Simmons Bank Makes New $1.08 Million Investment in Teradyne, Inc. $TER

Key Points

• Simmons Bank disclosed a new stake in Teradyne, buying 3,632 shares valued at about $1.08 million in the first quarter.
• Teradyne has drawn strong institutional interest overall, with 99.77% of its stock owned by institutions and several firms recently boosting their positions significantly.
• Analysts remain upbeat on the stock: multiple firms raised price targets, and the consensus rating is Moderate Buy with an average target price of $382.87.

Simmons Bank acquired a new stake in Teradyne, Inc. (NASDAQ:TER - Free Report) in the 1st quarter, according to its most recent disclosure with the SEC. The fund acquired 3,632 shares of the company's stock, valued at approximately $1,077,000.

A number of other institutional investors have also recently modified their holdings of TER. ARK Investment Management LLC raised its position in shares of Teradyne by 25.2% in the 3rd quarter. ARK Investment Management LLC now owns 2,722,327 shares of the company's stock valued at $374,701,000 after buying an additional 548,140 shares in the last quarter. Nordea Investment Management AB lifted its holdings in shares of Teradyne by 656.4% during the 4th quarter. Nordea Investment Management AB now owns 125,312 shares of the company's stock worth $24,554,000 after acquiring an additional 108,745 shares during the period. Gouws Capital LLC boosted its position in shares of Teradyne by 96.0% during the 4th quarter. Gouws Capital LLC now owns 15,323 shares of the company's stock worth $2,966,000 after acquiring an additional 7,505 shares in the last quarter. Assenagon Asset Management S.A. boosted its position in shares of Teradyne by 3,233.4% during the 4th quarter. Assenagon Asset Management S.A. now owns 910,023 shares of the company's stock worth $176,144,000 after acquiring an additional 882,723 shares in the last quarter. Finally, Wealthfront Advisers LLC increased its stake in Teradyne by 56.0% in the fourth quarter. Wealthfront Advisers LLC now owns 29,336 shares of the company's stock valued at $5,678,000 after acquiring an additional 10,526 shares during the last quarter. 99.77% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several research firms have weighed in on TER. Bank of America upped their target price on Teradyne from $365.00 to $525.00 and gave the stock a "buy" rating in a research note on Tuesday, June 23rd. Cantor Fitzgerald boosted their price target on Teradyne from $400.00 to $550.00 and gave the stock an "overweight" rating in a report on Monday. Citigroup upped their price objective on Teradyne from $325.00 to $400.00 and gave the stock a "buy" rating in a research report on Thursday, April 30th. Weiss Ratings raised Teradyne from a "hold (c)" rating to a "buy (b-)" rating in a research note on Monday, May 4th. Finally, Morgan Stanley set a $387.00 target price on Teradyne in a research report on Thursday, April 30th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $382.87.

Teradyne Stock Performance

TER stock opened at $483.84 on Wednesday. The company has a market capitalization of $75.74 billion, a P/E ratio of 89.60, a PEG ratio of 1.34 and a beta of 1.79. The company has a fifty day moving average price of $386.08 and a 200-day moving average price of $313.30. Teradyne, Inc. has a 52-week low of $88.60 and a 52-week high of $487.91.

Teradyne (NASDAQ:TER - Get Free Report) last posted its 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. Teradyne had a net margin of 22.55% and a return on equity of 31.79%. The company had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.20 billion. During the same period in the previous year, the firm posted $0.75 earnings per share. The firm's revenue for the quarter was up 87.0% on a year-over-year basis. As a group, sell-side analysts forecast that Teradyne, Inc. will post 7.2 earnings per share for the current fiscal year.

Teradyne Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, June 12th. Stockholders of record on Thursday, May 21st were paid a $0.13 dividend. This is a boost from Teradyne's previous quarterly dividend of $0.12. This represents a $0.52 annualized dividend and a dividend yield of 0.1%. The ex-dividend date was Thursday, May 21st. Teradyne's payout ratio is currently 9.63%.

Insider Transactions at Teradyne

In other news, VP Ryan Driscoll sold 680 shares of the stock in a transaction that occurred on Thursday, May 7th. The shares were sold at an average price of $377.60, for a total transaction of $256,768.00. Following the sale, the vice president owned 7,665 shares in the company, valued at $2,894,304. This represents a 8.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Gregory Stephen Smith sold 8,597 shares of the firm's stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $338.98, for a total transaction of $2,914,211.06. Following the sale, the chief executive officer directly owned 124,470 shares of the company's stock, valued at $42,192,840.60. This trade represents a 6.46% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 14,941 shares of company stock worth $5,444,112. Corporate insiders own 0.19% of the company's stock.

Teradyne 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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