Teradyne, Inc. (NASDAQ:TER – Get Free Report) has been given a consensus recommendation of “Moderate Buy” by the sixteen research firms that are currently covering the stock, Marketbeat Ratings reports. Four equities research analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the company. The average twelve-month price objective among brokerages that have covered the stock in the last year is $396.80.
Several equities research analysts recently issued reports on TER shares. UBS Group boosted their price target on Teradyne from $440.00 to $500.00 and gave the company a “buy” rating in a research note on Monday, July 20th. Morgan Stanley raised their price objective on Teradyne from $387.00 to $397.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 30th. Cantor Fitzgerald reaffirmed an “overweight” rating and issued a $550.00 price objective on shares of Teradyne in a report on Wednesday, July 29th. Citigroup upped their target price on Teradyne from $325.00 to $400.00 and gave the company a “buy” rating in a research report on Thursday, April 30th. Finally, The Goldman Sachs Group reissued a “buy” rating and set a $465.00 target price on shares of Teradyne in a report on Tuesday, July 28th.
Get Our Latest Stock Analysis on TER
Teradyne News Summary
- Positive Sentiment: Favorable earnings revisions support upside potential. Analyst estimate revisions indicate improving expectations for Teradyne, which could help sustain the stock’s recent upward momentum. The company recently exceeded quarterly revenue and EPS estimates, with revenue more than doubling year over year. Why Teradyne Might Be Well Poised for a Surge
- Positive Sentiment: AI and semiconductor demand remain key growth drivers. Teradyne’s chip-testing business is benefiting from increasing demand tied to artificial intelligence, while its robotics operations provide an additional long-term growth opportunity. These trends are supporting the premium investors have placed on TER. Teradyne Is Overvalued at 10.36X Price-to-Sales
- Neutral Sentiment: Relative valuation comparisons remain favorable in some respects. Commentary comparing Teradyne with KLA suggests investors are paying up for stronger expected growth, even as valuation leadership within the chip-equipment sector shifts. This reinforces TER’s growth appeal but does not provide a new company-specific catalyst. How KLA Went From Cheaper Than Teradyne to the Pricier Stock
- Negative Sentiment: Elevated valuation creates downside risk. Teradyne trades at roughly 10.36 times sales and at a high earnings multiple, leaving the stock vulnerable if AI-related growth slows, guidance disappoints, or investors rotate away from expensive technology shares. Teradyne Is Overvalued at 10.36X Price-to-Sales
Insider Transactions at Teradyne
In other Teradyne news, insider Shannon John Poulin sold 1,008 shares of the firm’s stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $345.37, for a total value of $348,132.96. Following the transaction, the insider directly owned 15,066 shares of the company’s stock, valued at $5,203,344.42. This trade represents a 6.27% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory Stephen Smith sold 8,597 shares of the firm’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $338.98, for a total transaction of $2,914,211.06. Following the completion of the transaction, the chief executive officer directly owned 124,470 shares in the company, valued at approximately $42,192,840.60. This represents a 6.46% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 14,261 shares of company stock valued at $5,187,344. 0.19% of the stock is owned by insiders.
Institutional Trading of Teradyne
A number of institutional investors and hedge funds have recently made changes to their positions in TER. Integrated Wealth Concepts LLC raised its position in Teradyne by 12.8% during the first quarter. Integrated Wealth Concepts LLC now owns 4,136 shares of the company’s stock valued at $342,000 after purchasing an additional 468 shares in the last quarter. Caxton Associates LLP acquired a new stake in shares of Teradyne in the 1st quarter valued at $297,000. Cresset Asset Management LLC increased its stake in shares of Teradyne by 11.6% in the 2nd quarter. Cresset Asset Management LLC now owns 6,759 shares of the company’s stock valued at $608,000 after purchasing an additional 702 shares during the last quarter. NewEdge Advisors LLC increased its stake in shares of Teradyne by 467.1% in the 2nd quarter. NewEdge Advisors LLC now owns 3,408 shares of the company’s stock valued at $306,000 after purchasing an additional 2,807 shares during the last quarter. Finally, Treasurer of the State of North Carolina raised its holdings in shares of Teradyne by 5.1% during the 2nd quarter. Treasurer of the State of North Carolina now owns 75,125 shares of the company’s stock worth $6,755,000 after buying an additional 3,651 shares in the last quarter. Institutional investors own 99.77% of the company’s stock.
Teradyne Stock Down 3.5%
Shares of Teradyne stock opened at $389.39 on Thursday. The stock has a market capitalization of $60.88 billion, a price-to-earnings ratio of 53.41, a price-to-earnings-growth ratio of 0.82 and a beta of 1.78. Teradyne has a twelve month low of $103.33 and a twelve month high of $487.91. The company has a 50-day simple moving average of $383.32 and a two-hundred day simple moving average of $341.19.
Teradyne (NASDAQ:TER – Get Free Report) last announced its earnings results on Tuesday, July 28th. The company reported $2.47 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.09 by $0.38. Teradyne had a net margin of 25.77% and a return on equity of 39.93%. The firm had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.22 billion. During the same quarter in the prior year, the business posted $0.57 EPS. The business’s revenue was up 103.9% compared to the same quarter last year. Teradyne has set its Q3 2026 guidance at 1.850-2.150 EPS. On average, sell-side analysts anticipate that Teradyne will post 9.1 earnings per share for the current fiscal year.
About Teradyne
Teradyne, Inc is a global supplier of automatic test equipment and related services principally used to test semiconductors, wireless products and complex electronic systems. Founded in 1960, the company is headquartered in North Reading, Massachusetts, and has a long history of developing capital equipment and software that help semiconductor manufacturers, electronics OEMs and contract manufacturers validate product performance and reliability during design and production.
The company’s product portfolio centers on automatic test equipment (ATE) and system-level test solutions that address chip- and board-level validation, burn-in and reliability screening.
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