Teradyne (NASDAQ:TER) Hits New 1-Year High – Still a Buy?

by · The Markets Daily

Teradyne, Inc. (NASDAQ:TER – Get Free Report) hit a new 52-week high on Friday . The company traded as high as $205.30 and last traded at $205.1880, with a volume of 233326 shares. The stock had previously closed at $193.56.

Key Teradyne News

Here are the key news stories impacting Teradyne this week:

Analyst Upgrades and Downgrades

Several research analysts have weighed in on TER shares. JPMorgan Chase & Co. increased their price objective on Teradyne from $122.00 to $190.00 and gave the stock a “neutral” rating in a research report on Thursday, October 30th. Morgan Stanley upped their price target on shares of Teradyne from $100.00 to $136.00 and gave the stock an “equal weight” rating in a report on Tuesday, October 14th. Northland Securities set a $186.00 target price on Teradyne in a research note on Thursday, October 30th. Susquehanna restated a “positive” rating and issued a $215.00 price target on shares of Teradyne in a research note on Thursday, October 30th. Finally, Stifel Nicolaus set a $225.00 target price on shares of Teradyne and gave the company a “buy” rating in a research report on Tuesday, December 2nd. One research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, Teradyne presently has a consensus rating of “Moderate Buy” and a consensus target price of $185.75.

Check Out Our Latest Stock Analysis on TER

Teradyne Price Performance

The stock has a 50-day moving average price of $182.99 and a 200-day moving average price of $136.99. The company has a market capitalization of $32.27 billion, a P/E ratio of 74.61, a P/E/G ratio of 2.02 and a beta of 1.83.

Teradyne (NASDAQ:TER – Get Free Report) last released its earnings results on Wednesday, October 29th. The company reported $0.85 earnings per share for the quarter, beating analysts’ consensus estimates of $0.78 by $0.07. The business had revenue of $769.21 million during the quarter, compared to the consensus estimate of $744.20 million. Teradyne had a net margin of 15.49% and a return on equity of 18.04%. The company’s revenue for the quarter was up 4.3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.90 EPS. Sell-side analysts anticipate that Teradyne, Inc. will post 3.88 EPS for the current fiscal year.

Teradyne Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, December 17th. Shareholders of record on Monday, November 24th were given a dividend of $0.12 per share. The ex-dividend date of this dividend was Monday, November 24th. This represents a $0.48 dividend on an annualized basis and a yield of 0.2%. Teradyne’s dividend payout ratio is 17.45%.

Insiders Place Their Bets

In other news, CEO Gregory Stephen Smith sold 1,108 shares of Teradyne stock in a transaction dated Friday, December 12th. The stock was sold at an average price of $201.31, for a total value of $223,051.48. Following the completion of the transaction, the chief executive officer directly owned 93,409 shares of the company’s stock, valued at approximately $18,804,165.79. This trade represents a 1.17% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. In the last three months, insiders sold 3,324 shares of company stock worth $583,639. Company insiders own 0.16% of the company’s stock.

Institutional Investors Weigh In On Teradyne

A number of hedge funds have recently added to or reduced their stakes in TER. Huntington National Bank grew its holdings in shares of Teradyne by 1.8% in the third quarter. Huntington National Bank now owns 3,566 shares of the company’s stock valued at $491,000 after acquiring an additional 64 shares in the last quarter. Parallel Advisors LLC grew its stake in Teradyne by 5.6% in the 3rd quarter. Parallel Advisors LLC now owns 1,312 shares of the company’s stock valued at $181,000 after buying an additional 69 shares in the last quarter. Hemington Wealth Management lifted its position in shares of Teradyne by 43.2% during the third quarter. Hemington Wealth Management now owns 262 shares of the company’s stock worth $36,000 after acquiring an additional 79 shares in the last quarter. Equitable Holdings Inc. lifted its holdings in Teradyne by 3.2% during the 3rd quarter. Equitable Holdings Inc. now owns 2,534 shares of the company’s stock worth $349,000 after purchasing an additional 79 shares in the last quarter. Finally, Allworth Financial LP boosted its position in shares of Teradyne by 5.5% in the third quarter. Allworth Financial LP now owns 1,522 shares of the company’s stock valued at $209,000 after acquiring an additional 80 shares during the period. 99.77% of the stock is currently owned by institutional investors.

Teradyne Company Profile

(Get Free Report)

Teradyne, Inc is a global supplier of automatic test equipment and related services principally used to test semiconductors, wireless products and complex electronic systems. Founded in 1960, the company is headquartered in North Reading, Massachusetts, and has a long history of developing capital equipment and software that help semiconductor manufacturers, electronics OEMs and contract manufacturers validate product performance and reliability during design and production.

The company’s product portfolio centers on automatic test equipment (ATE) and system-level test solutions that address chip- and board-level validation, burn-in and reliability screening.

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