Teradyne (NASDAQ:TER) Shares Down 7.3% – What’s Next?

Teradyne, Inc. (NASDAQ:TER)’s stock price fell 7.3% on Monday . The company traded as low as $328.79 and last traded at $324.3970. Approximately 583,496 shares changed hands during trading, a decline of 85% from the average daily volume of 3,788,078 shares. The stock had previously closed at $349.92.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on TER. UBS Group boosted their target price on Teradyne from $440.00 to $500.00 and gave the company a “buy” rating in a research report on Monday, July 20th. Weiss Ratings lowered Teradyne from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday, July 20th. Citigroup raised their target price on Teradyne from $325.00 to $400.00 and gave the company a “buy” rating in a report on Thursday, April 30th. Evercore set a $370.00 target price on Teradyne in a research report on Thursday, April 30th. Finally, JPMorgan Chase & Co. upgraded shares of Teradyne from a “neutral” rating to an “overweight” rating and set a $400.00 price target on the stock in a research note on Thursday, April 30th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $394.53.

Teradyne Stock Down 6.5%

The business has a 50-day moving average price of $382.42 and a two-hundred day moving average price of $333.65. The firm has a market cap of $51.23 billion, a PE ratio of 60.61, a price-to-earnings-growth ratio of 1.01 and a beta of 1.74.

Teradyne (NASDAQ:TER) last released its earnings results on Wednesday, April 29th. The company reported $2.56 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.11 by $0.45. Teradyne had a return on equity of 31.79% and a net margin of 22.55%.The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.20 billion. During the same period last year, the business posted $0.75 earnings per share. Teradyne’s revenue was up 87.0% compared to the same quarter last year. On average, equities research analysts predict that Teradyne, Inc. will post 7.2 earnings per share for the current fiscal year.

Teradyne Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 12th. Shareholders of record on Thursday, May 21st were given a $0.13 dividend. The ex-dividend date of this dividend was Thursday, May 21st. This represents a $0.52 dividend on an annualized basis and a yield of 0.2%. This is an increase from Teradyne’s previous quarterly dividend of $0.12. Teradyne’s dividend payout ratio is 9.63%.

Insider Activity

In other news, VP Ryan Driscoll sold 680 shares of the business’s stock in a transaction dated Thursday, May 7th. The stock was sold at an average price of $377.60, for a total transaction of $256,768.00. Following the completion of the transaction, the vice president directly owned 7,665 shares of the company’s stock, valued at approximately $2,894,304. The trade was a 8.15% decrease in their ownership of the stock. The sale 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. Also, insider Shannon John Poulin sold 1,008 shares of the company’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $345.37, for a total transaction of $348,132.96. Following the sale, the insider owned 15,066 shares in the company, valued at $5,203,344.42. The trade was a 6.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. In the last quarter, insiders sold 14,941 shares of company stock worth $5,444,112. 0.19% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Teradyne

A number of large investors have recently modified their holdings of the company. Caitong International Asset Management Co. Ltd purchased a new stake in shares of Teradyne during the 4th quarter worth $28,000. Community Financial Services Group LLC purchased a new position in shares of Teradyne in the 2nd quarter valued at about $29,000. McIlrath & Eck LLC purchased a new position in shares of Teradyne in the 1st quarter valued at about $30,000. Elevation Wealth Partners LLC raised its position in shares of Teradyne by 1,320.0% during the 2nd quarter. Elevation Wealth Partners LLC now owns 71 shares of the company’s stock worth $34,000 after acquiring an additional 66 shares in the last quarter. Finally, CYBER HORNET ETFs LLC purchased a new stake in Teradyne during the second quarter worth approximately $35,000. 99.77% of the stock is owned by hedge funds and other institutional investors.

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.