Do You Have the Atmos Respect?

Although Dolby Laboratories, Inc. suffered an earnings selloff last week, it is worth remembering that the seemingly mature tech brand's share price had covered quite a bit of ground to the upside since Labor Day, headed into that earnings report. 

Thus, some giveback may actually not be the worst thing in the world anyway, in terms of the normal ebb-and-flow of stocks (although, as we all know, that seems to be fairly uncommon these days given the perpetual grind higher on the major averages). 

At any rate, DLB is still sporting a rather promising long-term chart, seen below on the monthly timeframe. Note the recent breakout in September, threatening to revisit prior all-time highs around $70. 

Furthermore, DLB is another exciting play on the virtual reality theme, as seen in their Dolby Atmos technology, which you can see here. While NVDA justify is at front and center of the VR theme, we have been tracking a few subtle ones like DLB and even IMAX. 

With this in mind, DLB seems to be a candidate to buy on the dip after the earnings selloff, provided that $57 holds below. 

More on the market in my usual Midday Video for Members.