Teradyne, Inc. $TER Stock: Rakuten Investment Management Inc. Raises Stake

Key Points

• Rakuten Investment Management increased its Teradyne stake by 13.2% in the third quarter, adding 7,676 shares to reach 65,613 shares valued at $26.4 million.
• Teradyne beat quarterly expectations, reporting $2.29 in earnings per share and $1.31 billion in revenue; revenue rose 69.8% year over year.
• Analysts have a consensus “Moderate Buy” rating and an average $405.86 price target, while CEO Gregory Smith sold 4,000 shares under a pre-arranged trading plan.

Rakuten Investment Management Inc. raised its position in Teradyne, Inc. (NASDAQ:TER - Free Report) by 13.2% during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 65,613 shares of the company's stock after purchasing an additional 7,676 shares during the quarter. Rakuten Investment Management Inc.'s holdings in Teradyne were worth $26,443,000 as of its most recent SEC filing.

Other institutional investors have also added to or reduced their stakes in the company. Community Financial Services Group LLC bought a new position in shares of Teradyne during the second quarter valued at approximately $29,000. Next Level Wealth Planning LLC bought a new stake in shares of Teradyne during the 3rd quarter worth approximately $27,000. Elevation Wealth Partners LLC lifted its stake in shares of Teradyne by 1,320.0% during the 2nd quarter. Elevation Wealth Partners LLC now owns 71 shares of the company's stock worth $34,000 after acquiring an additional 66 shares during the last quarter. Mcdonald Partners LLC bought a new stake in shares of Teradyne during the 2nd quarter worth approximately $36,000. Finally, Hilltop National Bank bought a new stake in shares of Teradyne during the 2nd quarter worth approximately $41,000. Institutional investors own 99.77% of the company's stock.

Insider Transactions at Teradyne

In related news, CEO Gregory Smith sold 4,000 shares of the business's stock in a transaction that occurred on Thursday, October 15th. The shares were sold at an average price of $341.28, for a total value of $1,365,120.00. Following the completion of the transaction, the chief executive officer owned 104,495 shares of the company's stock, valued at $35,662,053.60. The trade was a 3.69% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 12,000 shares of company stock worth $4,416,440 over the last 90 days. Company insiders own 0.19% of the company's stock.

Key Teradyne News

Here are the key news stories impacting Teradyne this week:

• Positive Sentiment: UBS sees substantial upside: Despite Teradyne’s recent weekly decline, UBS reportedly sees 61% upside, offering a bullish counterpoint to the selloff. Teradyne Lost 17% in a Week. UBS Still Sees 61% Upside
• Positive Sentiment: Growth and AI-related optimism: Coverage describes Teradyne as a strong growth stock, while another report points to robotics profitability broadening the company’s AI growth profile. These themes may reinforce investor expectations for growth. Teradyne (TER) is an Incredible Growth Stock: 3 Reasons Why Teradyne stock: Robotics profitability broadens AI growth profile
• Positive Sentiment: Estimate revisions and oversold conditions: Zacks cited higher analyst earnings estimates and technically oversold conditions as reasons the stock could be positioned for a reversal after its steep decline. Down 38.9% in 4 Weeks, Here's Why You Should You Buy the Dip in Teradyne
• Neutral Sentiment: A comparison of Teradyne and Flex as value stocks offers investors a valuation perspective, but the available article summary does not state which company it favors. FLEX or TER: Which Is the Better Value Stock Right Now?
• Neutral Sentiment: The recent reports note a steep short-term share-price decline, highlighting ongoing volatility even as some analysts see recovery potential.

Wall Street Analysts Forecast Growth

TER has been the subject of a number of recent analyst reports. Morgan Stanley boosted their price objective on Teradyne from $387.00 to $397.00 and gave the company an "equal weight" rating in a report on Thursday, July 30th. Evercore reiterated an "outperform" rating and issued a $420.00 target price on shares of Teradyne in a research note on Thursday, July 30th. Weiss Ratings upgraded Teradyne from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Tuesday, September 29th. Robert W. Baird downgraded Teradyne from an "outperform" rating to a "neutral" rating and set a $420.00 target price for the company. in a research report on Friday, August 21st. Finally, Cantor Fitzgerald reissued an "overweight" rating and set a $550.00 target price on shares of Teradyne in a research note on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $405.86.

Teradyne Price Performance

Shares of Teradyne stock opened at $269.35 on Wednesday. The stock has a market cap of $42.05 billion, a price-to-earnings ratio of 30.92, a PEG ratio of 0.51 and a beta of 1.73. The firm's 50-day moving average is $360.00 and its two-hundred day moving average is $348.75. Teradyne, Inc. has a 1 year low of $151.52 and a 1 year high of $487.91.

Teradyne (NASDAQ:TER - Get Free Report) last posted its quarterly earnings results on Tuesday, October 27th. The company reported $2.29 EPS for the quarter, beating the consensus estimate of $2.09 by $0.20. Teradyne had a net margin of 27.46% and a return on equity of 43.81%. The business had revenue of $1.31 billion during the quarter, compared to analyst estimates of $1.27 billion. During the same quarter in the previous year, the business posted $0.85 EPS. The company's quarterly revenue was up 69.8% compared to the same quarter last year. On average, equities analysts expect that Teradyne, Inc. will post 9.36 earnings per share for the current year.

Teradyne Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, September 25th. Investors of record on Friday, September 4th were issued a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend was Friday, September 4th. Teradyne's dividend payout ratio (DPR) is presently 5.97%.

Teradyne Profile

Teradyne, Inc develops and supplies automated test equipment and industrial automation products. Its systems help manufacturers test the functionality, performance, and reliability of semiconductor devices, electronic systems, wireless products, and other complex products throughout the production process.

The company's product portfolio includes semiconductor test systems, memory and system-level test equipment, and solutions for printed circuit boards and electronic products. Teradyne also provides collaborative robots through Universal Robots and autonomous mobile robots through Mobile Industrial Robots (MiR), supporting applications such as assembly, material handling, machine tending, packaging, and warehouse logistics.

Founded in 1960 and headquartered in North Reading, Massachusetts, Teradyne serves customers worldwide, including semiconductor manufacturers, electronics producers, automotive companies, and industrial businesses.

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