Teradyne, Inc. (TER)
POSITIVEPrice
$403.20
Market Cap
$63.12B
Fundamental
69
Technical
85
Composite
74
AI Analysis
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Overview
Teradyne, Inc. engages in the design, development, manufacture, and sale of automated test systems and robotics products in the United States, Asia Pacific, Europe, the Middle East, and Africa. The company operates through Semiconductor Test, Robotics, and Other segments. The Semiconductor Test segment offers products and services for wafer level and device package testing, and system level testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications. This segment also provides FLEX test platform systems; J750 test system to address the volume semiconductor devices, including microcontrollers; Magnum platform that tests memory devices, such as flash memory and DRAM; and ETS platform for semiconductor manufacturers, and assembly and test subcontractors in the analog/mixed signal markets. It serves integrated device manufacturers that integrate the fabrication of silicon wafers into their business; fabless companies that outsource the manufacturing of silicon wafers; foundries; and semiconductor assembly and test providers. The Robotics segment provides collaborative robotic arms and autonomous mobile robots for manufacturing, logistics, and industrial customers. It also provides product test instruments which includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace test, circuit-board test, wireless test systems, and silicon photonics testing. Teradyne, Inc. was incorporated in 1960 and is headquartered in North Reading, Massachusetts.
Balance Sheet & Liquidity
Revenue
$1.28B
Net Income
$399M
Free Cash Flow
$198M
Total Equity
$3.14B
Total Liabilities
$1.29B
Current Ratio
2.15
Interest Coverage
150.11
Debt/EBITDA
2.73
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Fair Value Estimation
OvervaluedFair Value
$196.88
Current Price
$403.20
Margin of Safety
-104.8%
Fair Value Range
$127.97 - $265.79
Estimation Methods
Valuation Metrics
P/E Ratio
158.12
ROE
12.7%
P/B Ratio
20.08
P/FCF
319.05
Gross Margin
60.9%
ROIC
10.9%
Value Creation (Economic Moat)
ROIC
10.9%
WACC
14.1%
ROIC − WACC
-3.1 pp
ROIC is below the cost of capital — the company is destroying value for every dollar invested.
Fundamental Analysis Criteria
Passed (19)
- EPS shows upward trend
- EPS CAGR 42.99%
- Price CAGR 31.85%
- ROIC 10.9%
- Gross Margin 60.9%
- Debt/Equity ratio
- Operating Margin 36.9%
- Positive Free Cash Flow
- Current Ratio
- Interest Coverage
- Debt/EBITDA
- Return on Tangible Assets
- Low reliance on intangibles
- ROE 29.7%
- Analyst Consensus 70% Buy
- Earnings Surprise avg 14.5%
- Share Dilution -1.7%
- Net Margin Trend 31.1% vs 17.4%
- Piotroski F-Score 6/9
Failed (7)
- P/FCF 319.05
- P/B Ratio 20.08
- CapEx intensity
- Price below Graham Number
- DCF valuation (Overvalued)
- Revenue Growth 5Y 0.4%
- Earnings Quality (OCF/NI) 0.66
Unavailable (2)
- Dividend Payout NaN%
- PEG Ratio (need PE > 0 and growth > 0)
Price Chart
Technical Indicators
RSI (14)
57.52
SMA 50
$364.54
SMA 200
$247.33
MACD
0.45
Volatility
3.9%
Momentum (12m)
369.3%
RSI 57.5, SMA trend bullish, momentum 369.3%.
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
Moderate: some gap between profits and cash
Share Dilution
Buying back shares. Shareholder friendly
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Gregory Stephen Smith | President, CEO & Director | 61 |
| Ms. Michelle L. Turner | VP, CFO, Treasurer & Principal Accounting Officer | 51 |
| Mr. Ryan E. Driscoll | Vice President, General Counsel & Secretary | 47 |
| Mr. Sanjay Mehta | Executive Advisor | 56 |
| Mr. Shannon John Poulin | President of Semiconductor Test Division | 54 |
| Mr. Regan Mills | President of Product Test Group | 55 |
| Ms. Shannon Gath | VP & Chief Information Officer | - |
| Mr. Jim Mahon | VP & Chief Human Resources Officer | - |
| Mr. Jean-Pierre Hathout | President of the Teradyne Robotics | 55 |
| Mr. James Davidson | Chief Artificial Intelligence Officer | - |
Audit Risk
4
Board Risk
2
Compensation Risk
4
Shareholder Rights Risk
1
Latest News
Recent headlines for TER, sourced from Markets Gazette.
- 4/24/2026NEUTRALHere's How Much $100 Invested In Teradyne 5 Years Ago Would Be Worth Today
An investment of $100 in Teradyne Inc. five years ago would have grown to approximately $220 today, representing a compound annual growth rate of about 17%. This performance reflects the company's trajectory in the semiconductor test equipment market. While past performance is not indicative of future results, this historical return provides context for the stock's valuation and investor sentiment over the medium term. Investors should consider current market conditions and Teradyne's future growth prospects.
- 4/10/2026NEUTRALHere's How Much You Would Have Made Owning Teradyne Stock In The Last 5 Years
An analysis of Teradyne Inc. stock performance over the past five years reveals a complex investment journey. While specific return figures are not detailed in the provided snippet, such historical performance reviews typically highlight periods of significant growth and potential drawdowns. Investors often use this data to gauge a company's resilience, growth trajectory, and management's effectiveness in navigating market cycles. The article likely aims to provide context for current investment decisions by illustrating past trends in revenue, profitability, and stock price movements, offering insights into the company's long-term value creation potential.
- 3/9/2026POSITIVEIf You Invested $100 In Teradyne Stock 5 Years Ago, You Would Have This Much Today
An investment of $100 in Teradyne Inc. (TER) five years ago would have yielded a significant return, illustrating the company's strong performance and growth trajectory. While specific figures are not provided in the summary, the premise suggests substantial capital appreciation for shareholders. This performance likely stems from advancements in Teradyne's semiconductor test equipment and automation solutions, catering to growing demand in sectors like AI and high-performance computing. Investors considering Teradyne should evaluate its competitive positioning and future innovation pipeline.
via Markets Gazette