Key Points
- CEO Gregory Smith sold 4,000 Teradyne shares for approximately $1.35 million at an average price of $337.83, reducing his direct stake by 3.56% to 108,495 shares. The transaction occurred under a pre-arranged Rule 10b5-1 trading plan.
- Teradyne reported strong quarterly results, with $2.47 in EPS and $1.33 billion in revenue, exceeding analyst expectations; revenue increased 103.9% year over year.
- Analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $396.80, although the stock’s premium valuation and exposure to semiconductor-demand slowdowns present risks.
Teradyne, Inc. (NASDAQ:TER - Get Free Report) CEO Gregory Smith sold 4,000 shares of Teradyne stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $337.83, for a total value of $1,351,320.00. Following the completion of the sale, the chief executive officer directly owned 108,495 shares of the company's stock, valued at approximately $36,652,865.85. This represents a 3.56% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
Gregory Stephen Smith also recently made the following trade(s):
- On Monday, August 17th, Gregory Smith sold 4,000 shares of Teradyne stock. The shares were sold at an average price of $425.00, for a total value of $1,700,000.00.
Teradyne Price Performance
TER opened at $341.15 on Thursday. The stock has a market capitalization of $53.34 billion, a price-to-earnings ratio of 46.80, a price-to-earnings-growth ratio of 0.67 and a beta of 1.78. The business has a 50-day moving average of $364.17 and a two-hundred day moving average of $360.33. Teradyne, Inc. has a 12 month low of $112.81 and a 12 month high of $487.91.
Teradyne (NASDAQ:TER - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The company reported $2.47 EPS for the quarter, beating analysts' consensus estimates of $2.09 by $0.38. The company had revenue of $1.33 billion during the quarter, compared to the consensus estimate of $1.22 billion. Teradyne had a net margin of 25.77% and a return on equity of 39.93%. The company's quarterly revenue was up 103.9% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.57 EPS. Equities research analysts anticipate that Teradyne, Inc. will post 9.1 earnings per share for the current year.
Teradyne Announces Dividend
The business also recently declared a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be given a dividend of $0.13 per share. The ex-dividend date of this dividend is Friday, September 4th. This represents a $0.52 annualized dividend and a yield of 0.2%. Teradyne's dividend payout ratio is 7.13%.
Analyst Upgrades and Downgrades
TER has been the topic of a number of research analyst reports. Wall Street Zen lowered shares of Teradyne from a "buy" rating to a "hold" rating in a report on Saturday, September 12th. The Goldman Sachs Group restated a "buy" rating and set a $465.00 price objective on shares of Teradyne in a report on Tuesday, July 28th. Weiss Ratings lowered Teradyne from a "buy (b)" rating to a "hold (c+)" rating in a research report on Thursday, September 3rd. UBS Group lifted their target price on Teradyne from $440.00 to $500.00 and gave the company a "buy" rating in a report on Monday, July 20th. Finally, Evercore reissued an "outperform" rating and set a $420.00 price target on shares of Teradyne in a research report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat, Teradyne currently has an average rating of "Moderate Buy" and a consensus price target of $396.80.
Get Our Latest Stock Analysis on Teradyne
Key Headlines Impacting Teradyne
Here are the key news stories impacting Teradyne this week:
- Positive Sentiment: AI-driven growth outlook: Analysts and market commentary continue to favor Teradyne over some semiconductor peers, citing stronger earnings momentum and expected demand for equipment used to test AI chips. The company’s robotics and semiconductor exposure also supports its long-term growth narrative. ASX vs. TER: Which AI Semiconductor Stock Should You Buy Right Now?
- Positive Sentiment: Relative strength and bullish coverage: Teradyne has substantially outperformed other semiconductor stocks over the past year, and analysts remain broadly constructive on its future. The stock’s resilience while the wider market declined may reinforce investor confidence. How Is Teradyne Stock Performance Compared to Other Semiconductor Stocks
- Positive Sentiment: Expansion in India: Teradyne opened a Bengaluru office to support semiconductor manufacturing customers as India builds domestic fabrication, packaging and testing capacity. The move expands the company’s regional presence and could create longer-term opportunities, though it is unlikely to materially affect near-term results. Teradyne Opens Office in India
- Neutral Sentiment: Valuation remains demanding: Commentary highlights that Teradyne trades at a premium earnings multiple after a sharp annual rally. The valuation reflects substantial expected growth from AI-chip testing, leaving the stock sensitive to any slowdown in semiconductor demand or difficulty converting AI opportunities into revenue. Teradyne Looks Expensive Until You Price the AI Chips It Has Not Tested Yet
- Negative Sentiment: CEO stock sale: Chief Executive Gregory Smith sold 4,000 shares worth approximately $1.35 million. The transaction was made under a pre-arranged Rule 10b5-1 plan, which reduces its significance as a discretionary bearish signal, but it may still modestly weigh on sentiment. SEC insider transaction filing
Institutional Inflows and Outflows
A number of hedge funds and other institutional investors have recently bought and sold shares of TER. BlackRock Inc. acquired a new position in shares of Teradyne during the second quarter worth about $9,404,408,000. Andar Capital Management HK Ltd purchased a new stake in shares of Teradyne in the second quarter worth about $37,800,000. Norges Bank acquired a new stake in shares of Teradyne in the fourth quarter valued at about $398,777,000. Bank of America Corp DE acquired a new stake in shares of Teradyne in the second quarter valued at about $842,822,000. Finally, Legal & General Group Plc purchased a new stake in shares of Teradyne during the 2nd quarter valued at about $656,058,000. 99.77% of the stock is owned by institutional investors and hedge funds.
Teradyne Company Profile
(
Get Free Report)
Teradyne, Inc (NASDAQ: TER) develops and supplies automated test equipment and industrial automation solutions. Its testing products are used by semiconductor, electronics, wireless, storage and other manufacturers to evaluate the performance and quality of components, devices and systems during production.
The company's semiconductor test business provides systems for testing logic, memory, analog and mixed-signal devices, along with related handlers and software. Teradyne also offers system and product test solutions for electronic equipment and wireless devices.
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