Traders Buy Large Volume of Put Options on Teradyne (NASDAQ:TER)

Teradyne, Inc. (NASDAQ:TER) was the target of unusually large options trading activity on Friday. Stock investors bought 15,675 put options on the company. This represents an increase of 101% compared to the typical daily volume of 7,807 put options.

Teradyne Trading Down 7.4%

TER stock opened at $274.37 on Friday. The company has a market capitalization of $42.90 billion, a PE ratio of 31.50, a P/E/G ratio of 0.58 and a beta of 1.75. Teradyne has a 12-month low of $151.52 and a 12-month high of $487.91. The business’s fifty day moving average price is $364.20 and its 200 day moving average price is $348.40.

Teradyne (NASDAQ:TER) last issued its quarterly earnings results on Tuesday, October 27th. The company reported $2.29 EPS for the quarter, beating the consensus estimate of $2.09 by $0.20. Teradyne had a net margin of 27.46% and a return on equity of 43.81%. The company had revenue of $1.31 billion during the quarter, compared to analysts’ expectations of $1.27 billion. During the same quarter last year, the company posted $0.85 EPS. The firm’s revenue was up 69.8% compared to the same quarter last year. Research analysts predict that Teradyne will post 9.36 EPS for the current fiscal year.

Teradyne Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, September 25th. Stockholders of record on Friday, September 4th were issued a $0.13 dividend. This represents a $0.52 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date was Friday, September 4th. Teradyne’s dividend payout ratio (DPR) is presently 5.97%.

Insider Transactions at Teradyne

In other Teradyne news, CEO Gregory Smith sold 4,000 shares of Teradyne stock in a transaction on Thursday, October 15th. The stock was sold at an average price of $341.28, for a total transaction of $1,365,120.00. Following the completion of the sale, the chief executive officer directly owned 104,495 shares of the company’s stock, valued at $35,662,053.60. The trade was a 3.69% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 12,000 shares of company stock valued at $4,416,440 over the last quarter. 0.19% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Teradyne

Large investors have recently bought and sold shares of the business. BlackRock Inc. acquired a new stake in shares of Teradyne during the 2nd quarter valued at $9,404,408,000. State Street Corp boosted its stake in shares of Teradyne by 4.6% during the 2nd quarter. State Street Corp now owns 7,290,460 shares of the company’s stock worth $3,527,416,000 after acquiring an additional 320,034 shares in the last quarter. Van ECK Associates Corp boosted its stake in shares of Teradyne by 5.0% during the 2nd quarter. Van ECK Associates Corp now owns 2,607,914 shares of the company’s stock worth $1,261,813,000 after acquiring an additional 123,549 shares in the last quarter. ABS Investment Management LLC acquired a new position in shares of Teradyne in the 2nd quarter worth $1,006,387,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its holdings in shares of Teradyne by 0.6% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,978,124 shares of the company’s stock worth $957,096,000 after acquiring an additional 12,659 shares during the last quarter. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Key Headlines Impacting Teradyne

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne’s latest quarterly results showed strong momentum: revenue reached $1.31 billion, up nearly 70% year over year, while EPS of $2.29 exceeded the $2.09 consensus estimate. Management also highlighted expanding AI-compute programs, record memory-test revenue, and capacity investments supporting potential growth in 2027. Teradyne Q3 Earnings Call Highlights AI Demand and 2027 Growth Plans
• Positive Sentiment: Northland Securities raised its FY2026 EPS forecast to $9.40 from $9.34 and increased its Q2 2027 estimate to $2.63 from $2.50. Both forecasts are above the current full-year consensus estimate of $9.17, signaling expectations for continued earnings growth. Teradyne analyst estimate updates
• Positive Sentiment: UBS lowered its price target to $430 from $485 but retained a Buy rating. The revised target still implies substantial upside based on the referenced trading level, suggesting UBS views the long-term AI and automation opportunity as intact. UBS Teradyne price-target update

Analyst Upgrades and Downgrades

TER has been the subject of a number of recent research reports. Morgan Stanley boosted their target price on shares of Teradyne from $387.00 to $397.00 and gave the stock an “equal weight” rating in a report on Thursday, July 30th. Evercore reiterated an “outperform” rating and set a $420.00 price objective on shares of Teradyne in a research note on Thursday, July 30th. The Goldman Sachs Group set a $440.00 price objective on shares of Teradyne in a research report on Wednesday. UBS Group decreased their target price on Teradyne from $485.00 to $430.00 and set a “buy” rating on the stock in a research report on Thursday. Finally, Zacks Research lowered Teradyne from a “strong-buy” rating to a “hold” rating in a research note on Monday, September 28th. Eleven equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $405.86.

About Teradyne

Teradyne, Inc develops and supplies automated test equipment and industrial automation products. Its systems help manufacturers test the functionality, performance, and reliability of semiconductor devices, electronic systems, wireless products, and other complex products throughout the production process.

The company’s product portfolio includes semiconductor test systems, memory and system-level test equipment, and solutions for printed circuit boards and electronic products. Teradyne also provides collaborative robots through Universal Robots and autonomous mobile robots through Mobile Industrial Robots (MiR), supporting applications such as assembly, material handling, machine tending, packaging, and warehouse logistics.

Founded in 1960 and headquartered in North Reading, Massachusetts, Teradyne serves customers worldwide, including semiconductor manufacturers, electronics producers, automotive companies, and industrial businesses.