Teradyne (NASDAQ:TER) Reaches New 1-Year High – Here’s Why

Teradyne, Inc. (NASDAQ:TER)’s share price reached a new 52-week high during trading on Monday . The company traded as high as $425.89 and last traded at $431.1210, with a volume of 35388 shares. The stock had previously closed at $403.20.

Analyst Ratings Changes

TER has been the topic of several research reports. Zacks Research upgraded shares of Teradyne from a “hold” rating to a “strong-buy” rating in a report on Tuesday, May 12th. Morgan Stanley set a $387.00 target price on shares of Teradyne in a research note on Thursday, April 30th. Stifel Nicolaus boosted their price target on Teradyne from $325.00 to $390.00 and gave the company a “buy” rating in a research note on Tuesday, April 28th. The Goldman Sachs Group boosted their price target on Teradyne from $300.00 to $350.00 and gave the company a “buy” rating in a research note on Thursday, April 30th. Finally, Robert W. Baird set a $350.00 price target on Teradyne in a report on Thursday, April 30th. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Teradyne presently has an average rating of “Moderate Buy” and a consensus target price of $339.80.

Teradyne Stock Up 6.3%

The company has a fifty day simple moving average of $364.24 and a 200-day simple moving average of $292.13. The firm has a market cap of $67.07 billion, a P/E ratio of 79.38, a price-to-earnings-growth ratio of 1.66 and a beta of 1.79.

Teradyne (NASDAQ:TER) last released its quarterly earnings data on Wednesday, April 29th. The company reported $2.56 earnings per share for the quarter, topping analysts’ consensus estimates of $2.11 by $0.45. Teradyne had a return on equity of 31.79% and a net margin of 22.55%.The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.20 billion. During the same quarter in the prior year, the company posted $0.75 earnings per share. The business’s quarterly revenue was up 87.0% compared to the same quarter last year. As a group, research analysts forecast that Teradyne, Inc. will post 7.09 EPS for the current year.

Teradyne Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 12th. Investors of record on Thursday, May 21st were issued a $0.13 dividend. The ex-dividend date of this dividend was Thursday, May 21st. This represents a $0.52 dividend on an annualized basis and a yield of 0.1%. This is a boost from Teradyne’s previous quarterly dividend of $0.12. Teradyne’s payout ratio is presently 9.63%.

Insider Buying and Selling

In related news, VP Ryan Driscoll sold 680 shares of the business’s stock in a transaction that occurred on Thursday, May 7th. The stock was sold at an average price of $377.60, for a total value of $256,768.00. Following the transaction, the vice president directly owned 7,665 shares of the company’s stock, valued at approximately $2,894,304. The trade was a 8.15% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Shannon John Poulin sold 1,008 shares of the business’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $345.37, for a total value of $348,132.96. Following the completion of the transaction, the insider directly owned 15,066 shares in the company, valued at approximately $5,203,344.42. This represents a 6.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 10,941 shares of company stock valued at $3,751,992. Corporate insiders own 0.19% of the company’s stock.

Institutional Trading of Teradyne

Large investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its holdings in shares of Teradyne by 2.1% during the 3rd quarter. Vanguard Group Inc. now owns 21,417,717 shares of the company’s stock worth $2,947,935,000 after acquiring an additional 444,940 shares in the last quarter. State Street Corp raised its holdings in shares of Teradyne by 0.9% during the 4th quarter. State Street Corp now owns 7,078,635 shares of the company’s stock worth $1,370,141,000 after acquiring an additional 60,986 shares in the last quarter. Ameriprise Financial Inc. raised its holdings in shares of Teradyne by 6.8% during the 3rd quarter. Ameriprise Financial Inc. now owns 5,256,857 shares of the company’s stock worth $723,600,000 after acquiring an additional 336,757 shares in the last quarter. Price T Rowe Associates Inc. MD raised its holdings in shares of Teradyne by 18.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,203,546 shares of the company’s stock worth $813,640,000 after acquiring an additional 659,273 shares in the last quarter. Finally, Invesco Ltd. raised its holdings in shares of Teradyne by 3.5% during the 3rd quarter. Invesco Ltd. now owns 2,959,330 shares of the company’s stock worth $407,322,000 after acquiring an additional 99,864 shares in the last quarter. Institutional investors own 99.77% of the company’s stock.

Teradyne Company Profile

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.