DLB) And Design Software Stocks In The Fourth Quarter

As the earnings season craze comes to a close, here’s a look back at some of the most exciting (and some not so) results from the fourth quarter. Today we’ll look at design software stocks, starting with Dolby Laboratories (NYSE:DLB).

The demand for rich, interactive 2D, 3D, VR and AR experiences is growing, and while the ubiquitous metaverse may still be more of a buzzword than a real thing, the demand for the tools to create these experiences is real, whether it’s games, 3D tours or interactive movies.

The seven design software stocks we track reported a strong fourth quarter. As a group, revenues exceeded analyst consensus expectations by 3.2%, while revenue expectations for the next quarter were in line.

Amid this news, companies’ stock prices have gone through a rough patch. On average, they are down 7.3% since the last earnings results.

Dolby Laboratories (NYSE:DLB), known for its iconic “D” logo that appears before countless films and TV shows, designs and licenses audio and video technologies that enhance the entertainment experience in films, TV shows, music and other media.

Dolby Laboratories reported revenue of $346.7 million, down 2.9% year over year. This print exceeded analyst expectations by 4.4%. Overall, it was a very strong quarter for the company, with a solid gain in analyst EBITDA estimates and full-year earnings per share exceeding analyst expectations.

“With a strong start to the fiscal year, we are optimistic about our position in the market and confident in our growth opportunities,” said Kevin Yeaman, President and CEO of Dolby Laboratories.

Total sales of Dolby Laboratories

Dolby Laboratories achieved the slowest sales growth of the entire group. The stock is down 3.1% since reporting and is currently trading at $61.10.

Is Now the Time to Buy Dolby Laboratories? See our full analysis of earnings results here. It’s free.

Starting with AutoCAD in the 1980s and evolving into a comprehensive design ecosystem, Autodesk (NASDAQ:ADSK) provides software solutions for the architecture, engineering, construction, manufacturing and entertainment industries to design, simulate and visualize projects.

Autodesk reported revenue of $1.96 billion, up 19.4% year over year, beating analyst expectations by 2.1%. The company had an exceptional quarter with an impressive showing of analyst expectations and next quarter earnings estimates exceeding analyst expectations.

Autodesk's total revenue — Autodesk’s total revenue

Although it has had a good quarter compared to its peers, the market seems unhappy with the results as the stock is down 3.6% since reporting. It is currently trading at $225.13.

Is Now the Time to Buy Autodesk? See our full analysis of earnings results here. It’s free.

Unity (NYSE:U) is responsible for more than half of the world’s mobile games and is expanding into industries from automotive to architecture. It provides software tools and services that enable developers to create, run, and monetize interactive 2D and 3D content across multiple platforms.

Unity reported revenue of $503.1 million, up 10.1% year over year, beating analyst expectations by 2.1%. Still, it was a mixed quarter, as EBITDA guidance for the next quarter significantly exceeded analyst expectations.

As expected, the stock has fallen 25.8% since the results and is currently trading at $21.58.

Read our full analysis of Unity’s results here.

For more than 35 years, Cadence Design Systems (NASDAQ:CDNS) has been providing the chips behind everything from smartphones to AI accelerators, providing essential computational software, hardware and intellectual property used by engineers to design and verify advanced electronic systems and semiconductors.

Cadence Design Systems reported revenue of $1.44 billion, up 6.2% year over year. This number exceeded analyst expectations by 1%. It was a strong quarter, as earnings expectations for the next quarter also exceeded analyst expectations and EBITDA estimates were significantly exceeded.

Cadence Design Systems had the weakest performance against analyst estimates and the weakest full-year forecast update among its peers. The stock is flat since reporting and is currently trading at $282.31.

Read our full, actionable report on Cadence Design Systems here. It’s free.

Originally named after Adobe Creek, which stood behind co-founder John Warnock’s home, Adobe (NASDAQ:ADBE) develops software products used for digital content creation, document management and marketing solutions across desktop, mobile and cloud platforms.

Adobe reported revenue of $6.40 billion, up 12% year over year. This print exceeded analyst expectations by 1.9%. Overall, it was a strong quarter, as analyst expectations and earnings estimates for the next quarter also impressively beat analyst expectations.

The stock has fallen 14.9% since reporting and is currently trading at $229.68.

Read our full actionable report on Adobe here. It’s free.

In late 2025 and early 2026, there was hand-wringing over artificial intelligence. Among software companies, the fear was that AI would erode pricing power and compress margins as new tools would make it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same fear: if AI agents could trade, allocate capital, and manage portfolios autonomously, what exactly was the long-term value of the current crypto infrastructure?

These concerns caused a noticeable rotation away from these sectors towards safer havens. But markets rarely dwell on one story for long. Spring 2026 arrived and the focus abruptly shifted from technological disruption to geopolitical risks. The US conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script quickly changes. Investors stop debating growth rates and start worrying about oil supply, inflation and global stability.

Do you want to invest in winners with rock-solid fundamentals? Check out our Top 5 Growth Stocks and add them to your watchlist. These companies are primed for growth regardless of the political or macroeconomic environment.

StockStory’s team of analysts, all seasoned professional investors, use quantitative analysis and automation to deliver market-based insights faster and with higher quality.