
to the end of this year (Jun22) was
(3135.136 + 3105.687 + 3104.921 + 3062.99 + 2919.936) / 5 = $3065.734 Mil.
Total Assets at the begining of this year (Jun21) was $3,135 Mil.
Long-Term Debt & Capital Lease Obligation was $44 Mil.
Total Current Assets was $1,505 Mil.
Total Current Liabilities was $285 Mil.
Net Income was 26.829 + 135.198 + 76.217 + 54.621 = $293 Mil.

Revenue was 271.191 + 389.874 + 319.558 + 286.799 = $1,267 Mil.
Gross Profit was 228.726 + 354.57 + 287.18 + 255.155 = $1,126 Mil.
Average Total Assets from the begining of last year (Jun20)
to the end of last year (Jun21) was
(2903.906 + 2917.325 + 3096.854 + 3106.29 + 3135.136) / 5 = $3031.9022 Mil.
Total Assets at the begining of last year (Jun20) was $2,904 Mil.
Long-Term Debt & Capital Lease Obligation was $61 Mil.
Total Current Assets was $1,773 Mil.
Total Current Liabilities was $309 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Dolby Laboratories's current Net Income (TTM) was 201. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Dolby Laboratories's current Cash Flow from Operations (TTM) was 377. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Jun21)
=200.522/3135.136
=0.06395959

ROA (Last Year)=Net Income/Total Assets (Jun20)
=292.865/2903.906
=0.10085209

Dolby Laboratories's return on assets of this year was 0.06395959. Dolby Laboratories's return on assets of last year was 0.10085209. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Dolby Laboratories's current Net Income (TTM) was 201. Dolby Laboratories's current Cash Flow from Operations (TTM) was 377. ==> 377 > 201 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jun22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun21 to Jun22
=44.257/3065.734
=0.01443602

Gearing (Last Year: Jun21)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun20 to Jun21
=60.967/3031.9022
=0.0201085

Dolby Laboratories's gearing of this year was 0.01443602. Dolby Laboratories's gearing of last year was 0.0201085. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Jun22)=Total Current Assets/Total Current Liabilities
=1504.719/285.485
=5.27074627

Current Ratio (Last Year: Jun21)=Total Current Assets/Total Current Liabilities
=1772.876/308.965
=5.73811273

Dolby Laboratories's current ratio of this year was 5.27074627. Dolby Laboratories's current ratio of last year was 5.73811273. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Dolby Laboratories's number of shares in issue this year was 101.474. Dolby Laboratories's number of shares in issue last year was 104.633. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=1125.734/1260.614
=0.89300452

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=1125.631/1267.422
=0.88812645

Dolby Laboratories's gross margin of this year was 0.89300452. Dolby Laboratories's gross margin of last year was 0.88812645. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Jun21)
=1260.614/3135.136
=0.40209229

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Jun20)
=1267.422/2903.906
=0.43645421

Dolby Laboratories's asset turnover of this year was 0.40209229. Dolby Laboratories's asset turnover of last year was 0.43645421. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+1+1+0+1+1+0
=6

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Dolby Laboratories has an F-score of 6 indicating the company's financial situation is typical for a stable company.

Dolby Laboratories  (NYSE:DLB) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Dolby Laboratories Piotroski F-Score Related Terms

Thank you for viewing the detailed overview of Dolby Laboratories's Piotroski F-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Dolby Laboratories Business Description

Dolby Laboratories logo
Traded in Other Exchanges
Address
1275 Market Street, San Francisco, CA, USA, 94103-1410
Dolby Laboratories Inc develops audio and surround sound for cinema, broadcast, home audio systems, in-car entertainment systems, DVD players, games, televisions, and personal computers. The company generates three fourths of its revenue from licensing its technology to consumer electronics manufacturers around the world. The rest of revenue comes from equipment sales to professional producers and audio engineering services.
Executives
Revankar Shriram officer: SVP, Advanced Technology Group C/O DOLBY LABORATORIES, INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Prophet Tony A director 9 BERNICE STREET SAN FRANCISCO CA 94103
Couling John D officer: SVP, Entertainment C/O DOLBY LABORATORIES, INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Park Robert J officer: SVP & Chief Financial Officer C/O DOLBY LABORATORIES, INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Rollins Emily director C/O DOLBY LABORATORIES, INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Dagmar Dolby 2019 Trust Bb,dated July 22, 2019 10 percent owner 2515 SCOTT STREET SAN FRANCISCO CA 94115
Sud Anjali director C/O VIMEO INC. 555 WEST 18TH STREET NEW YORK NY 10011
Dagmar Dolby 2018 Trust Bb, Dated June 20, 2018 10 percent owner 2515 SCOTT STREET SAN FRANCISCO CA 94115
Nicholson Ryan officer: VP, Corporate Controller C/O DOLBY LABORATORIES INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Pendleton Todd officer: SVP, Chief Marketing Officer 1275 MARKET STREET SAN FRANCISCO CA 94103
Baker Giles officer: SVP, Consumer Entertainment 1275 MARKET STREET SAN FRANCISCO CA 94103
Dagmar Dolby 2016 Trust Bb, Dated March 23, 2016 10 percent owner 2515 SCOTT STREET SAN FRANCISCO CA 94115
Segars Simon director C/O DOLBY LABORATORIES, INC. 1275 MARKET STREET SAN FRANCISCO CA 94103
Marital Trust Under Dolby Family Trust Dated May 7, 1999 10 percent owner 2515 SCOTT STREET SAN FRANCISCO CA 94115
Dagmar Dolby Trust Under Dolby Family Trust Instrument Dated May 7, 1999 10 percent owner 2515 SCOTT STREET SAN FRANCISCO CA 94115

Dolby Laboratories Headlines

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