Parnassus Investments LLC Decreases Holdings in Teradyne, Inc. $TER

Parnassus Investments LLC reduced its holdings in Teradyne, Inc. (NASDAQ:TER) by 1.1% during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 230,408 shares of the company’s stock after selling 2,527 shares during the period. Parnassus Investments LLC owned approximately 0.14% of Teradyne worth $31,713,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors have also bought and sold shares of the company. CYBER HORNET ETFs LLC purchased a new position in Teradyne during the second quarter worth about $35,000. Steph & Co. purchased a new position in shares of Teradyne during the 2nd quarter worth approximately $43,000. MUFG Securities EMEA plc acquired a new stake in Teradyne in the 2nd quarter valued at approximately $43,000. Bayforest Capital Ltd raised its position in Teradyne by 195.5% in the second quarter. Bayforest Capital Ltd now owns 523 shares of the company’s stock valued at $47,000 after purchasing an additional 346 shares during the period. Finally, Manchester Capital Management LLC lifted its stake in Teradyne by 29.4% during the second quarter. Manchester Capital Management LLC now owns 586 shares of the company’s stock worth $53,000 after purchasing an additional 133 shares in the last quarter. 99.77% of the stock is owned by hedge funds and other institutional investors.

Teradyne News Summary

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: AI-driven demand and market inflows — Coverage highlights strong secular demand for semiconductor test and automation from AI infrastructure, and data showing a sizable “Big Money” inflow since June 2024 that has helped push the stock higher. Teradyne Rises on AI Demand, Bullish Inflows
• Positive Sentiment: Bank of America raised its price target and kept a Buy stance, boosting bullish analyst support and giving investors a higher benchmark (PT moved to $235). BofA Updates Semiconductor PTs
• Positive Sentiment: High-profile endorsement — Jim Cramer publicly expressed confidence in TER, which can help retail momentum and sentiment even if he cautioned about exuberance. Jim Cramer on Teradyne
• Neutral Sentiment: Options activity spiked — Unusually large options trades were reported, indicating speculative positioning that can amplify moves but doesn’t clarify directional conviction. Teradyne Target of Unusually Large Options Trading
• Neutral Sentiment: Investor guidance/earnings watch — Several pieces discuss expectations for TER’s next report; upcoming results and guidance will be key to validating the AI-demand story. Here’s what to expect from Teradyne’s next earnings report
• Negative Sentiment: Analyst downgrade and tighter upside — Vertical Research cut TER from Buy to Hold and set a $220 PT, signaling limited near-term upside from current levels and adding near-term pressure. Vertical Research Downgrades Teradyne
• Negative Sentiment: Valuation worries and profit-taking discussion — Multiple analysts and articles question whether TER is pricing in too much optimism after a strong multi‑year run; these pieces increase the case for a pullback or volatility. Is Teradyne Pricing In Too Much Optimism?
• Negative Sentiment: Recent short-term pullbacks — Reports note recent daily slides larger than the market, reflecting profit-taking and sensitivity to news. Teradyne Stock Slides

Insider Activity

In related news, CEO Gregory Stephen Smith sold 1,108 shares of the firm’s stock in a transaction that occurred on Friday, December 12th. The shares were sold at an average price of $201.31, for a total transaction of $223,051.48. Following the transaction, the chief executive officer owned 93,409 shares in the company, valued at $18,804,165.79. This trade represents a 1.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.16% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on TER. UBS Group lifted their price objective on shares of Teradyne from $165.00 to $200.00 and gave the company a “buy” rating in a report on Thursday, October 30th. Morgan Stanley boosted their price target on shares of Teradyne from $100.00 to $136.00 and gave the stock an “equal weight” rating in a research note on Tuesday, October 14th. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $240.00 price objective on shares of Teradyne in a research report on Tuesday, December 16th. Evercore ISI lifted their target price on Teradyne from $120.00 to $175.00 and gave the company an “outperform” rating in a report on Tuesday, October 28th. Finally, The Goldman Sachs Group upgraded Teradyne from a “sell” rating to a “buy” rating and lifted their price objective for the company from $148.00 to $230.00 in a research note on Monday, December 15th. Twelve equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $191.06.

Teradyne Stock Performance

Shares of TER opened at $217.26 on Friday. The company has a market capitalization of $34.03 billion, a PE ratio of 79.00, a price-to-earnings-growth ratio of 1.56 and a beta of 1.84. Teradyne, Inc. has a fifty-two week low of $65.77 and a fifty-two week high of $229.66. The stock has a fifty day moving average of $189.86 and a two-hundred day moving average of $142.49.

Teradyne (NASDAQ:TER) last posted its earnings results on Wednesday, October 29th. The company reported $0.85 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.78 by $0.07. Teradyne had a net margin of 15.49% and a return on equity of 18.04%. The firm had revenue of $769.21 million during the quarter, compared to analyst estimates of $744.20 million. During the same period in the previous year, the business posted $0.90 EPS. Teradyne’s revenue was up 4.3% on a year-over-year basis. As a group, equities research analysts forecast that Teradyne, Inc. will post 3.88 earnings per share for the current fiscal year.

Teradyne Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, December 17th. Stockholders of record on Monday, November 24th were paid a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date of this dividend was Monday, November 24th. Teradyne’s dividend payout ratio is currently 17.45%.

Teradyne Company Profile

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.