Teradyne, Inc. (TER) - Stock Analysis

Last updated: Sep 5, 2026

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Qualified momentum idea after strong Q2 results of $1.329B revenue and $2.47 non-GAAP EPS, guidance above expectations, AI-driven compute and memory demand, and technical strength with shares up about 30% over 21 trading days.

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Idea window: 8/13/2026 – 8/20/2026Sector: Technology

AI Analyst Overview

Last Price
$379.72
Market Cap
$59.37B
1D Return
+2.57%
YTD Return
+96.41%

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Valuation Metrics

P/E
51.8
P/B
17.3
P/S
13.3
EV/EBITDA
40.9
Div Yield
0.13%

Fundamental Analysis

7.0

Key Financial Insights: • Strong Margins • Improving Liquidity • Premium Valuation TER delivers strong profitability, liquidity, and cash flow, but its premium valuation, working-capital intensity, and limited shareholder yield warrant caution.

Profitability
ValuationRisk

Price Behavior

4.0

Key Price Behavior Insights: • Support rebound • Bearish trend • Resistance test Support Level: $335–$342 Resistance Level: $365–$375 TER remains bearish over the last month but is rebounding from $335–$342 support; a break above $375 would signal improving momentum, while a drop below support would reinforce the downtrend.

Cautious
ReboundPotential

Sentiment & News

6.0

Key News Insights: • AI Test Demand • Earnings Momentum • Valuation Risk Teradyne's AI-driven test demand, upbeat earnings outlook and institutional buying support upside, though rich valuation and recent volatility warrant caution.

AIGrowth
ValuationRisk
AI

AI Summary

6.0
Neutral

TER is a high-expectation AI test-complexity beneficiary—not a typical semiconductor-cycle play—but its premium valuation requires AI-driven test intensity and elevated margins to persist; investors should favor entry only if demand remains durable and shares reclaim key momentum levels, as even modest AI-capex slowing could trigger sharp multiple compression.

AIInfrastructure
ValuationRisk
SemiconductorTest
AI summary updated 6 days ago

Description

Teradyne, Inc. develops, manufactures, and supports automated test equipment and related systems for customers worldwide across semiconductor, system test, industrial automation, and wireless test markets. Its semiconductor business supplies wafer- and package-level test platforms for memory, analog/mixed-signal and high-volume devices, while other segments provide defense and storage test systems, collaborative robots and autonomous mobile robots for manufacturing, and wireless test solutions under the LitePoint brand. The company serves integrated device manufacturers, fabless firms, foundries and assembly/test providers; it was incorporated in 1960 and is headquartered in North Reading, Massachusetts.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Aug 13Aug 20TERTeradyne, Inc.
Qualified momentum idea after strong Q2 results of $1.329B revenue and $2.47 non-GAAP EPS, guidance above expectations, AI-driven compute and memory demand, and technical strength with shares up about 30% over 21 trading days.
Closed-6.7%
Jun 4Jun 11TERTeradyne, Inc.
AI semiconductor testing beneficiary: latest results showed about $1.28B revenue and GAAP EPS of $2.53, with record Q1 results, upbeat Q2 guidance, strong SemiTest momentum, and positive technical strength.
Closed-6.3%
Apr 23Apr 30TERTeradyne, Inc.
High-quality momentum-and-catalyst trade: up about 22.6% in 21 trading days, supported by AI/data-center and silicon photonics product launches, the TestInsight acquisition, and an upcoming Q1 2026 results event on 2026-04-28/2026-04-29 that can extend the move if AI test demand remains strong.
Closed-14.3%
Apr 9Apr 16TERTeradyne, Inc.
AI test-equipment beneficiary with momentum: Q4/FY results showed growth, strong FCF (~20% of revenue), and rising AI/server test demand; new AI/photonic test platforms and a MultiLane JV position TER squarely in the AI data‑center capex cycle. A ~20.5% 21‑day rally and price ~18% above its 21‑day SMA highlight near‑term breakout potential, albeit with rich valuation and pullback risk.
Closed+0.5%
Jan 22Jan 29TERTeradyne, Inc.
Accelerating AI demand driving strong Q3 revenue growth (18% sequential), robust backlog, and investments in robotics and semiconductor testing; solid financials and liquidity; stock gained 17% since late Dec 2025 supported by strong technical uptrend and AI structural tailwinds.
Closed+9.9%
Dec 22Dec 29TERTeradyne, Inc.
Teradyne delivers strong Q3 earnings beat with 18% revenue sequential growth fueled by AI-driven semiconductor test demand, with an 8.6% price rise and positive technical momentum underpinning short-term growth potential.
Closed+0.1%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.