Teradyne (NASDAQ:TER) Stock Price Down 15.2% – What’s Next?

Teradyne, Inc. (NASDAQ:TER)’s stock price dropped 15.2% during trading on Thursday. The stock traded as low as $211.63 and last traded at $212.74. 10,971,816 shares were traded during trading, an increase of 205% from the average session volume of 3,601,862 shares. The stock had previously closed at $250.99.

More Teradyne News

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne Robotics’ reported move to profitability adds another potential growth driver alongside AI demand. A separate report says its AI-related revenue exceeds 60% of sales and cites capacity expansion and future semiconductor-fab ramps as possible sources of growth; these are analyst views, not a company forecast. Robotics profitability broadens AI growth case Teradyne: Profit Taking Continues
• Positive Sentiment: Teradyne Robotics partnered with German AI company Sereact on physical-AI systems for retail and logistics, including returns handling and piece picking. The report says deployments are already operating at European logistics hubs, offering a concrete use case for its automation business. Teradyne’s physical AI push
• Positive Sentiment: Teradyne is eyeing India’s expanding semiconductor-testing equipment market, which could provide another avenue for growth, though the report does not cite specific contracts or revenue commitments. Teradyne eyes India’s semiconductor-testing market
• Neutral Sentiment: Teradyne drew increased investor attention, but the Zacks coverage primarily reviews factors affecting the stock rather than reporting a new business development. Zacks investor-attention article
• Negative Sentiment: Teradyne fell alongside other semiconductor-related stocks, including FormFactor, Amkor, Himax and Penguin Solutions, suggesting broad sector weakness contributed to the pressure. Semiconductor-related stocks trade down
• Negative Sentiment: Coverage also characterized the move as continued profit-taking amid an AI-stock selloff. That near-term selling pressure contrasts with the bullish longer-term growth case and highlights the stock’s exposure to shifts in AI-investor sentiment. Profit-taking and AI-stock selloff analysis

Wall Street Analyst Weigh In

TER has been the subject of several analyst reports. Evercore restated an “outperform” rating and issued a $420.00 price objective on shares of Teradyne in a report on Thursday, July 30th. Robert W. Baird lowered Teradyne from an “outperform” rating to a “neutral” rating and set a $420.00 target price on the stock. in a report on Friday, August 21st. Zacks Research raised Teradyne from a “hold” rating to a “strong-buy” rating in a research report on Friday, October 30th. Morgan Stanley raised their price target on Teradyne from $387.00 to $397.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. Finally, Wall Street Zen raised Teradyne from a “hold” rating to a “buy” rating in a research report on Saturday, October 24th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, Teradyne has an average rating of “Moderate Buy” and a consensus target price of $405.86.

Teradyne Stock Performance

The company has a market capitalization of $33.21 billion, a P/E ratio of 24.42, a PEG ratio of 0.53 and a beta of 1.73. The stock’s fifty day moving average price is $357.69 and its 200-day moving average price is $348.87.

Teradyne (NASDAQ:TER) last posted its quarterly earnings results on Tuesday, October 27th. The company reported $2.29 EPS for the quarter, topping analysts’ consensus estimates of $2.09 by $0.20. Teradyne had a return on equity of 43.81% and a net margin of 27.46%. The business had revenue of $1.31 billion during the quarter, compared to analysts’ expectations of $1.27 billion. During the same quarter last year, the company posted $0.85 earnings per share. Teradyne’s quarterly revenue was up 69.8% on a year-over-year basis. On average, research analysts predict that Teradyne, Inc. will post 9.36 EPS for the current fiscal year.

Teradyne Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 25th. Stockholders of record on Friday, September 4th were given a $0.13 dividend. This represents a $0.52 dividend on an annualized basis and a dividend yield of 0.2%. The ex-dividend date of this dividend was Friday, September 4th. Teradyne’s dividend payout ratio (DPR) is presently 5.97%.

Insider Activity at Teradyne

In other news, CEO Gregory Smith sold 4,000 shares of Teradyne stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $341.28, for a total transaction of $1,365,120.00. Following the completion of the transaction, the chief executive officer directly owned 104,495 shares in the company, valued at approximately $35,662,053.60. The trade was a 3.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 12,000 shares of company stock worth $4,416,440. Insiders own 0.19% of the company’s stock.

Institutional Investors Weigh In On Teradyne

A number of large investors have recently added to or reduced their stakes in the business. Community Financial Services Group LLC bought a new stake in shares of Teradyne during the 2nd quarter worth about $29,000. Next Level Wealth Planning LLC acquired a new stake in Teradyne during the third quarter worth approximately $27,000. Elevation Wealth Partners LLC lifted its position in Teradyne by 1,320.0% during the second quarter. Elevation Wealth Partners LLC now owns 71 shares of the company’s stock worth $34,000 after acquiring an additional 66 shares during the last quarter. Mcdonald Partners LLC acquired a new stake in Teradyne during the second quarter worth approximately $36,000. Finally, Hilltop National Bank bought a new stake in shares of Teradyne during the second quarter worth approximately $41,000. Institutional investors own 99.77% of the company’s stock.

Teradyne Company Profile

Teradyne, Inc develops and supplies automated test equipment and industrial automation products. Its systems help manufacturers test the functionality, performance, and reliability of semiconductor devices, electronic systems, wireless products, and other complex products throughout the production process.

The company’s product portfolio includes semiconductor test systems, memory and system-level test equipment, and solutions for printed circuit boards and electronic products. Teradyne also provides collaborative robots through Universal Robots and autonomous mobile robots through Mobile Industrial Robots (MiR), supporting applications such as assembly, material handling, machine tending, packaging, and warehouse logistics.

Founded in 1960 and headquartered in North Reading, Massachusetts, Teradyne serves customers worldwide, including semiconductor manufacturers, electronics producers, automotive companies, and industrial businesses.