TER
Teradyne, Inc.

Teradyne, Inc.TER

Technology · Semiconductor Equipment & Materials
365.10USD
-3.75%
Sep 23, 2026
TER overview ready
Automated test equipment bottleneck in memory and SoC verification
Teradyne is a semiconductor automated-test-equipment provider.
Strong narrative exposure
Exposed to the Semiconductor Supply Chain Localization narrative through Semiconductor Manufacturing Equipment and Materials — enabling supplier.
Constructive pullback in an uptrend
Longer-term context reads extended trend, with a near-term setup of constructive pullback.
Demanding valuation
The price embeds expectations that run ahead of what comparable businesses command.
Fundamentals under pressure
Ev / ebitda is weak.
Primary risk
Cyclicality of semiconductor capital spending.
Market Aug 10Filing Jun 28Price action Aug 9Research Jul 17

Conviction Level

NarrativeHeat8.7ThemeHeat8.6PriceAction9.4Valuation3.2CompanyPosition9.5
Price
Loading price history…

Price Action

Constructive pullback in an uptrend
Longer-term context reads extended trend, with a near-term setup of constructive pullback.
EntryReset + recovery

The stock remains extended from its long-term weekly base, but the recent reset toward the daily SMA100 aligned with support at the weekly EMA21. Daily structure is recovering above the fast averages, improving the current entry location.

Key Financials

Market Cap
$57.1B
Avg Volume (60D)
4.7M
60 sessions
Revenue Growth YoY
+13.1%
FY2025 vs FY2024
Gross Margin
+59.2%
Trailing twelve months
Operating Margin
+30.2%
Trailing twelve months
Free Cash Flow Yield
+1.4%
P/E
49.6x
EV / EBITDA
38.3x
EV / Sales
12.7x
Market metrics as of Aug 10, 2026
Financial results for the period ended Jun 28, 2026
Filed balance-sheet data as of Dec 31, 2022

Fundamentals & Valuation

One of the two valuation perspectives says expensive; peers is the dissenting view.
Teradyne, Inc. has an Expensive valuation stance because the price embeds expectations that run ahead of what comparable businesses command. It trades at a 1.4% free-cash-flow yield and 38.3x EBITDA, which require sustained delivery to be justified.

Company Research

Thesis
Teradyne is a semiconductor automated-test-equipment provider. Its Semiconductor Test segment supplies systems used to test complex integrated circuits, including high-performance compute, communications, automotive, and memory-related devices; it also operates collaborative and mobile robotics businesses.
Opportunity
Moderate opportunity
New fab, OSAT, and semiconductor supply-chain investment requires production equipment, process-control tools, and automated test capacity to qualify and ship increasingly complex devices.
Key risk
Cyclicality of semiconductor capital spending.

Narrative & Theme

Semiconductor Supply Chain Localization
Part of Semiconductor Manufacturing Equipment and Materials, with moderate fit.
TER but it is a credible adjacent participant because automated semiconductor testing is necessary for expanded domestic fabrication, advanced packaging, and outsourced assembly-and-test capacity.
Narrative HeatHot8.7 / 10
Theme HeatHot8.6 / 10

Business & Markets

Technology · Semiconductor Equipment & Materials
What they do

Teradyne designs, develops, manufactures, and sells automated test systems and robotics products globally, operating through Semiconductor Test, Robotics, and Other segments.

How it earns

Teradyne generates revenue primarily through transactional sales of test equipment and robotics systems.

Products & services
Automated test systems for semiconductor devices
Robotics products
Customers & end markets
Semiconductor manufacturers
Automotive industry
Industrial sector
Communications
Consumer electronics
Smartphones
Cloud computing
Computer and electronic gaming
Market position

Teradyne is a leader in automated test equipment for semiconductors and robotics.

Demand drivers
High cyclicality

Demand for semiconductor test equipment is closely tied to semiconductor industry cycles and capital spending.