Legal & General Group Plc Decreases Stock Holdings in Teradyne, Inc. $TER

Key Points

• Legal & General Group Plc cut its Teradyne stake by 8.8% in Q4, selling 112,375 shares and ending with 1,163,094 shares worth about $225.1 million.
• Teradyne reported strong Q1 results, with EPS of $2.56 and revenue of $1.28 billion both beating expectations. Management said roughly 70% of revenue was tied to AI-related demand.
• The company raised its quarterly dividend to $0.13 per share, while analysts remained generally bullish with several price-target increases and a consensus “Moderate Buy” rating.

Legal & General Group Plc trimmed its holdings in Teradyne, Inc. (NASDAQ:TER - Free Report) by 8.8% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,163,094 shares of the company's stock after selling 112,375 shares during the quarter. Legal & General Group Plc owned about 0.74% of Teradyne worth $225,147,000 as of its most recent SEC filing.

Other institutional investors have also bought and sold shares of the company. Integrated Wealth Concepts LLC increased its holdings in shares of Teradyne by 12.8% during the 1st quarter. Integrated Wealth Concepts LLC now owns 4,136 shares of the company's stock worth $342,000 after buying an additional 468 shares during the last quarter. Caxton Associates LLP acquired a new stake in shares of Teradyne during the 1st quarter worth approximately $297,000. Cresset Asset Management LLC increased its holdings in shares of Teradyne by 11.6% during the 2nd quarter. Cresset Asset Management LLC now owns 6,759 shares of the company's stock worth $608,000 after buying an additional 702 shares during the last quarter. NewEdge Advisors LLC increased its holdings in shares of Teradyne by 467.1% during the 2nd quarter. NewEdge Advisors LLC now owns 3,408 shares of the company's stock worth $306,000 after buying an additional 2,807 shares during the last quarter. Finally, Treasurer of the State of North Carolina increased its holdings in shares of Teradyne by 5.1% during the 2nd quarter. Treasurer of the State of North Carolina now owns 75,125 shares of the company's stock worth $6,755,000 after buying an additional 3,651 shares during the last quarter. 99.77% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Teradyne

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: Teradyne posted strong Q1 results, with EPS of $2.56 beating estimates and revenue of $1.28 billion topping expectations, while management said about 70% of revenue was tied to AI-related demand.
• Positive Sentiment: The company raised its quarterly dividend to $0.13 per share, signaling confidence in cash generation and returning more capital to shareholders.
• Neutral Sentiment: Wall Street sentiment remains constructive, with several analysts reiterating bullish ratings and a median price target above recent trading levels.
• Negative Sentiment: Investors appear focused on the sequential drop in Q2 revenue guidance versus Q1, which suggests a slowdown after an exceptionally strong quarter and may be prompting valuation compression.
• Negative Sentiment: Recent insider-sale filings, including sales by executive Shannon John Poulin, are adding to cautious sentiment even though the transactions were reportedly made under a pre-arranged 10b5-1 plan and for tax withholding.

Analyst Ratings Changes

A number of analysts have recently issued reports on TER shares. Evercore set a $370.00 price target on shares of Teradyne in a report on Thursday, April 30th. JPMorgan Chase & Co. upgraded shares of Teradyne from a "neutral" rating to an "overweight" rating and set a $400.00 price target for the company in a report on Thursday, April 30th. Cantor Fitzgerald raised their price target on shares of Teradyne from $330.00 to $400.00 and gave the stock an "overweight" rating in a report on Thursday, April 9th. Susquehanna raised their price target on shares of Teradyne from $335.00 to $415.00 and gave the stock a "positive" rating in a report on Thursday, April 9th. Finally, UBS Group raised their price target on shares of Teradyne from $325.00 to $440.00 and gave the stock a "buy" rating in a report on Tuesday, April 21st. One research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, Teradyne has an average rating of "Moderate Buy" and a consensus price target of $339.80.

Teradyne Stock Down 3.4%

NASDAQ:TER opened at $375.83 on Thursday. The company has a fifty day simple moving average of $345.20 and a two-hundred day simple moving average of $274.34. The company has a market cap of $58.83 billion, a price-to-earnings ratio of 69.60, a price-to-earnings-growth ratio of 1.60 and a beta of 1.79. Teradyne, Inc. has a 52 week low of $77.02 and a 52 week high of $422.11.

Teradyne (NASDAQ:TER - Get Free Report) last posted its quarterly earnings results on Wednesday, April 29th. The company reported $2.56 EPS for the quarter, topping the consensus estimate of $2.11 by $0.45. The business had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.20 billion. Teradyne had a net margin of 22.55% and a return on equity of 31.79%. The company's quarterly revenue was up 87.0% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.75 earnings per share. On average, analysts expect that Teradyne, Inc. will post 7.09 EPS for the current year.

Teradyne Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 12th. Shareholders of record on Thursday, May 21st will be paid a $0.13 dividend. This represents a $0.52 annualized dividend and a dividend yield of 0.1%. This is a positive change from Teradyne's previous quarterly dividend of $0.12. The ex-dividend date is Thursday, May 21st. Teradyne's payout ratio is presently 9.63%.

Insiders Place Their Bets

In other Teradyne news, VP Ryan Driscoll sold 680 shares of the business's stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $377.60, for a total value of $256,768.00. Following the completion of the transaction, the vice president owned 7,665 shares in the company, valued at $2,894,304. The trade was a 8.15% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. 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 on Thursday, May 21st. The stock was sold at an average price of $345.37, for a total transaction of $348,132.96. Following the completion of the transaction, the insider owned 15,066 shares of the company's stock, valued at approximately $5,203,344.42. This trade represents a 6.27% decrease in their position. 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. Insiders sold a total of 10,941 shares of company stock worth $3,751,992 over the last 90 days. Corporate insiders own 0.19% 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.

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