The Analyst Verdict: Teradyne In The Eyes Of 9 Experts

Teradyne TER has been analyzed by 9 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $114.44, a high estimate of $130.00, and a low estimate of $100.00. Observing a 7.71% increase, the current average has risen from the previous average price target of $106.25.

Analyzing Analyst Ratings: A Detailed Breakdown

The standing of Teradyne among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Teradyne. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Teradyne compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Teradyne's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Teradyne's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Teradyne analyst ratings.

Discovering Teradyne: A Closer Look

Teradyne provides testing equipment, including automated test equipment for semiconductors, system testing for hard disk drives, circuit boards, and electronics systems and wireless testing for devices. The firm entered the industrial automation market in 2015, into which it sells collaborative and autonomous robots for factory applications. Teradyne serves numerous end markets and geographies directly and indirectly with its products, but its most significant exposure is to semiconductor testing. Teradyne serves vertically integrated, fabless, and foundry chipmakers with its equipment.

Teradyne: Financial Performance Dissected

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Negative Revenue Trend: Examining Teradyne's financials over 3 months reveals challenges. As of 31 December, 2023, the company experienced a decline of approximately -8.37% in revenue growth, reflecting a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Teradyne's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 17.46%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Teradyne's ROE excels beyond industry benchmarks, reaching 4.71%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 3.41%, the company showcases effective utilization of assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.03.

The Core of Analyst Ratings: What Every Investor Should Know

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.