Teradyne has achieved 87% revenue growth year-over-year, holds a wide economic moat with a Piotroski financial health score of 7 out of 9 and 29% return on equity, and receives strongly positive news sentiment — but at $432 per share the stock trades 22% above the analyst consensus target with a forward price-to-earnings of 45.5 times, and free cash flow represents only 35% of net income.
Thesis pillars
- Exceptional Revenue Growth→Stable
- Geographic Revenue Concentration↑Improving
- Wide Moat High Quality Platform→Stable
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Feb 19, 2026· older than 90 days
Teradyne, Inc. (TER) Stock Analysis
Temporary headwind edge
Technology · Semiconductor Equipment & Materials
Wait for pullback to $268.84. Weak momentum — blocks BUY_NOW at $269.35. Engine's entry $268.84 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: outside United States (89.0%); Sector modifier (Technology): -0.8.
Teradyne designs and sells automated test equipment (Semiconductor Test and Product Test segments) and collaborative/autonomous robots (Robotics segment) globally, with 89% of 2025 revenues from outside the United States. Five largest direct customers accounted for 44% of... Read more
Wait for pullback to $268.84. Weak momentum — blocks BUY_NOW at $269.35. Engine's entry $268.84 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: outside United States (89.0%); Sector modifier (Technology): -0.8. Chart setup: No clear chart pattern; technical signals are mixed. Growth is cheap relative to earnings, but the technical setup has not yet produced a breakout above resistance (PEG 0.44, quality 8.5/10, growth 10.0/10). Score 7.0/10, moderate confidence.
Passes 7/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 84d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum. Suitability: speculative.
Recent developments
updated Nov 3, 2026Recent Developments — Teradyne, Inc.
Latest news
- NEWS Teradyne (TER) is an Incredible Growth Stock: 3 Reasons Why - Yahoo Finance — Yahoo Finance Nov 3, 2026 positive
- NEWS Teradyne Stocks Decline 4.5% With Guidance Near Current AI Testing Revenue - TradingView — TradingView Oct 29, 2026 negative
- NEWS Teradyne Inc (TER) Shares Fall 3.2% -- GF Value Says Still Overvalued - GuruFocus — GuruFocus Oct 28, 2026 negative
- NEWS Teradyne (TER) Shares Fall Despite Strong Q3 Results and Bullish Guidance - GuruFocus — GuruFocus Oct 28, 2026 positive
- NEWS Teradyne stock falls despite Q3 earnings beat, strong AI-driven outlook (TER:NASDAQ) - Seeking Alpha — Seeking Alpha Oct 28, 2026 neutral
Latest item Nov 3, 2026 · Generated 2026-11-04T11:29:29Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHGeographicoutside United States89%10-K Item 1: 'Sales to customers outside the United States were 89%, 87%, and 84%, respectively, of our consolidated revenues in 2025, 2024 and 2023'
- MEDIUMCustomerfive largest direct customers44%10-K Item 1: 'our five largest direct customers in aggregate accounted for 44%, 36%, and 32% of our consolidated revenues, respectively'
- LOWCustomeradditional direct customer (19%)19%10-K Item 1A: 'The additional direct customer accounted for 19% of consolidated revenues including certain revenues specified by our 10% specifiers'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
1 floor-breaker·1 ceiling hit
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Wait for pullback to $268.84. Weak momentum — blocks BUY_NOW at $269.35. Engine's entry $268.84 (support + ATR (held)) is the shallowest technical level that clears the 2:1 A.R:R minimum. Key risks: Concentration risk — Geographic: outside United States (89.0%); Sector modifier (Technology): -0.8. Chart setup: No clear chart pattern; technical signals are mixed. Growth is cheap relative to earnings, but the technical setup has not yet produced a breakout above resistance (PEG 0.44, quality 8.5/10, growth 10.0/10). Target $382.20 (+41.9%), stop $250.10 (−7.7%), A.R:R 2.8:1. Score 7.0/10, moderate confidence.
Take-profit target: $382.20 (+41.9% upside). Target $382.20 (+41.9%), stop $250.10 (−7.7%), A.R:R 2.8:1. Stop-loss: $250.10.
Concentration risk — Geographic: outside United States (89.0%); Sector modifier (Technology): -0.8; Negative momentum.
Teradyne, Inc. trades at a P/E of 30.0 (forward 22.5). TrendMatrix value score: 6.1/10. Verdict: Buy (Wait for Entry).
22 analysts rate TER, with a consensus score of 3.9/5. 15 analysts publish price targets averaging $425.
What does Teradyne, Inc. do?Teradyne designs and sells automated test equipment (Semiconductor Test and Product Test segments) and...
Teradyne designs and sells automated test equipment (Semiconductor Test and Product Test segments) and collaborative/autonomous robots (Robotics segment) globally, with 89% of 2025 revenues from outside the United States. Five largest direct customers accounted for 44% of consolidated revenues in 2025; approximately 6,600 employees at year-end.