Teradyne (NASDAQ:TER) Shares Up 8.3% – Time to Buy?

Teradyne, Inc. (NASDAQ:TER) traded up 8.3% on Wednesday. The company traded as high as $273.22 and last traded at $265.78. Approximately 3,662,721 shares were traded during trading, an increase of 1% from the average session volume of 3,629,501 shares. The stock had previously closed at $245.40.

Key Headlines Impacting Teradyne

These are some of the TER headlines that stood out recently:

• Positive Sentiment: Jefferies initiated coverage with a Buy rating and a $284 price target. The firm sees Teradyne’s AI-chip testing business and expanding relationship with Nvidia as growth drivers, including a potential $2 billion opportunity tied to Nvidia. Teradyne Stock Jumps. Jefferies Sees a $2 Billion Nvidia Opportunity.
• Positive Sentiment: Coverage of Jefferies’ new Buy rating described Teradyne as an AI play, reinforcing the view that demand for advanced chip testing could support future growth. Teradyne Stock Surges On Fresh Buy Rating, Called AI Play
• Neutral Sentiment: A report highlighted the debut of Teradyne’s Omnyx Edge, but the provided article information does not detail its expected financial impact. Teradyne stock rises as Omnyx Edge debuts

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on TER. Robert W. Baird cut shares of Teradyne from an “outperform” rating to a “neutral” rating and set a $420.00 price objective for the company. in a research note on Friday, August 21st. Jefferies Financial Group assumed coverage on Teradyne in a research note on Wednesday. They set a “buy” rating and a $284.00 price objective on the stock. The Goldman Sachs Group set a $440.00 price objective on Teradyne in a report on Wednesday, October 28th. UBS Group dropped their target price on Teradyne from $485.00 to $430.00 and set a “buy” rating for the company in a report on Thursday, October 29th. Finally, Wall Street Zen lowered Teradyne from a “buy” rating to a “hold” rating in a research report on Saturday. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $397.73.

Teradyne Price Performance

The company has a 50 day moving average of $347.34 and a 200-day moving average of $348.91. The company has a market capitalization of $41.49 billion, a P/E ratio of 30.51, a PEG ratio of 0.48 and a beta of 1.73.

Teradyne (NASDAQ:TER) last issued its quarterly earnings data on Tuesday, October 27th. The company reported $2.29 earnings per share for the quarter, topping analysts’ consensus estimates of $2.09 by $0.20. The firm had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.27 billion. Teradyne had a return on equity of 43.81% and a net margin of 27.46%. The business’s quarterly revenue was up 69.8% compared to the same quarter last year. During the same period last year, the company earned $0.85 EPS. Research analysts predict that Teradyne, Inc. will post 9.41 EPS for the current fiscal year.

Teradyne Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 16th. Shareholders of record on Monday, November 23rd will be issued a $0.13 dividend. The ex-dividend date is Monday, November 23rd. This represents a $0.52 annualized dividend and a yield of 0.2%. Teradyne’s dividend payout ratio is 5.97%.

Insider Activity at Teradyne

In other news, CEO Gregory Smith sold 4,000 shares of Teradyne stock in a transaction dated Thursday, October 15th. The shares were sold at an average price of $341.28, for a total transaction of $1,365,120.00. Following the sale, the chief executive officer owned 104,495 shares of the company’s stock, valued at approximately $35,662,053.60. The trade was a 3.69% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 12,000 shares of company stock valued at $4,416,440. Company insiders own 0.19% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Community Financial Services Group LLC bought a new position in shares of Teradyne in the 2nd quarter worth about $29,000. IFG Advisory LLC bought a new position in shares of Teradyne during the third quarter valued at approximately $26,000. Next Level Wealth Planning LLC bought a new position in shares of Teradyne during the third quarter valued at approximately $27,000. Elevation Wealth Partners LLC lifted its holdings in shares of Teradyne by 1,320.0% during the second quarter. Elevation Wealth Partners LLC now owns 71 shares of the company’s stock valued at $34,000 after purchasing an additional 66 shares during the last quarter. Finally, Mcdonald Partners LLC purchased a new position in shares of Teradyne during the second quarter valued at approximately $36,000. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Teradyne Company Profile

Teradyne, Inc. develops and supplies automated test equipment and robotics used by manufacturers around the world. Its test systems help customers evaluate the performance and reliability of semiconductor devices, electronic products, wireless components and storage products. The company’s offerings include semiconductor test systems, system-level test equipment and wireless test solutions. Teradyne also serves industrial automation markets through Universal Robots, which makes collaborative robots, and Mobile Industrial Robots, which develops autonomous mobile robots for moving materials in factories and other facilities.