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TER
Teradyne, Inc.
Summary
Business
Earnings Call
Valuation
Profitability
Financial Health
Intel
Yearly Return 10Y annualized return is excellent at 16.0% per year
Earnings Expectations TER has met or exceeded earnings expectations in all recent quarters (10/10)
Positive Reasonable Price-to-Earnings Ratio
Positive Strong Price-to-Book Ratio
Negative High Price-to-Sales Ratio
Negative Operating Profit Margin Could Be Improved

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Overall, Teradyne demonstrates strong business quality with significant growth in the Semiconductor Test sector, supported by strategic partnerships and a diversified customer base. However, challenges in the Robotics segment and uncertainty in the memory market could impact future performance. The company's growth prospects remain promising, driven by ongoing innovation and market recovery in AI and automotive sectors.

Analysis Date: January 30, 2025
Last Updated: May 29, 2025

+342%
+16.0% per year

Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.

Country US
Exchange NASDAQ
Industry Semiconductors
Sector Technology
Market Cap $22.80B
CEO Mr. Gregory S. Smith

Teradyne, Inc. is a company that creates machines and software to test electronic devices. They help manufacturers check if their products, like smartphones and computers, are working correctly before they are sold. Teradyne also makes robotic arms and mobile robots that assist in factories and warehouses. In simple terms, they ensure that technology products are high-quality and help businesses run smoothly.

Streams of revenue

Product: 83%
Service: 17%

Geographic Distribution

Asia Pacific: 77%
Americas: 14%
EMEA: 9%

Core Products

🖥️
System Test System-level testing
💾
Storage Test Data storage testing
📡
Wireless Test Wireless device testing
🔬
Semiconductor Test Chip testing solutions
🤖
Automation Solutions Industrial automation

Business Type

B2B Business to Business

Competitive Advantages

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Key Business Risks

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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

Graham Value Metrics

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ROE: 17.690840023743277

ROA: None

Gross Profit Margin: 59.286942642169414

Net Profit Margin: 19.85968467251555

Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

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About Profitability Metrics

Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.

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About Financial Health Metrics

Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.

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Meeting Expectations

10 /10

Higher values indicate better execution and credibility

Recent Results

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EPS

0.61
Estimated
0.75
Actual
+22.95%
Difference

Revenue

$678043870
Estimated
$685680000
Actual
+1.13%
Difference
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Insider trading data shows purchase and sale activities by company executives and board members.

Insider Sentiment Analysis

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TER Stock Analysis: Teradyne, Inc. Investment Guide

TER (Teradyne, Inc.) is a Technology company listed on NASDAQ Global Select. The stock has generated 16.0% annual returns with an overall investment score of None/100.

Overall, Teradyne demonstrates strong business quality with significant growth in the Semiconductor Test sector, supported by strategic partnerships and a diversified customer base. However, challenges in the Robotics segment and uncertainty in the memory market could impact future performance. The company's growth prospects remain promising, driven by ongoing innovation and market recovery in AI and automotive sectors.

TER Key Financial Metrics

TER financial analysis includes comprehensive valuation ratios, profitability metrics, and financial health indicators. The company has a valuation score of 2.555903773985256/100 and profitability score of 5.0/100 with financial health rated 10.0/100.

About Teradyne, Inc.

Teradyne, Inc. is a company that creates machines and software to test electronic devices. They help manufacturers check if their products, like smartphones and computers, are working correctly before they are sold. Teradyne also makes robotic arms and mobile robots that assist in factories and warehouses. In simple terms, they ensure that technology products are high-quality and help businesses run smoothly.

TER Investment Recommendation

Based on our comprehensive analysis of TER, investors should consider the company's strong performance track record, earnings consistency (10/10 quarters beat expectations), and current valuation metrics when making investment decisions.

Technology Sector Analysis

TER operates in the Semiconductors industry within the Technology sector. This analysis compares Teradyne, Inc. performance against industry and sector benchmarks to provide context for investment decisions.

Frequently Asked Questions about TER Stock

Is TER a good investment?

TER (Teradyne, Inc.) has generated 16.0% annual returns with an overall score of None/100. Overall, Teradyne demonstrates strong business quality with significant growth in the Semiconductor Test sector, supported by strategic partnerships and a diversified customer base. However, challenges in the Robotics segment and … Investors should consider their risk tolerance and investment goals when evaluating TER.

What is TER P/E ratio and valuation?

TER valuation metrics including P/E ratio, price-to-book ratio, and price-to-sales ratio are analyzed on this page with comparisons to Semiconductors industry and Technology sector benchmarks. The company currently has a valuation score of 2.555903773985256/100.

Should I buy TER stock now?

The decision to buy TER stock should be based on comprehensive analysis of financial metrics, market conditions, and individual investment goals. Our analysis provides profitability score of 5.0/100, financial health score of 10.0/100, and detailed performance metrics to help inform your investment decision.

What are TER financial health indicators?

TER financial health analysis includes liquidity ratios, debt levels, cash flow metrics, and profitability indicators. The company has a financial health score of 10.0/100 based on comprehensive analysis of balance sheet strength and operational efficiency.

How does TER compare to competitors?

TER performance is benchmarked against Semiconductors industry peers and Technology sector averages. Our analysis includes comparative valuation ratios, profitability metrics, and growth indicators to provide context for Teradyne, Inc.'s market position.

What are TER historical returns?

TER has generated 16.0% annual returns over the 10Y. Historical performance analysis includes price appreciation, dividend yields, and total shareholder returns compared to market benchmarks.

TER Key Investment Metrics Summary

  • Annual Return: 16.0%
  • Valuation Score: 2.555903773985256/100
  • Profitability Score: 5.0/100
  • Financial Health Score: 10.0/100
  • Growth Score: -0.6210226683240782/100
  • Earnings Beat Rate: 10/10 quarters
  • Sector: Technology
  • Industry: Semiconductors
  • Exchange: NASDAQ Global Select
  • Market Cap: 22800540000

TER Investment Thesis

Teradyne, Inc. (TER) represents an excellent investment opportunity in the Technology sector. With an overall score of None/100, the company demonstrates areas for financial improvement.

Investment Strengths

  • Reasonable Price-to-Earnings Ratio
  • Strong Price-to-Book Ratio
  • Strong Gross and Net Profit Margins
  • High Return on Equity
  • Low Debt Levels
  • Strong Liquidity Ratios
  • Strong Growth in Semiconductor Test Business
  • Diversified Customer Base
  • Strategic Partnerships and Innovation
  • Anticipated Growth in AI and Automotive Segments
  • Long-Term Revenue Growth Model

Investment Risks

  • High Price-to-Sales Ratio
  • Operating Profit Margin Could Be Improved
  • Interest Coverage Ratio is Concerning
  • Challenges in Robotics Sector
  • Weakness in Industrial Automation Market
  • Uncertain Recovery in the Robotics Sector
  • Potential Slowdown in Memory Market Growth
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