A Glimpse of Teradyne's Earnings Potential

Teradyne (NASDAQ:TER) is preparing to release its quarterly earnings on Tuesday, 2025-10-28. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Teradyne to report an earnings per share (EPS) of $0.79.

The announcement from Teradyne is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.

It's worth noting for new investors that guidance can be a key determinant of stock price movements.

Overview of Past Earnings

The company's EPS beat by $0.03 in the last quarter, leading to a 18.88% increase in the share price on the following day.

Here's a look at Teradyne's past performance and the resulting price change:

Stock Performance

Shares of Teradyne were trading at $144.28 as of October 24. Over the last 52-week period, shares are up 30.35%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Analysts' Perspectives on Teradyne

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Teradyne.

With 8 analyst ratings, Teradyne has a consensus rating of Neutral. The average one-year price target is $135.0, indicating a potential 6.43% downside.

Analyzing Analyst Ratings Among Peers

The below comparison of the analyst ratings and average 1-year price targets of Entegris, MKS and Amkor Tech, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Entegris, with an average 1-year price target of $99.0, suggesting a potential 31.38% downside.
• Analysts currently favor an Buy trajectory for MKS, with an average 1-year price target of $129.2, suggesting a potential 10.45% downside.
• Analysts currently favor an Neutral trajectory for Amkor Tech, with an average 1-year price target of $25.0, suggesting a potential 82.67% downside.

Summary of Peers Analysis

In the peer analysis summary, key metrics for Entegris, MKS and Amkor Tech are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Teradyne ranks in the middle for consensus rating among its peers. It ranks at the bottom for revenue growth. It is in the middle for gross profit. It ranks at the top for return on equity.

About Teradyne

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's Economic Impact: An Analysis

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Teradyne's revenue growth over a period of 3 months has faced challenges. As of 30 June, 2025, the company experienced a revenue decline of approximately -10.7%. This indicates a decrease in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Teradyne's net margin is impressive, surpassing industry averages. With a net margin of 12.02%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Teradyne's ROE excels beyond industry benchmarks, reaching 2.78%. 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 2.1%, the company showcases effective utilization of assets.

Debt Management: With a below-average debt-to-equity ratio of 0.03, Teradyne adopts a prudent financial strategy, indicating a balanced approach to debt management.

To track all earnings releases for Teradyne visit their earnings calendar on our site.

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