Primecap Management Co. CA Reduces Stake in Teradyne, Inc. $TER

Primecap Management Co. CA lessened its stake in shares of Teradyne, Inc. (NASDAQ:TER) by 16.3% in the third quarter, Holdings Channel reports. The institutional investor owned 2,551,268 shares of the company’s stock after selling 496,290 shares during the quarter. Primecap Management Co. CA’s holdings in Teradyne were worth $351,157,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of TER. RWA Wealth Partners LLC boosted its position in shares of Teradyne by 1.0% in the third quarter. RWA Wealth Partners LLC now owns 27,569 shares of the company’s stock valued at $3,795,000 after acquiring an additional 262 shares during the period. Aspen Wealth Strategies LLC bought a new stake in Teradyne during the 3rd quarter worth approximately $577,000. TD Asset Management Inc lifted its stake in Teradyne by 237.4% in the 3rd quarter. TD Asset Management Inc now owns 154,813 shares of the company’s stock worth $21,308,000 after purchasing an additional 108,933 shares in the last quarter. Waratah Capital Advisors Ltd. purchased a new stake in Teradyne in the 3rd quarter worth approximately $432,000. Finally, Mufg Securities Americas Inc. boosted its holdings in Teradyne by 20.7% in the 3rd quarter. Mufg Securities Americas Inc. now owns 4,290 shares of the company’s stock valued at $590,000 after purchasing an additional 735 shares during the period. 99.77% of the stock is currently owned by institutional investors.

Key Teradyne News

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: AI-driven revenue surge — Analysts and industry pieces highlight that AI testing and robotics are driving rapid revenue acceleration; one report says AI could represent up to ~70% of Teradyne’s Q1-2026 revenue, underpinning near-term earnings upside. TER Rides on Strong AI Infrastructure Demand
• Positive Sentiment: Analyst revisions and momentum — Coverage comparing Teradyne to peers notes large upward earnings-estimate revisions and a six‑month share surge (~177%), suggesting improved sell‑side sentiment and momentum flows supporting the stock. Amphenol vs. Teradyne: Which AI Chip Stock Should You Buy Now?
• Positive Sentiment: Product and geographic expansion — Teradyne is showcasing new AI-driven semiconductor test platforms and expanded robotics offerings at the IESA Vision Summit in India, supporting market-share growth in a growing electronics/semiconductor market. Teradyne to Showcase Leading Semiconductor Test Solutions at IESA Vision Summit
• Neutral Sentiment: Robotics/AI sector tailwinds — Broader robotics and physical-AI enthusiasm (e.g., Nvidia-led initiatives) provide a positive backdrop for Teradyne’s robotics unit, but general sector hype can be cyclical and competitive. Top Robotics Stocks Worth Investing Now
• Neutral Sentiment: Valuation considerations — Multiple reports note Teradyne’s valuation has expanded materially after recent gains; investors should balance growth expectations against a high P/E and stretched multiples. Teradyne Showcases AI Testing At IESA Summit As Valuation Runs Hot
• Negative Sentiment: Institutional trimming — Cathie Wood’s ARK sold roughly $35M of Teradyne stock and redeployed funds into other names, a visible block sale that can create short-term selling pressure or signal tactical rebalancing by large active funds. Cathie Wood Sells $35M in Teradyne

Insider Activity

In related news, CEO Gregory Stephen Smith sold 1,108 shares of the stock in a transaction on Friday, December 12th. The shares were sold at an average price of $201.31, for a total transaction of $223,051.48. Following the transaction, the chief executive officer owned 93,409 shares of the company’s stock, valued at approximately $18,804,165.79. This trade represents a 1.17% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.16% of the company’s stock.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on the company. Robert W. Baird set a $305.00 price objective on Teradyne in a research report on Wednesday, February 4th. Wall Street Zen upgraded Teradyne from a “hold” rating to a “buy” rating in a research note on Saturday, February 21st. UBS Group raised their price target on Teradyne from $200.00 to $275.00 and gave the company a “buy” rating in a report on Monday, January 26th. Northland Securities reissued a “market perform” rating and set a $270.00 price objective on shares of Teradyne in a report on Wednesday, February 4th. Finally, Vertical Research downgraded shares of Teradyne from a “buy” rating to a “hold” rating and set a $220.00 target price on the stock. in a research note on Friday, January 9th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $256.24.

Teradyne Trading Up 4.2%

Shares of Teradyne stock opened at $342.82 on Thursday. The firm has a market capitalization of $53.67 billion, a PE ratio of 98.51, a price-to-earnings-growth ratio of 2.04 and a beta of 1.83. The business’s 50-day moving average price is $249.34 and its 200-day moving average price is $183.62. Teradyne, Inc. has a 12 month low of $65.77 and a 12 month high of $343.69.

Teradyne (NASDAQ:TER) last released its earnings results on Tuesday, February 3rd. The company reported $1.80 earnings per share for the quarter, topping analysts’ consensus estimates of $1.36 by $0.44. The company had revenue of $1.08 billion during the quarter, compared to the consensus estimate of $970.44 million. Teradyne had a return on equity of 22.68% and a net margin of 17.37%.Teradyne’s quarterly revenue was up 43.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.95 EPS. As a group, analysts predict that Teradyne, Inc. will post 3.88 earnings per share for the current fiscal year.

Teradyne Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 13th. Stockholders of record on Friday, February 13th will be paid a $0.12 dividend. The ex-dividend date of this dividend is Friday, February 13th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.1%. Teradyne’s dividend payout ratio is 14.94%.

Teradyne Profile

Teradyne, Inc is a global supplier of automatic test equipment and related services principally used to test semiconductors, wireless products and complex electronic systems. Founded in 1960, the company is headquartered in North Reading, Massachusetts, and has a long history of developing capital equipment and software that help semiconductor manufacturers, electronics OEMs and contract manufacturers validate product performance and reliability during design and production.

The company’s product portfolio centers on automatic test equipment (ATE) and system-level test solutions that address chip- and board-level validation, burn-in and reliability screening.