TER
Teradyne, Inc.
TER's fundamentals are strong: revenue grew 75% and its operating margin rose 14 points to 32%. At 30x earnings, it's trading in line with its usual 29x. Analysts expect that strong growth to continue.
TER Fundamentals
| Metric | Status |
|---|---|
| Strong | |
| Strong | |
| Strong | |
| Strong |
TER's revenue, profitability, cash flow and balance sheet are all currently strong.
TER PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 22x | $189 | -28% |
| Forward | 24x | $264 | — |
| Fair | 29x | $248 | -5.9% |
| Current | 30x | $264 | — |
| Expensive | 48x | $419 | +59% |
Historical ranges are pointers, not guarantees.
TER's PE is in its fair range at 30x. If earnings grow as analysts expect, today's price would be 24x next year's earnings, in its cheap range.
TER Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Limited | |
| Moderate |
Analysts expect strong earnings and revenue growth for TER, with profitability improving.
TER Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $10.80 | +24% |
| Q3 2026 | $8.70 | +218% |
| Q2 2026 | $7.28 | +153% |
| Q1 2026 | $5.39 | +53% |
| Q4 2025 | $3.47 | +4.5% |
| Q3 2025 | $2.74 | -13% |
| Q2 2025 | $2.88 | -5.3% |
| Q1 2025 | $3.53 | +34% |
| Q4 2024 | $3.32 | +22% |
TER's earnings per share have jumped to their highest in seven years: $8.70 over the past year, up from $2.74 the year before.
TER Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $1.3B | +70% |
| Q2 2026 | $1.3B | +104% |
| Q1 2026 | $1.3B | +87% |
| Q4 2025 | $1.1B | +44% |
| Q3 2025 | $769.2M | +4.3% |
| Q2 2025 | $651.8M | -11% |
| Q1 2025 | $685.7M | +14% |
| Q4 2024 | $752.9M | +12% |
TER's revenue has grown year over year for five quarters in a row: $1.3B last quarter, up 70% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 31% | +12 points |
| Q2 2026 | 33% | +19 points |
| Q1 2026 | 37% | +19 points |
| Q4 2025 | 27% | +6.7 points |
| Q3 2025 | 19% | -1.7 points |
| Q2 2025 | 14% | -15 points |
| Q1 2025 | 18% | +4.7 points |
| Q4 2024 | 20% | +1.9 points |
TER's operating margin was 31% last quarter, up 12 points from the same quarter a year ago.
TER Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $227.3M | +9539% |
| Q2 2026 | $378.4M | +187% |
| Q1 2026 | $200.4M | +105% |
| Q4 2025 | $218.8M | -2.9% |
| Q3 2025 | $2.4M | -98% |
| Q2 2025 | $131.7M | -23% |
| Q1 2025 | $97.6M | +$134.4M |
| Q4 2024 | $225.2M | +10% |
TER generated $1B in free cash flow over the past year, up 124% from the year before.
TER Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -191K shares |
| 1 year | -1% | -1.6M shares |
| 3 years | -4.4% | -7.2M shares |
| 5 years | -16% | -29.2M shares |
| Available history | -12% | -22M shares |
TER has 158M diluted shares, down 1% from a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $99.3M |
| Q2 2026 | $68.7M |
| Q1 2026 | $5.5M |
| Q4 2025 | $183.4M |
| Q3 2025 | $243.8M |
| Q2 2025 | $117.4M |
| Q1 2025 | $157.5M |
| Q4 2024 | $143.5M |
TER spent $357M buying back its own shares over the past year, down 46% from the year before.
TER Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | -0.3x | Net Cash |
| Q2 2026 | -0.2x | Net Cash |
| Q1 2026 | -0.2x | Net Cash |
| Q4 2025 | -0.1x | Net Cash |
| Q3 2025 | -0.1x | Net Cash |
| Q2 2025 | -0.5x | Net Cash |
| Q1 2025 | -0.6x | Net Cash |
| Q4 2024 | -0.8x | Net Cash |
TER has more cash than debt.
TER Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 41.4 | Neutral |
| Stochastic | 9.6 | Oversold |
TER's weekly RSI is 41 (neutral) and its Stochastic is 10 (oversold).
TER PE vs Technology Sector
| Metric | TER | Sector median | Relative |
|---|---|---|---|
| PE | 30x | 28x | 8.8% above |
| PE % | 59 | 35 | 24 pts above |
TER is trading at 30x earnings, in line with the Technology sector's median of 28x.
TER Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $330.0 | 20% below |
| 20 week MA | $352.3 | 25% below |
| 50 week MA | $325.0 | 19% below |
| 100 week MA | $218.5 | 21% above |
| 200 week MA | $164.8 | 60% above |
TER has pulled back, but its long-term trend is still up: it's below its 8-, 20- and 50-week averages, but 60% above its 200-week average.
TER Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $69.1 | $118.9 | +72% |
| 2021 | $118.9 | $162.7 | +37% |
| 2022 | $162.7 | $86.6 | -47% |
| 2023 | $86.6 | $108.5 | +25% |
| 2024 | $108.5 | $128.5 | +18% |
| 2025 | $128.5 | $198.9 | +55% |
| 2026 YTD | $198.9 | $263.8 | +33% |
TER has finished higher in five of the last six years, two of them by more than 50%. It's up 33% so far in 2026.