Teradyne, Inc. (NASDAQ:TER) Receives $339.80 Consensus Target Price from Analysts

Shares of Teradyne, Inc. (NASDAQ:TER) have been assigned an average rating of “Moderate Buy” from the sixteen brokerages that are covering the company, MarketBeat.com reports. Three equities research analysts have rated the stock with a hold recommendation, twelve have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 1 year price target among brokerages that have issued ratings on the stock in the last year is $339.80.

TER has been the subject of several recent research reports. Stifel Nicolaus boosted their price objective on Teradyne from $325.00 to $390.00 and gave the company a “buy” rating in a research report on Tuesday, April 28th. Robert W. Baird set a $350.00 target price on shares of Teradyne in a report on Thursday, April 30th. Weiss Ratings upgraded shares of Teradyne from a “hold (c)” rating to a “buy (b-)” rating in a report on Monday, May 4th. Evercore set a $370.00 price target on shares of Teradyne in a research report on Thursday, April 30th. Finally, Zacks Research raised shares of Teradyne from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 12th.

Insider Buying and Selling

In other Teradyne news, insider Shannon John Poulin sold 656 shares of the stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $355.00, for a total value of $232,880.00. Following the completion of the sale, the insider owned 15,722 shares in the company, valued at approximately $5,581,310. This trade represents a 4.01% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gregory Stephen Smith sold 8,597 shares of Teradyne stock in a transaction that occurred on Friday, May 15th. The stock was sold at an average price of $338.98, for a total value of $2,914,211.06. Following the completion of the sale, the chief executive officer owned 124,470 shares in the company, valued at approximately $42,192,840.60. This represents a 6.46% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 10,941 shares of company stock valued at $3,751,992 over the last ninety days. 0.19% of the stock is owned by insiders.

Institutional Trading of Teradyne

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Caitong International Asset Management Co. Ltd purchased a new stake in shares of Teradyne in the 4th quarter worth about $28,000. McIlrath & Eck LLC purchased a new position in shares of Teradyne during the first quarter valued at about $30,000. Root Financial Partners LLC purchased a new position in shares of Teradyne during the third quarter valued at about $31,000. Davidson Capital Management Inc. bought a new position in Teradyne in the third quarter worth about $31,000. Finally, CYBER HORNET ETFs LLC purchased a new stake in Teradyne in the second quarter worth about $35,000. Hedge funds and other institutional investors own 99.77% of the company’s stock.

More Teradyne News

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne posted strong Q1 results, with EPS of $2.56 beating estimates and revenue of $1.28 billion topping expectations, while management said about 70% of revenue was tied to AI-related demand.
• Positive Sentiment: The company raised its quarterly dividend to $0.13 per share, signaling confidence in cash generation and returning more capital to shareholders.
• Neutral Sentiment: Wall Street sentiment remains constructive, with several analysts reiterating bullish ratings and a median price target above recent trading levels.
• Negative Sentiment: Investors appear focused on the sequential drop in Q2 revenue guidance versus Q1, which suggests a slowdown after an exceptionally strong quarter and may be prompting valuation compression.
• Negative Sentiment: Recent insider-sale filings, including sales by executive Shannon John Poulin, are adding to cautious sentiment even though the transactions were reportedly made under a pre-arranged 10b5-1 plan and for tax withholding.

Teradyne Trading Down 3.4%

TER opened at $375.83 on Friday. Teradyne has a 12 month low of $77.02 and a 12 month high of $422.11. The business’s 50-day moving average price is $345.20 and its 200-day moving average price is $274.34. The company has a market cap of $58.83 billion, a P/E ratio of 69.60, a P/E/G ratio of 1.60 and a beta of 1.79.

Teradyne (NASDAQ:TER) last issued its earnings results on Wednesday, April 29th. The company reported $2.56 earnings per share for the quarter, beating the consensus estimate of $2.11 by $0.45. Teradyne had a return on equity of 31.79% and a net margin of 22.55%.The company had revenue of $1.28 billion during the quarter, compared to analysts’ expectations of $1.20 billion. During the same period in the prior year, the business posted $0.75 EPS. Teradyne’s quarterly revenue was up 87.0% compared to the same quarter last year. Equities research analysts forecast that Teradyne will post 7.09 earnings per share for the current fiscal year.

Teradyne Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 12th. Stockholders of record on Thursday, May 21st will be issued a dividend of $0.13 per share. This is an increase from Teradyne’s previous quarterly dividend of $0.12. This represents a $0.52 dividend on an annualized basis and a dividend yield of 0.1%. The ex-dividend date is Thursday, May 21st. Teradyne’s dividend payout ratio (DPR) is currently 9.63%.

About Teradyne

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.