TER
Teradyne
$457.00
▲ 4.4%Updated Today 7:15 PM ET
▲ Up 407.7% over the last 12 months
Market Cap
$68.55B
P/E
80.27x
Forward P/E (est.)
57.33x
ROE
29.7%
Revenue Growth
30.3%
EPS Growth
52.9%
Profit Margin
22.6%
FCF Yield
0.9%
Debt / Equity
0.07x
ROIC
16.0%
Interest Coverage
94.95x
Current Ratio
2.15x
Dividend Yield
0.1%
Implied Growth (rev. DCF)
8.3%
Rating Score
70/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what TER's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. TER trades near $457.00, above its 50-day average ($372.22) and 200-day average ($253.40). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 61 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. TER's is $31.71 (~6.9% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month TER found buyers near $340.34 (support) and sellers near $440.75 (resistance); its 52-week range is $84.24–$440.75. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 4.1× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Teradyne (TER) is a large-cap company in the Semiconductor Materials & Equipment industry, part of the Information Technology sector of the S&P 500, with a market value around $68.55B.
In its latest reported year it generated about $3.19B in revenue and $554.05M in net profit.
Our model rates TER Favorable (70/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
-3.7%
Revenue moved from $3.70B in 2021 to $3.19B in 2025, a -3.7% compound annual growth rate. The most recent year grew a strong 30.3% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
58.2%
Operating Margin
20.4%
Net Margin
17.4%
ROE
29.7%
Teradyne keeps about 22.6% of each sales dollar as net profit, with a 58.2% gross margin and 20.4% operating margin. Return on equity is 29.7% and return on invested capital about 16.0%. Margins this wide usually signal pricing power or a cost advantage.
Total Debt
$0.00
Net Debt
-$241.94M
Net cash position
Net Debt / EBITDA
-0.37x
Debt / Equity
0.07x
Leverage: debt-to-equity is 0.1x, and operating profit covers interest about 95.0x, with a current ratio of 2.1x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $0.00 of total debt against $241.94M of cash.
Operating CF
$674.41M
Free Cash Flow
$450.41M
FCF Margin
14.1%
In the latest year Teradyne produced about $674.41M of operating cash flow and $450.41M of free cash flow after capital spending. That is a free-cash-flow yield of about 0.9% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.
P/E
80.27x
P/S
20.09x
P/B
11.6x
EV / EBITDA
82.05x
TER trades at 80.3x trailing earnings (about 57.3x on estimated forward earnings), 20.1x sales, and 11.6x book value. Reverse-engineering today's price implies the market expects roughly 8.3% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How TER stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.
In the Information Technology sector (72 S&P 500 companies), TER ranks #18 of 72 by our overall rating. It trades at a premium versus the sector on earnings (80.3x P/E vs. 35.6x median) with a higher return on equity (29.7% vs. 25.6%) and faster revenue growth (30.3% vs. 17.4%).
P/E vs sector
80.3x
median 35.6x
ROE vs sector
29.7%
median 25.6%
Growth vs sector
30.3%
median 17.4%
Sector rank
#18
of 72 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$617.40 – $1,029.01
vs. $457.00 today · expected CAGR 6% – 18%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $4.15B | $5.39B | $7.01B | $9.11B | $11.84B |
| Net income | $705.00M | $916.49M | $1.19B | $1.55B | $2.01B |
| EPS | $4.50 | $5.85 | $7.61 | $9.89 | $12.86 |
| Share price (low) | $216.17 | $281.02 | $365.33 | $474.93 | $617.40 |
| Share price (high) | $360.28 | $468.37 | $608.88 | $791.54 | $1,029.01 |
| CAGR (low–high) | -53% / -21% | -22% / 1% | -7% / 10% | 1% / 15% | 6% / 18% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for TER:
- Revenue is growing 30.3% a year, a sign of real demand.
- High net margins (22.6%) point to pricing power or efficiency.
- Strong return on equity (29.7%) shows capital is put to work well.
- A conservative balance sheet (debt/equity 0.1x) lowers risk.
- Our model's overall read is Favorable (70/100).
The case against TER:
- A rich 80.3x earnings multiple prices in a lot of growth.
- Limited free cash flow at today's price.
Valuation risk — at 80.3x earnings, disappointing results could compress the multiple.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen favourably: Teradyne is a large-cap information technology business still growing nicely, with solid profitability, and a sound balance sheet. It trades at 80.3x earnings, which our model scores Favorable (70/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.