Zacks Research Has Strong Forecast for Teradyne Q1 Earnings

Teradyne, Inc. (NASDAQ:TER) – Zacks Research raised their Q1 2025 earnings per share (EPS) estimates for Teradyne in a research note issued on Wednesday, February 19th. Zacks Research analyst R. Department now expects that the company will earn $0.63 per share for the quarter, up from their previous estimate of $0.60. The consensus estimate for Teradyne’s current full-year earnings is $3.88 per share. Zacks Research also issued estimates for Teradyne’s Q3 2025 earnings at $1.08 EPS, Q4 2025 earnings at $1.18 EPS, FY2025 earnings at $3.73 EPS, Q1 2026 earnings at $1.02 EPS, Q2 2026 earnings at $1.17 EPS, Q4 2026 earnings at $1.51 EPS and FY2027 earnings at $5.48 EPS.

Teradyne (NASDAQ:TER) last announced its earnings results on Wednesday, January 29th. The company reported $0.95 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.91 by $0.04. Teradyne had a net margin of 19.23% and a return on equity of 19.08%.

A number of other brokerages have also issued reports on TER. Morgan Stanley lowered Teradyne from an “equal weight” rating to an “underweight” rating and decreased their price target for the company from $121.00 to $117.00 in a research note on Tuesday, January 21st. StockNews.com raised Teradyne from a “sell” rating to a “hold” rating in a research note on Sunday, October 27th. Northland Capmk upgraded shares of Teradyne from a “hold” rating to a “strong-buy” rating in a research report on Monday, January 6th. Susquehanna raised their price objective on shares of Teradyne from $145.00 to $165.00 and gave the company a “positive” rating in a research report on Wednesday, January 22nd. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $160.00 price objective on shares of Teradyne in a research report on Thursday, January 30th. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating, ten have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, Teradyne presently has a consensus rating of “Moderate Buy” and an average target price of $143.77.

Teradyne Price Performance

Teradyne stock opened at $115.91 on Friday. The firm has a 50 day simple moving average of $124.99 and a 200-day simple moving average of $122.99. The stock has a market capitalization of $18.88 billion, a PE ratio of 34.81, a price-to-earnings-growth ratio of 2.83 and a beta of 1.45. Teradyne has a 12-month low of $95.80 and a 12-month high of $163.21.

Institutional Investors Weigh In On Teradyne

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. grew its holdings in shares of Teradyne by 0.5% during the 4th quarter. Vanguard Group Inc. now owns 20,405,899 shares of the company’s stock valued at $2,569,511,000 after acquiring an additional 92,428 shares in the last quarter. State Street Corp boosted its position in Teradyne by 5.4% during the third quarter. State Street Corp now owns 6,880,148 shares of the company’s stock valued at $921,458,000 after purchasing an additional 350,002 shares during the last quarter. Van ECK Associates Corp grew its stake in Teradyne by 59.9% in the fourth quarter. Van ECK Associates Corp now owns 4,928,143 shares of the company’s stock valued at $620,552,000 after purchasing an additional 1,846,079 shares in the last quarter. Ameriprise Financial Inc. increased its position in Teradyne by 28.3% in the 4th quarter. Ameriprise Financial Inc. now owns 4,828,689 shares of the company’s stock worth $608,025,000 after purchasing an additional 1,065,474 shares during the last quarter. Finally, Geode Capital Management LLC raised its stake in shares of Teradyne by 2.4% during the 4th quarter. Geode Capital Management LLC now owns 4,105,505 shares of the company’s stock worth $515,665,000 after purchasing an additional 94,374 shares in the last quarter. Hedge funds and other institutional investors own 99.77% of the company’s stock.

Insider Transactions at Teradyne

In other Teradyne news, insider Richard John Burns sold 407 shares of Teradyne stock in a transaction dated Tuesday, January 28th. The stock was sold at an average price of $120.51, for a total transaction of $49,047.57. Following the transaction, the insider now owns 20,764 shares of the company’s stock, valued at $2,502,269.64. The trade was a 1.92 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Gregory Stephen Smith sold 3,080 shares of Teradyne stock in a transaction dated Friday, January 3rd. The shares were sold at an average price of $130.00, for a total value of $400,400.00. Following the transaction, the chief executive officer now directly owns 74,660 shares in the company, valued at approximately $9,705,800. This trade represents a 3.96 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 8,479 shares of company stock valued at $1,013,134 over the last ninety days. Corporate insiders own 0.36% of the company’s stock.

Teradyne announced that its Board of Directors has approved a stock buyback plan on Monday, November 11th that permits the company to repurchase $100.00 million in shares. This repurchase authorization permits the company to buy up to 0.6% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

Teradyne Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, March 14th. Stockholders of record on Friday, February 14th will be given a $0.12 dividend. This represents a $0.48 annualized dividend and a dividend yield of 0.41%. The ex-dividend date of this dividend is Friday, February 14th. Teradyne’s dividend payout ratio (DPR) is currently 14.41%.

Teradyne Company Profile

Teradyne, Inc designs, develops, manufactures, and sells automated test systems and robotics products worldwide. It operates through four segments; Semiconductor Test, System Test, Robotics, and Wireless Test. The Semiconductor Test segment offers products and services for wafer level and device package testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications.