Teradyne (NASDAQ:TER) Sets New 1-Year High on Better-Than-Expected Earnings

Teradyne, Inc. (NASDAQ:TER)’s stock price hit a new 52-week high on Wednesday following a better than expected earnings announcement. The stock traded as high as $177.24 and last traded at $164.4220, with a volume of 3040535 shares trading hands. The stock had previously closed at $144.38.

The company reported $0.85 EPS for the quarter, topping the consensus estimate of $0.78 by $0.07. Teradyne had a net margin of 15.49% and a return on equity of 17.88%. The firm had revenue of $769.21 million for the quarter, compared to analyst estimates of $744.20 million. During the same period last year, the business earned $0.90 EPS. Teradyne’s revenue for the quarter was up 4.3% compared to the same quarter last year. Teradyne has set its Q4 2025 guidance at 1.200-1.460 EPS.

Teradyne Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, September 29th. Investors of record on Friday, September 5th were given a $0.12 dividend. The ex-dividend date of this dividend was Friday, September 5th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.3%. Teradyne’s dividend payout ratio is 16.61%.

Wall Street Analyst Weigh In

Several research firms have commented on TER. Cantor Fitzgerald reaffirmed an “overweight” rating and set a $180.00 price target on shares of Teradyne in a research report on Wednesday. Stifel Nicolaus raised their target price on shares of Teradyne from $119.00 to $135.00 and gave the stock a “hold” rating in a research report on Tuesday. The Goldman Sachs Group upped their price target on shares of Teradyne from $85.00 to $130.00 and gave the company a “sell” rating in a research report on Thursday, October 9th. Wall Street Zen raised shares of Teradyne from a “sell” rating to a “hold” rating in a research report on Monday, September 1st. Finally, Zacks Research upgraded shares of Teradyne from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, October 22nd. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $147.44.

Insider Activity

In related news, CEO Gregory Stephen Smith sold 1,108 shares of the firm’s stock in a transaction dated Friday, October 10th. The stock was sold at an average price of $145.24, for a total transaction of $160,925.92. Following the transaction, the chief executive officer owned 94,777 shares of the company’s stock, valued at $13,765,411.48. This trade represents a 1.16% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Insiders sold a total of 2,770 shares of company stock worth $353,380 over the last 90 days. Company insiders own 0.16% of the company’s stock.

Hedge Funds Weigh In On Teradyne

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Root Financial Partners LLC purchased a new position in shares of Teradyne during the third quarter worth about $31,000. Hemington Wealth Management lifted its position in Teradyne by 43.2% in the third quarter. Hemington Wealth Management now owns 262 shares of the company’s stock valued at $36,000 after purchasing an additional 79 shares during the period. Berbice Capital Management LLC lifted its position in Teradyne by 200.0% in the first quarter. Berbice Capital Management LLC now owns 300 shares of the company’s stock valued at $25,000 after purchasing an additional 200 shares during the period. CYBER HORNET ETFs LLC acquired a new stake in Teradyne in the second quarter valued at about $35,000. Finally, Manchester Capital Management LLC lifted its position in Teradyne by 44.7% in the first quarter. Manchester Capital Management LLC now owns 453 shares of the company’s stock valued at $37,000 after purchasing an additional 140 shares during the period. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Teradyne Price Performance

The stock has a market cap of $27.67 billion, a price-to-earnings ratio of 63.25, a P/E/G ratio of 3.02 and a beta of 1.82. The stock’s 50-day moving average is $130.55 and its 200 day moving average is $102.98.

About Teradyne

Teradyne, Inc designs, develops, manufactures, and sells automated test systems and robotics products worldwide. It operates through four segments; Semiconductor Test, System Test, Robotics, and Wireless Test. The Semiconductor Test segment offers products and services for wafer level and device package testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications.