DLB (Dolby Laboratories) Profitability Rank: 8 (As of Jun. 2026) — Near Median

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DLB Dolby Laboratories Inc DLB
77 GF Score
Price $59.20
GF Value $82.07
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Dolby Laboratories Profitability Rank?

Dolby Laboratories DLB +0.66% 77 Profitability Rank is 8 as of Jun. 2026, which is at its 10-year median of 8.00. GuruFocus rates DLB with a GF Score™ of 77/100 and a GF Value™ of $82.07 (Modestly Undervalued). The stock has 4 warning signs investors should review.

Dolby Laboratories has the Profitability Rank of 8. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Dolby Laboratories's Operating Margin % for the quarter that ended in Jun. 2026 was 12.55%. As of today, Dolby Laboratories's Piotroski F-Score is 4.


Dolby Laboratories Profitability Rank Related Terms


DLB vs AZZ, UNF, AMTM: Profitability Rank Comparison

For the Specialty Business Services subindustry, Dolby Laboratories's Profitability Rank, along with its competitors' market caps and Profitability Rank 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 Profitability Rank vs Business Services Industry

For the Business Services industry and Industrials sector, Dolby Laboratories's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Dolby Laboratories's Profitability Rank falls into.


DLB
77GF Score
Dolby Laboratories Inc DLB
Profitability Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Dolby Laboratories Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Dolby Laboratories has the Profitability Rank of 8. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Dolby Laboratories's Operating Margin % for the quarter that ended in Jun. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2026 ) / Revenue (Q: Jun. 2026 )
=38.271 / 304.995
=12.55 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Dolby Laboratories has an F-score of 4 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

4. Consistency of the profitability

5. Predictability Rank

Frequently Asked Questions Learn more about Profitability Rank →
What does a Profitability Rank of 8 mean?
Dolby Laboratories (DLB) has a Profitability Rank of 8 as of Jun. 2026. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Dolby Laboratories and its competitors. This is near median its historical median of 8.00. Over the past decade, Dolby Laboratories' Profitability Rank has ranged from 8.00 to 9.00.
Is Dolby Laboratories' Profitability Rank too high?
Dolby Laboratories' current Profitability Rank of 8 is near median its 10-year median of 8.00. Over the past 10 years, this metric has ranged from a low of 8.00 to a high of 9.00. Overall, Dolby Laboratories has a GF Score™ of 77/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Dolby Laboratories' Profitability Rank compare to AZZ and UNF?
Dolby Laboratories' Profitability Rank of 8 can be compared against companies in the Business Services industry. Historically, Dolby Laboratories' own Profitability Rank has ranged from 8.00 to 9.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for a Business Services company?
A good Profitability Rank depends on the Business Services industry context. However, Profitability Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Dolby Laboratories and its competitors. Dolby Laboratories's current Profitability Rank is 8, which is near median its own 10-year median of 8.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dolby Laboratories stock overvalued right now?
Based on GuruFocus' analysis, Dolby Laboratories (DLB) is currently considered Modestly Undervalued. The stock's GF Value™ is $82.07, compared to a current price of $59.20 — trading 27.9% below its estimated fair value. The current Profitability Rank is 8, which is near median its 10-year median of 8.00. Dolby Laboratories' overall GF Score™ is 77/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For Dolby Laboratories (DLB), the current Profitability Rank is 8 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Dolby Laboratories (DLB) Overvalued in 2026?

Based on GuruFocus' analysis, Dolby Laboratories stock appears to be undervalued. The current stock price of $59.20 is trading 27.9% below its estimated GF Value™ of $82.07. GuruFocus considers Dolby Laboratories to be Modestly Undervalued.

Key valuation signals for DLB:

  • Profitability Rank: 8 (near median its 10-year median of 8.00)
  • GF Value™: $82.07 vs. price of $59.20 (27.9% below fair value)
  • GF Score™: 77/100 with 4 warning signs

No single metric tells the full story. See the DLB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Dolby Laboratories Business Description

Other Exchanges DLB:MexicoFUO:Germany
Address 1275 Market Street, San Francisco, CA, USA, 94103-1410
Dolby Laboratories Inc. develops technologies that enhance audio and video capture, transmission, and playback, enabling high-quality experiences across movies, TV, music, sports, and more. The company designs and manufactures audio, imaging, accessibility, and related hardware and software mainly for cinema, including digital cinema servers and media encryption and packaging tools. It generates the majority of its revenue by licensing its technology, brand, and patents to device manufacturers and by selling cinema hardware and services. It operates as a single reportable segment, with revenue derived mainly from licensing and, to a lesser extent, from premium cinema technologies, across the United States and international markets.
77GF Score

Get the complete analysis for DLB

Profitability Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$59.20
Price
$82.07
GF Value