Teradyne (NASDAQ:TER) Posts Earnings Results, Beats Estimates By $0.04 EPS

Teradyne (NASDAQ:TER) posted its earnings results on Wednesday. The company reported $0.95 earnings per share for the quarter, beating the consensus estimate of $0.91 by $0.04, Zacks reports. Teradyne had a net margin of 18.75% and a return on equity of 18.56%. Teradyne updated its Q1 2025 guidance to 0.580-0.680 EPS.

Teradyne Stock Performance

Shares of TER stock traded down $11.15 during mid-day trading on Thursday, hitting $110.90. 1,991,735 shares of the stock were exchanged, compared to its average volume of 2,506,255. The stock’s fifty day simple moving average is $125.02 and its two-hundred day simple moving average is $125.71. Teradyne has a 12-month low of $92.29 and a 12-month high of $163.21. The stock has a market capitalization of $18.06 billion, a price-to-earnings ratio of 35.30, a P/E/G ratio of 2.25 and a beta of 1.46.

Teradyne Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, March 14th. Investors of record on Friday, February 14th will be paid a dividend of $0.12 per share. The ex-dividend date is Friday, February 14th. This represents a $0.48 annualized dividend and a yield of 0.43%. Teradyne’s dividend payout ratio is currently 15.24%.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the company. Evercore ISI lifted their target price on Teradyne from $130.00 to $145.00 and gave the company an “overweight” rating in a research report on Wednesday, October 9th. StockNews.com raised Teradyne from a “sell” rating to a “hold” rating in a research report on Sunday, October 27th. JPMorgan Chase & Co. upgraded Teradyne from a “neutral” rating to an “overweight” rating and lifted their target price for the company from $145.00 to $158.00 in a report on Monday, December 16th. Craig Hallum cut their price target on Teradyne from $124.00 to $111.00 and set a “hold” rating on the stock in a report on Friday, October 25th. Finally, Robert W. Baird decreased their price objective on Teradyne from $140.00 to $133.00 and set an “outperform” rating for the company in a research note on Friday, October 25th. One equities research analyst has rated the stock with a sell rating, three have given a hold rating, ten have given a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Teradyne currently has an average rating of “Moderate Buy” and an average target price of $149.31.

Insider Activity

In other news, insider Richard John Burns sold 407 shares of the stock in a transaction dated Tuesday, January 28th. The shares were sold at an average price of $120.51, for a total transaction of $49,047.57. Following the completion of the sale, the insider now owns 20,764 shares in the company, valued at approximately $2,502,269.64. This represents a 1.92 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Sanjay Mehta sold 1,789 shares of the business’s stock in a transaction dated Tuesday, January 28th. The shares were sold at an average price of $120.51, for a total value of $215,592.39. Following the completion of the transaction, the chief financial officer now owns 33,308 shares in the company, valued at $4,013,947.08. This trade represents a 5.10 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 5,383 shares of company stock valued at $677,935. Insiders own 0.36% of the company’s stock.

Teradyne declared that its board has initiated a stock repurchase plan on Monday, November 11th that authorizes the company to repurchase $100.00 million in shares. This repurchase authorization authorizes the company to reacquire up to 0.6% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

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.