Teradyne, Inc. Announces Quarterly Dividend of $0.12 (NASDAQ:TER)

Key Points

• Teradyne, Inc. announced a quarterly dividend of $0.12 per share, payable on September 29, with a dividend yield of 0.4% based on an annualized payout.
• The company reported earnings of $0.57 per share for the last quarter, exceeding expectations, although revenue was down by 10.7% year-over-year.
• Teradyne has initiated a share buyback program authorizing the repurchase of up to $1.00 billion in outstanding shares, indicating the board's belief in the undervaluation of its stock.

Teradyne, Inc. (NASDAQ:TER - Get Free Report) announced a quarterly dividend on Monday, August 25th, RTT News reports. Investors of record on Friday, September 5th will be given a dividend of 0.12 per share on Monday, September 29th. This represents a c) dividend on an annualized basis and a yield of 0.4%.

Teradyne has a dividend payout ratio of 10.6% meaning its dividend is sufficiently covered by earnings. Analysts expect Teradyne to earn $5.10 per share next year, which means the company should continue to be able to cover its $0.48 annual dividend with an expected future payout ratio of 9.4%.

Teradyne Stock Up 1.5%

Shares of NASDAQ TER traded up $1.77 during trading hours on Monday, hitting $117.07. The company had a trading volume of 3,570,209 shares, compared to its average volume of 4,902,951. The firm's 50 day moving average is $98.28 and its 200-day moving average is $91.03. Teradyne has a 1-year low of $65.77 and a 1-year high of $144.16. The stock has a market capitalization of $18.62 billion, a P/E ratio of 40.51, a price-to-earnings-growth ratio of 2.43 and a beta of 1.72.

Teradyne (NASDAQ:TER - Get Free Report) last announced its quarterly earnings results on Tuesday, July 29th. The company reported $0.57 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.03. The business had revenue of $651.80 million during the quarter, compared to the consensus estimate of $649.02 million. Teradyne had a return on equity of 18.16% and a net margin of 16.59%.The company's quarterly revenue was down 10.7% on a year-over-year basis. During the same quarter last year, the firm posted $0.86 EPS. Teradyne has set its Q3 2025 guidance at 0.690-0.870 EPS. On average, sell-side analysts predict that Teradyne will post 3.88 earnings per share for the current year.

Teradyne declared that its Board of Directors has approved a share buyback program on Monday, April 28th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the company to buy up to 8.1% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company's board believes its shares are undervalued.

Teradyne Company Profile

Teradyne, Inc designs, develops, manufactures, and sells automated test systems and robotics products worldwide. It operates through four segments; Semiconductor Test, System Test, Robotics, and Wireless Test. The Semiconductor Test segment offers products and services for wafer level and device package testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.