Morgan Stanley Raises Teradyne (NASDAQ:TER) Price Target to $397.00

Teradyne (NASDAQ:TER) had its target price hoisted by Morgan Stanley from $387.00 to $397.00 in a research note issued on Thursday,Benzinga reports. The brokerage currently has an “equal weight” rating on the stock. Morgan Stanley’s target price suggests a potential upside of 9.69% from the company’s previous close.

Several other research analysts have also recently issued reports on the company. The Goldman Sachs Group reiterated a “buy” rating and issued a $465.00 price objective on shares of Teradyne in a research report on Tuesday. Bank of America upped their price target on shares of Teradyne from $365.00 to $525.00 and gave the stock a “buy” rating in a research note on Tuesday, June 23rd. Robert W. Baird set a $420.00 price target on shares of Teradyne in a report on Thursday. Citigroup raised their price objective on shares of Teradyne from $325.00 to $400.00 and gave the company a “buy” rating in a research note on Thursday, April 30th. Finally, Evercore restated an “outperform” rating and set a $420.00 target price on shares of Teradyne in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat, Teradyne presently has a consensus rating of “Moderate Buy” and a consensus target price of $396.80.

Teradyne Stock Performance

TER traded up $42.51 during trading on Thursday, reaching $361.92. The company’s stock had a trading volume of 3,491,489 shares, compared to its average volume of 3,862,757. The company’s fifty day moving average price is $382.18 and its 200-day moving average price is $335.81. Teradyne has a 52-week low of $102.42 and a 52-week high of $487.91. The company has a market capitalization of $56.66 billion, a price-to-earnings ratio of 49.69, a price-to-earnings-growth ratio of 0.93 and a beta of 1.74.

Teradyne (NASDAQ:TER) last issued its earnings results on Tuesday, July 28th. The company reported $2.47 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.09 by $0.38. The business had revenue of $1.33 billion during the quarter, compared to the consensus estimate of $1.22 billion. Teradyne had a return on equity of 41.96% and a net margin of 25.77%.The company’s revenue for the quarter was up 103.9% on a year-over-year basis. During the same period in the prior year, the business posted $0.57 EPS. Teradyne has set its Q3 2026 guidance at 1.850-2.150 EPS. Equities analysts predict that Teradyne will post 7.2 earnings per share for the current year.

Insider Activity at Teradyne

In other news, VP Ryan Driscoll sold 680 shares of the firm’s stock in a transaction that occurred on Thursday, May 7th. The shares were 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 $2,894,304. This trade represents a 8.15% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Gregory Stephen Smith sold 4,000 shares of Teradyne stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $423.03, for a total value of $1,692,120.00. Following the transaction, the chief executive officer owned 120,470 shares of the company’s stock, valued at $50,962,424.10. This represents a 3.21% 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. In the last three months, insiders have sold 14,941 shares of company stock valued at $5,444,112. Insiders own 0.19% of the company’s stock.

Hedge Funds Weigh In On Teradyne

Several hedge funds have recently bought and sold shares of the stock. Gouws Capital LLC grew its stake in Teradyne by 96.0% in the 4th quarter. Gouws Capital LLC now owns 15,323 shares of the company’s stock worth $2,966,000 after acquiring an additional 7,505 shares during the period. Wealthfront Advisers LLC boosted its holdings in shares of Teradyne by 56.0% during the fourth quarter. Wealthfront Advisers LLC now owns 29,336 shares of the company’s stock worth $5,678,000 after purchasing an additional 10,526 shares during the last quarter. Merit Financial Group LLC boosted its holdings in shares of Teradyne by 81.3% during the fourth quarter. Merit Financial Group LLC now owns 6,659 shares of the company’s stock worth $1,289,000 after purchasing an additional 2,986 shares during the last quarter. Lecap Asset Management Ltd. grew its position in shares of Teradyne by 88.5% in the fourth quarter. Lecap Asset Management Ltd. now owns 8,392 shares of the company’s stock valued at $1,624,000 after purchasing an additional 3,941 shares during the period. Finally, Brendel Financial Advisors LLC acquired a new position in Teradyne in the fourth quarter valued at $2,614,000. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Key Stories Impacting Teradyne

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Strong Q2 results: Teradyne reported $1.33 billion in revenue, up 103.9% year over year and ahead of the $1.22 billion consensus estimate. Non-GAAP EPS was $2.47, exceeding expectations of approximately $2.09; Semiconductor Test generated $1.12 billion of revenue. Teradyne Reports Second Quarter 2026 Results
• Positive Sentiment: Above-consensus Q3 guidance: Management forecast revenue of $1.2 billion to $1.3 billion, or approximately $1.25 billion at the midpoint, versus analyst expectations near $1.0 billion. Adjusted EPS guidance of $1.85 to $2.15 also exceeded the roughly $1.43 consensus estimate. Teradyne forecasts upbeat revenue on strong chip equipment demand, shares jump
• Positive Sentiment: AI-driven demand supports the outlook: Higher testing requirements for advanced chips used in AI data centers and vehicles, continued wafer-fabrication investment and expanding memory opportunities are fueling expectations for additional growth. Teradyne Beats Q2 Expectations As AI Chip Demand Lifts Q3 Outlook
• Positive Sentiment: Analyst support: Cantor Fitzgerald reaffirmed its “overweight” rating and set a $550 price target, indicating continued confidence in Teradyne’s earnings momentum.
• Neutral Sentiment: Investment-fund commentary also highlighted Teradyne’s exposure to semiconductor recovery, rising chip complexity and strong demand for custom silicon, reinforcing the prevailing bullish thesis but adding no new company guidance.
• Negative Sentiment: Investors should monitor margin variability, competition and valuation risk. With a reported P/E ratio near 50, further gains may depend on Teradyne converting sustained AI-related demand into continued earnings growth.

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.