Teradyne (NASDAQ:TER) Posts Earnings Results, Beats Expectations By $0.44 EPS

Teradyne (NASDAQ:TER) issued its quarterly earnings data on Monday. The company reported $1.80 EPS for the quarter, topping the consensus estimate of $1.36 by $0.44, Zacks reports. Teradyne had a return on equity of 18.04% and a net margin of 15.49%. Teradyne updated its Q1 2026 guidance to 1.890-2.250 EPS.

Teradyne Stock Performance

TER traded up $8.48 on Monday, hitting $249.53. 6,331,174 shares of the company were exchanged, compared to its average volume of 3,028,292. Teradyne has a 12 month low of $65.77 and a 12 month high of $255.20. The company has a market cap of $39.08 billion, a PE ratio of 90.74, a PEG ratio of 1.73 and a beta of 1.83. The stock’s fifty day moving average is $207.62 and its 200-day moving average is $158.02.

Teradyne Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, March 13th. Investors of record on Friday, February 13th will be given a $0.12 dividend. The ex-dividend date of this dividend is Friday, February 13th. This represents a $0.48 dividend on an annualized basis and a dividend yield of 0.2%. Teradyne’s payout ratio is currently 17.45%.

Analysts Set New Price Targets

TER has been the subject of a number of research reports. UBS Group increased their target price on Teradyne from $200.00 to $275.00 and gave the stock a “buy” rating in a research note on Monday, January 26th. The Goldman Sachs Group raised shares of Teradyne from a “sell” rating to a “buy” rating and increased their price objective for the stock from $148.00 to $230.00 in a research report on Monday, December 15th. Morgan Stanley raised their price objective on shares of Teradyne from $100.00 to $136.00 and gave the stock an “equal weight” rating in a report on Tuesday, October 14th. Susquehanna reaffirmed a “positive” rating and issued a $275.00 target price on shares of Teradyne in a research note on Monday, January 12th. Finally, Stifel Nicolaus increased their target price on Teradyne from $270.00 to $280.00 and gave the stock a “buy” rating in a report on Friday. Ten analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $218.06.

Key Stories Impacting Teradyne

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne posted a clear earnings beat — non?GAAP EPS $1.80 vs. $1.36 consensus; GAAP EPS $1.63 and revenue $1,083M with semiconductor test revenue of ~$883M, which supports stronger near?term earnings visibility. Teradyne Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Analysts and market pieces highlight surging AI chip testing demand as a catalyst for higher semiconductor test volumes and revenue, which increases investor confidence in continuation of the AI tailwind. Teradyne Earnings on Deck as AI Chip Testing Demand Surges
• Positive Sentiment: Several analysts revised forecasts ahead of or after the release, reflecting raised expectations following the company beat — a sign of improving street sentiment. Teradyne Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Positive Sentiment: Unusually heavy call?option activity (?19,317 calls, ~295% above typical volume) suggests speculative or institutional bullish positioning into/after the print. This can amplify intraday upside. Options Flow Report
• Neutral Sentiment: Coverage and transcripts provide detail on management commentary and guidance; monitor the earnings call transcript for specifics on capacity, backlog and margin dynamics. Earnings call transcript: Teradyne Q4 2024 earnings beat forecasts; stock dips
• Neutral Sentiment: Comparative coverage (e.g., robotics peers like Serve Robotics) may influence investor allocation across automation/robotics names but is not direct company?specific news. Serve Robotics vs Teradyne: Best robotics stock to buy now
• Negative Sentiment: Some outlets reported an initial dip despite the beat — indicating profit?taking or that some investors expected even stronger guidance; short?term volatility is possible. Earnings call transcript: Teradyne Q4 2024 earnings beat forecasts; stock dips
• Negative Sentiment: Valuation and volatility caveats: TER trades at a high PE and elevated beta, so upside may be tempered if growth expectations slip or macro/semiconductor cycles re?rate. Valuation Note

Insider Buying and Selling at Teradyne

In other Teradyne news, CEO Gregory Stephen Smith sold 1,108 shares of the company’s stock in a transaction on Friday, December 12th. The shares were sold at an average price of $201.31, for a total transaction of $223,051.48. Following the sale, the chief executive officer directly owned 93,409 shares of the company’s stock, valued at approximately $18,804,165.79. This represents a 1.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Corporate insiders own 0.16% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of TER. Parallel Advisors LLC raised its holdings in shares of Teradyne by 5.6% in the 3rd quarter. Parallel Advisors LLC now owns 1,312 shares of the company’s stock valued at $181,000 after purchasing an additional 69 shares during the period. Equitable Holdings Inc. increased its position in Teradyne by 3.2% during the third quarter. Equitable Holdings Inc. now owns 2,534 shares of the company’s stock worth $349,000 after buying an additional 79 shares during the last quarter. Johnson Financial Group Inc. raised its stake in Teradyne by 7.2% in the third quarter. Johnson Financial Group Inc. now owns 1,630 shares of the company’s stock valued at $224,000 after buying an additional 109 shares during the period. Vident Advisory LLC lifted its position in shares of Teradyne by 2.0% in the third quarter. Vident Advisory LLC now owns 8,054 shares of the company’s stock valued at $1,109,000 after buying an additional 161 shares during the last quarter. Finally, Norinchukin Bank The lifted its position in shares of Teradyne by 2.0% in the third quarter. Norinchukin Bank The now owns 8,865 shares of the company’s stock valued at $1,220,000 after buying an additional 173 shares during the last quarter. 99.77% of the stock is currently owned by institutional investors and hedge funds.

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.