Teradyne, Inc.

TER · Technology · Semiconductor Equipment & Materials

Large CapHigh Margin
$437.92
+7.19%

Teradyne, Inc. engages in the design, development, manufacture, and sale of automated test systems and robotics products in the United States, Asia Pacific, Europe, the Middle East, and Africa. The company operates through Semiconductor Test, Robotics, and Other segments. The Semiconductor Test segm…

What to know about TER

Teradyne, Inc. is a large Technology company with a mixed financial profile. It scores well on profitability and dividends, but risk is worth keeping an eye on.

Should you consider TER?

Based on 31 financial metrics and sector comparison. Not financial advice.

  1. Teradyne, Inc. is a large-cap Technology company with a mixed overall financial profile — it sits in the upper half of Technology stocks (35 of 82).

  2. The business is both profitable and financially healthy — it keeps a good portion of what it earns and carries its debt comfortably.

  3. The stock trades at a premium — investors are paying more per dollar of earnings than most S&P 500 companies. That's fine if strong growth justifies it, but leaves little room for disappointment.

  4. The company is growing at a reasonable pace — not the fastest, but consistently moving in the right direction.

  5. There is a small dividend (0.13%), but income-focused investors will likely find better yields elsewhere in the market.

  6. The stock is more volatile than most S&P 500 names — it can swing sharply in both directions. This suits investors comfortable with bigger short-term moves.

  7. Analyst sentiment is cautious and short interest is relatively elevated — meaning some professional investors are actively betting the price will fall. Worth understanding why.

  8. There are several areas of concern. This may suit investors with a higher risk tolerance or a specific contrarian view on the Technology sector.

At a glance

Price $437.92
Market size 68.55B
Annual dividend 0.13%
Strongest metric Dividend Yield 13.00%

How it scores

We look at 31 different financial metrics and group them into categories. Here's how TER compares to the other S&P 500 stocks.

Dividends
Good
Health
Good
Size
Good
Growth
Good
Sentiment
Average
Cash Flow
Average
Valuation
Below average
Risk
Below average
Dive deeper — all 31 metrics 9 categories · valuation, growth, health, dividends & more Show all Hide

Valuation

Is the stock cheap or expensive relative to its earnings, sales, and assets? Lower multiples often mean better value.

Metric Value vs S&P 500
P/E Ratio (Trailing) 81.10 Below avg
Forward P/E 46.08 Below avg
PEG Ratio 1.62 Above avg
Price to Sales 18.10 Below avg
Price to Book 24.45 Below avg
EV/EBITDA 55.03 Below avg
Earnings Yield 1.23% Below avg

Profitability

How efficiently does the company turn revenue into profit? Higher margins mean more money kept from each dollar earned.

Metric Value vs S&P 500
Gross Margin 58.70% Above avg
Operating Margin 37.61% Top 25%
Net Profit Margin 22.55% Top 25%
Return on Equity 28.75% Above avg
Return on Invested Capital 15.83% Top 25%

Growth

How fast is the business expanding? Strong growth in revenue and earnings signals increasing market demand.

Metric Value vs S&P 500
Revenue Growth (YoY) 87.00% Top 25%
Revenue Growth (3Y CAGR) 0.37% Below avg
EPS Growth (YoY) 314.80% Top 25%
Free Cash Flow Growth -4.99% Average

Health

Can the company cover its debts and obligations? A healthy balance sheet reduces the risk of financial trouble.

Metric Value vs S&P 500
Current Ratio 2.15 Top 25%
Debt to Equity 2.62 Below avg
Interest Coverage 96.42 Top 25%
Altman Z-Score 31.41 Top 25%

Dividends

Does the company pay shareholders, and is that payment growing and sustainable?

Metric Value vs S&P 500
Dividend Yield 13.00% Top 25%
Payout Ratio 9.09% Top 25%
Dividend Growth (5Y) -8.25% Average

Cash Flow

Is real cash flowing into the business — not just accounting profits? Strong cash flow funds growth and dividends.

Metric Value vs S&P 500
Free Cash Flow Yield 0.81% Below avg
OCF to Sales 20.54% Average

Risk

How volatile is the stock compared to the broader market? Lower beta and volatility mean a smoother ride.

Metric Value vs S&P 500
Beta (1-Year) 1.79 Below avg
Volatility (30-Day) 82.82% Below avg

Sentiment

What do analysts and short-sellers think? High analyst ratings and low short interest signal broad confidence.

Metric Value vs S&P 500
Short % of Float 5.08% Average
Avg. Analyst Rating 1.78 Above avg
Target Upside % -14.41% Below avg

Size

How large is the company by market value? Size affects stability, growth potential, and index inclusion.

Metric Value vs S&P 500
Market Capitalization 68.55B Above avg

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