Teradyne (NASDAQ:TER) Shares Gap Down – Here’s What Happened

Shares of Teradyne, Inc. (NASDAQ:TER) gapped down before the market opened on Tuesday . The stock had previously closed at $457.00, but opened at $410.17. Teradyne shares last traded at $414.4040, with a volume of 584,080 shares.

Analyst Ratings Changes

A number of analysts recently weighed in on TER shares. Cantor Fitzgerald boosted their target price on Teradyne from $330.00 to $400.00 and gave the stock an “overweight” rating in a research report on Thursday, April 9th. JPMorgan Chase & Co. raised 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. Morgan Stanley set a $387.00 price objective on shares of Teradyne in a report on Thursday, April 30th. Evercore set a $370.00 price objective on shares of Teradyne in a research note on Thursday, April 30th. Finally, Stifel Nicolaus increased their target price on shares of Teradyne from $325.00 to $390.00 and gave the company a “buy” rating in a report on Tuesday, April 28th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, Teradyne has a consensus rating of “Moderate Buy” and an average price target of $363.87.

Teradyne Stock Performance

The firm has a 50-day moving average of $376.35 and a 200-day moving average of $302.73. The firm has a market capitalization of $64.44 billion, a P/E ratio of 76.24, a price-to-earnings-growth ratio of 1.80 and a beta of 1.79.

Teradyne (NASDAQ:TER) last announced its quarterly earnings results on Wednesday, April 29th. The company reported $2.56 EPS for the quarter, topping analysts’ consensus estimates of $2.11 by $0.45. The business had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.20 billion. Teradyne had a return on equity of 31.79% and a net margin of 22.55%.The business’s quarterly revenue was up 87.0% on a year-over-year basis. During the same period in the previous year, the firm earned $0.75 EPS. Equities analysts anticipate that Teradyne, Inc. will post 7.09 EPS for the current fiscal year.

Teradyne Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 12th. Investors of record on Thursday, May 21st were issued a dividend of $0.13 per share. The ex-dividend date was Thursday, May 21st. This represents a $0.52 dividend on an annualized basis and a yield of 0.1%. This is an increase from Teradyne’s previous quarterly dividend of $0.12. Teradyne’s dividend payout ratio (DPR) is currently 9.63%.

Insider Activity at Teradyne

In other Teradyne news, CEO Gregory Stephen Smith sold 4,000 shares of the business’s stock in a transaction dated Monday, June 15th. The shares were 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 in the company, valued at approximately $50,962,424.10. The trade was a 3.21% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Ryan Driscoll sold 680 shares of the company’s stock in a transaction dated Thursday, May 7th. The shares were sold at an average price of $377.60, for a total transaction of $256,768.00. Following the transaction, the vice president directly owned 7,665 shares of the company’s stock, valued at approximately $2,894,304. This trade represents a 8.15% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 14,941 shares of company stock worth $5,444,112 in the last three months. 0.19% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of TER. McIlrath & Eck LLC purchased a new stake in Teradyne in the 1st quarter worth approximately $30,000. Cornerstone Planning Group LLC increased its stake in shares of Teradyne by 149.1% during the first quarter. Cornerstone Planning Group LLC now owns 142 shares of the company’s stock valued at $42,000 after buying an additional 85 shares during the period. Caitong International Asset Management Co. Ltd bought a new position in shares of Teradyne during the fourth quarter valued at approximately $28,000. Sunbelt Securities Inc. raised its holdings in shares of Teradyne by 66.3% during the first quarter. Sunbelt Securities Inc. now owns 153 shares of the company’s stock valued at $45,000 after acquiring an additional 61 shares in the last quarter. Finally, SJS Investment Consulting Inc. lifted its stake in Teradyne by 192.9% in the first quarter. SJS Investment Consulting Inc. now owns 164 shares of the company’s stock worth $49,000 after acquiring an additional 108 shares during the period. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Teradyne Company Profile

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.