Teradyne, Inc. (NASDAQ:TER – Get Free Report) shares fell 5.4% during trading on Thursday after UBS Group lowered their price target on the stock from $485.00 to $430.00. UBS Group currently has a buy rating on the stock. Teradyne traded as low as $288.67 and last traded at $296.23. Approximately 4,200,594 shares changed hands during mid-day trading, an increase of 19% from the average daily volume of 3,542,622 shares. The stock had previously closed at $313.24.
Other equities research analysts have also recently issued research reports about the stock. The Goldman Sachs Group set a $440.00 price target on shares of Teradyne in a research report on Wednesday. Robert W. Baird cut Teradyne from an “outperform” rating to a “neutral” rating and set a $420.00 price objective for the company. in a report on Friday, August 21st. Morgan Stanley raised their price target on shares of Teradyne from $387.00 to $397.00 and gave the stock an “equal weight” rating in a research note on Thursday, July 30th. Weiss Ratings upgraded Teradyne from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, September 29th. Finally, Cantor Fitzgerald reissued an “overweight” rating and set a $550.00 target price on shares of Teradyne in a research report on Wednesday, July 29th. Eleven equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $405.86.
View Our Latest Research Report on Teradyne
Insider Activity at Teradyne
In other Teradyne news, CEO Gregory Smith sold 4,000 shares of the firm’s stock in a transaction that occurred on Thursday, October 15th. The shares were sold at an average price of $341.28, for a total value of $1,365,120.00. Following the completion of the transaction, the chief executive officer owned 104,495 shares of the company’s stock, valued at $35,662,053.60. This trade represents a 3.69% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 12,000 shares of company stock valued at $4,416,440 over the last ninety days. Company insiders own 0.19% of the company’s stock.
More Teradyne News
Here are the key news stories impacting Teradyne this week:
- Positive Sentiment: Teradyne reported third-quarter revenue of approximately $1.31 billion, up 69.8% year over year, while adjusted earnings of $2.29 per share exceeded the $2.09 consensus estimate. AI-related demand drove record results in memory testing and Integrated Systems Test. Teradyne Q3 Earnings Beat Estimates
- Positive Sentiment: Management highlighted expanding AI compute programs, record memory-test revenue and a targeted mid-2027 compute ramp, supporting expectations for continued growth. Teradyne Q3 Earnings Call Highlights
- Positive Sentiment: Northland Securities raised its fiscal 2026 earnings forecast to $9.34 per share from $9.25, above the $9.11 consensus estimate. UBS maintained a “buy” rating and still sees substantial upside despite reducing its price target to $430 from $485. UBS Teradyne Rating
- Neutral Sentiment: Fourth-quarter revenue guidance of $1.25 billion to $1.35 billion, with a $1.30 billion midpoint, was ahead of consensus but implies investors must wait for the expected compute acceleration in 2027. Teradyne Q4 Guidance
- Negative Sentiment: Investors appear concerned that margin pressure, capacity investments and the timing of the 2027 growth ramp could limit near-term earnings leverage, even with strong AI demand.
- Negative Sentiment: After a roughly 269% three-year advance, Teradyne’s valuation has increased expectations and prompted concerns that much of the AI opportunity is already reflected in the stock price. Argus also lowered its target to $382, reinforcing a more cautious valuation view. Teradyne Valuation Analysis
Institutional Investors Weigh In On Teradyne
Hedge funds and other institutional investors have recently made changes to their positions in the business. Leeward Financial Partners LLC purchased a new stake in Teradyne in the 2nd quarter valued at $3,735,000. Legal & General Group Plc acquired a new stake in shares of Teradyne during the second quarter worth $656,058,000. B. Metzler seel. Sohn & Co. AG acquired a new position in Teradyne in the 2nd quarter valued at $4,826,000. Handelsbanken Fonder AB raised its position in Teradyne by 2.6% during the 2nd quarter. Handelsbanken Fonder AB now owns 127,990 shares of the company’s stock worth $61,927,000 after buying an additional 3,250 shares during the last quarter. Finally, Baird Financial Group Inc. lifted its holdings in Teradyne by 147.2% in the second quarter. Baird Financial Group Inc. now owns 53,029 shares of the company’s stock valued at $25,658,000 after acquiring an additional 31,579 shares during the period. Institutional investors and hedge funds own 99.77% of the company’s stock.
Teradyne Trading Down 5.4%
The firm has a market cap of $46.31 billion, a PE ratio of 40.64, a price-to-earnings-growth ratio of 0.62 and a beta of 1.75. The company has a 50 day moving average price of $368.05 and a 200 day moving average price of $347.75.
Teradyne (NASDAQ:TER – Get Free Report) last released 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 25.77% and a return on equity of 39.93%. The business had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.27 billion. During the same period in the prior year, the business earned $0.85 earnings per share. The company’s quarterly revenue was up 69.8% on a year-over-year basis. As a group, equities research analysts anticipate that Teradyne, Inc. will post 9.11 earnings per share for the current fiscal year.
Teradyne Announces Dividend
The firm also recently declared a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 4th were given a dividend of $0.13 per share. This represents a $0.52 dividend on an annualized basis and a yield of 0.2%. The ex-dividend date of this dividend was Friday, September 4th. Teradyne’s payout ratio is 7.13%.
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.
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