Teradyne, Inc. (NASDAQ:TER) Stock Now Rated “Moderate Buy” by Sell-Side Analysts

Shares of Teradyne, Inc. (NASDAQ:TER) have been assigned a consensus rating of “Moderate Buy” from the sixteen brokerages that are covering the company, MarketBeat reports. Five research analysts have rated the stock with a hold rating, ten have given a buy rating and one has assigned a strong buy rating to the company. The average 12 month price objective among brokers that have issued a report on the stock in the last year is $396.80.

TER has been the topic of a number of analyst reports. Wall Street Zen cut Teradyne from a “buy” rating to a “hold” rating in a research report on Monday. UBS Group boosted their price objective on Teradyne from $440.00 to $500.00 and gave the company a “buy” rating in a research report on Monday, July 20th. Evercore reaffirmed an “outperform” rating and set a $420.00 target price on shares of Teradyne in a research note on Thursday, July 30th. Morgan Stanley increased their target price on Teradyne from $387.00 to $397.00 and gave the company an “equal weight” rating in a research report on Thursday, July 30th. Finally, Susquehanna lifted their price target on shares of Teradyne from $415.00 to $550.00 and gave the company a “positive” rating in a research note on Tuesday, June 30th.

Insider Buying and Selling at Teradyne

In other news, CEO Gregory Smith sold 4,000 shares of the firm’s stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $337.83, for a total transaction of $1,351,320.00. Following the completion of the transaction, the chief executive officer directly owned 108,495 shares in the company, valued at $36,652,865.85. This trade represents a 3.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.19% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Teradyne

Institutional investors have recently modified their holdings of the company. Cim Investment Management Inc. purchased a new position in Teradyne in the second quarter valued at approximately $291,000. Envestnet Asset Management Inc. raised its stake in Teradyne by 17.5% during the 2nd quarter. Envestnet Asset Management Inc. now owns 99,122 shares of the company’s stock worth $47,959,000 after acquiring an additional 14,783 shares in the last quarter. Andra AP fonden lifted its position in Teradyne by 18.3% in the second quarter. Andra AP fonden now owns 63,760 shares of the company’s stock valued at $30,850,000 after acquiring an additional 9,880 shares during the last quarter. State Street Corp boosted its stake in Teradyne by 4.6% in the second quarter. State Street Corp now owns 7,290,460 shares of the company’s stock valued at $3,527,416,000 after acquiring an additional 320,034 shares in the last quarter. Finally, ABS Direct Equity Fund LLC grew its holdings in shares of Teradyne by 142.0% during the second quarter. ABS Direct Equity Fund LLC now owns 968 shares of the company’s stock worth $468,000 after purchasing an additional 568 shares during the last quarter. 99.77% of the stock is owned by hedge funds and other institutional investors.

Key Teradyne News

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne introduced the Magnum E2, a high-speed memory test system designed for next-generation DRAM and flash used in AI data centers. Support for faster memory interfaces and greater parallelism could strengthen Teradyne’s position as AI infrastructure drives more complex semiconductor testing demand. Teradyne (TER) Debuts Magnum E2 For AI Memory Testing
• Positive Sentiment: Recent product launches and strategic expansion continue to support the bull case. Teradyne has launched AI- and data-center-focused UltraFLEXplus instruments, introduced the Iris 100 microLED optical test platform, partnered with GS Microelectronics U.S. on a semiconductor test center, and expanded its presence in India. These initiatives broaden its addressable market across advanced chips, optical components and robotics. Teradyne Is Up After New AI-Optical Test Push And India Expansion
• Positive Sentiment: The investment backdrop remains supported by Teradyne’s latest reported results: revenue more than doubled year over year and earnings exceeded analyst expectations. The strong performance reinforces optimism that AI-related semiconductor testing demand can translate into continued growth. Teradyne Stock Gained After a Q2 Beat
• Neutral Sentiment: Analysts and market commentators remain divided on whether Teradyne’s rapid rally is justified by its semiconductor and robotics expansion, making execution and future earnings growth key to sustaining the stock’s momentum. Is Teradyne Fully Valued?
• Negative Sentiment: A Teradyne director sold 400 shares after the stock had gained more than 200% over the past year. The transaction is small relative to the company’s market value, but it may reinforce concerns about profit-taking following the substantial run-up. A Teradyne Director Sells 400 Shares
• Negative Sentiment: Valuation remains a risk: Teradyne trades at a high earnings multiple after its sharp appreciation, while Wall Street Zen recently downgraded the shares to “Hold.” Investors may require continued earnings beats to support further upside. Wall Street Zen Downgrades Teradyne to Hold

Teradyne Stock Performance

Teradyne stock opened at $403.02 on Friday. The stock has a 50-day moving average of $371.63 and a two-hundred day moving average of $365.62. Teradyne has a one year low of $131.75 and a one year high of $487.91. The stock has a market cap of $63.01 billion, a PE ratio of 55.28, a price-to-earnings-growth ratio of 0.81 and a beta of 1.78.

Teradyne (NASDAQ:TER) last announced its quarterly earnings data on Wednesday, July 29th. The company reported $2.47 earnings per share for the quarter, beating analysts’ consensus estimates of $2.09 by $0.38. The firm had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.22 billion. Teradyne had a net margin of 25.77% and a return on equity of 39.93%. The business’s quarterly revenue was up 103.9% compared to the same quarter last year. During the same period in the previous year, the company earned $0.57 earnings per share. As a group, sell-side analysts predict that Teradyne will post 9.11 EPS for the current fiscal year.

Teradyne Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 4th were paid a dividend of $0.13 per share. The ex-dividend date of this dividend was Friday, September 4th. This represents a $0.52 annualized dividend and a yield of 0.1%. Teradyne’s dividend payout ratio (DPR) is 7.13%.

About Teradyne

Teradyne, Inc is a global provider of automated test equipment and industrial automation solutions. Founded in 1960 and headquartered in North Reading, Massachusetts, the company develops systems that help manufacturers test the performance, quality, and reliability of electronic products and components.

Teradyne’s products include semiconductor test systems used to evaluate integrated circuits, memory devices, and other semiconductor components. The company also provides test solutions for wireless products, storage systems, and complex electronic systems, along with related software, services, and support.

Through its Industrial Automation segment, Teradyne offers collaborative robots from Universal Robots, autonomous mobile robots from Mobile Industrial Robots, and robotic arms and systems for manufacturing and other industrial applications.