Teradyne Inc Stock Research

Market Summary

USD105.97+3.34

Market Closed

3.25%

TER Alerts

1 major insider sales recently.
Big fall in Revenue (Y/Y)

TER Stock Price

TER RSI Chart

TER Valuation

Market Cap

16.5B

Price/Earnings (Trailing)

23.07

Price/Sales (Trailing)

5.23

EV/EBITDA

16.74

Price/Free Cashflow

39.8

TER Price/Sales (Trailing)

TER Profitability

EBT Margin

26.64%

Return on Equity

29.19%

Return on Assets

20.44%

Free Cashflow Yield

2.51%

TER Fundamentals

TER Revenue

Revenue (TTM)

3.2B

Revenue Y/Y

-17.31%

Revenue Q/Q

-11.51%

TER Earnings

Earnings (TTM)

715.5M

Earnings Y/Y

-23.09%

Earnings Q/Q

-6.1%

Price Action

52 Week Range

67.73126.85

(Low)(High)

Last 7 days

-0.6%

Last 30 days

-3.8%

Last 90 days

15.9%

Trailing 12 Months

-6.8%

TER Financial Health

Current Ratio

3.03

TER Investor Care

Dividend Yield

0.42%

Dividend/Share (TTM)

0.44

Buy Backs (1Y)

4.00%

Diluted EPS (TTM)

4.22

Peers (Alternatives to Teradyne)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
NVDA	629.8B	27.0B	11.20%	5.54%	144.19	23.35	0.22%	-55.21%
QCOM	134.9B	43.0B	-11.73%	-19.49%	11.46	3.14	19.21%	17.89%
KLAC	55.1B	10.5B	-8.04%	12.28%	15.56	5.26	28.39%	18.56%
FSLR	22.0B	2.6B	21.50%	171.10%	-498.6	8.41	-10.40%	-109.42%
TER	16.5B	3.2B	-3.76%	-6.81%	23.07	5.23	-14.79%	-29.48%
MID-CAP
OLED	6.9B	616.6M	3.48%	-10.41%	32.67	11.13	11.40%	14.03%
MKSI	6.0B	3.5B	-12.54%	-39.21%	18.13	1.7	20.25%	-39.61%
ONTO	4.3B	1.0B	3.60%	8.92%	19.08	4.24	27.42%	56.89%
AEIS	3.6B	1.8B	-1.08%	14.57%	18.06	1.95	26.75%	48.19%
SMALL-CAP
COHU	1.9B	812.8M	0.19%	28.32%	19.17	2.28	-8.39%	-42.12%
AEHR	911.0M	61.1M	-5.60%	221.41%	73.76	14.92	116.81%	892.05%
ACMR	729.0M	388.8M	-6.91%	-74.10%	18.57	1.87	49.69%	3.99%
CYBE	400.4M	101.7M	0.37%	23.85%	24.74	3.94	26.08%	107.05%
INTT	182.4M	112.6M	12.26%	62.30%	26.22	1.62	45.44%	5.14%

Financials for Teradyne

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	-4.6%	3,155	3,308	3,432	3,677	3,703
Gross Profit	-5.4%	1,867	1,974	2,059	2,200	2,207
Operating Expenses	-1.6%	1,035	1,052	1,047	1,046	1,006
S&GA Expenses	0.0%	558	558	557	558	548
EBITDA	-6.2%	935	997	1,070	1,254	-
EBITDA Margin	-1.6%	0.30*	0.30*	0.32*	0.34*	-
Earnings Before Taxes	-6.7%	840	900	972	1,117	1,161
EBT Margin	-2.1%	0.27*	0.27*	0.28*	0.30*	-
Interest Expenses	-28.1%	4.00	5.00	8.00	13.00	18.00
Net Income	-6.7%	716	767	840	971	1,015
Net Income Margin	-2.2%	0.23*	0.23*	0.24*	0.26*	-
Free Cahsflow	-27.0%	415	568	829	930	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	5.5%	3,501	3,320	3,488	3,609	3,809
Current Assets	6.1%	2,258	2,128	2,270	2,374	2,576
Cash Equivalents	20.3%	855	711	572	795	1,122
Inventory	4.6%	325	311	296	259	243
Net PPE	0.8%	419	415	411	399	387
Goodwill	7.3%	403	376	398	420	426
Liabilities	-1.5%	1,050	1,066	1,190	1,135	1,245
Current Liabilities	6.3%	746	702	797	712	805
Shareholder's Equity	8.7%	2,451	2,254	2,299	2,475	2,562
Retained Earnings	26.7%	726	573	610	762	737
Additional Paid-In Capital	0.5%	1,756	1,747	1,722	1,712	1,812
Shares Outstanding	0.0%	156	156	158	161	162

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	-20.4%	578	726	977	1,068	1,098
Share Based Compensation	-0.4%	48.00	48.00	48.00	46.00	46.00
Cashflow From Investing	349.9%	44.00	10.00	-26.25	33.00	120
Cashflow From Financing	19.6%	-892	-1,110	-1,339	-1,136	-1,008
Dividend Payments	1.4%	70.00	69.00	68.00	67.00	66.00
Buy Backs	-19.5%	752	934	943	764	600

Risks for TER

What is the probability of a big loss on TER?

88.8%

Probability that Teradyne stock will be more than 20% underwater in next one year

66.9%

Probability that Teradyne stock will be more than 30% underwater in next one year.

15.8%

Probability that Teradyne stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does TER drawdown profile look like?

Y-axis is the maximum loss one would have experienced if Teradyne was unfortunately bought at previous high price.

Drawdowns

Returns for TER

Cumulative Returns on TER

20.7%

10-Year Cumulative Returns

26.6%

7-Year Cumulative Returns

16.5%

5-Year Cumulative Returns

23.9%

3-Year Cumulative Returns

What are the long-term rolling returns for TER?

FIve years rolling returns for Teradyne.

Annualized Returns

Which funds bought or sold TER recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-15	B. Riley Wealth Advisors, Inc.	reduced	-10.86	12,942	384,942	0.01%
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	reduced	-69.42	-17,256,800	9,517,220	0.01%
2023-03-10	BAILLIE GIFFORD & CO	reduced	-5.74	40,664,600	466,081,000	0.49%
2023-03-08	Capital Asset Advisory Services LLC	reduced	-33.44	-167,935	661,065	0.05%
2023-03-06	Rockefeller Capital Management L.P.	reduced	-36.09	-811,000	2,344,000	0.01%
2023-03-02	OLIVER LAGORE VANVALIN INVESTMENT GROUP	unchanged	-	3,500	21,500	0.01%
2023-02-28	Voya Investment Management LLC	reduced	-9.77	-379,317,000	19,942,500	0.03%
2023-02-24	National Pension Service	added	0.52	3,084,400	25,475,300	0.05%
2023-02-24	SRS Capital Advisors, Inc.	added	2.11	3,139	21,139	-%
2023-02-24	NATIXIS	sold off	-100	-2,532,000	-	-%

Latest Funds Activity

Are funds buying TER calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own TER

No. of Funds

Teradyne News

Schedule 13G FIlings of Teradyne

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 09, 2023	fmr llc	-	0	SC 13G/A
Feb 09, 2023	vanguard group inc	11.57%	18,024,838	SC 13G/A
Feb 07, 2023	blackrock inc.	8.6%	13,336,568	SC 13G/A
Jan 13, 2023	jpmorgan chase & co	6.7%	10,554,041	SC 13G
Feb 10, 2022	vanguard group inc	11.03%	17,973,761	SC 13G/A
Feb 09, 2022	fmr llc	-	0	SC 13G
Feb 01, 2022	blackrock inc.	8.1%	13,226,482	SC 13G/A
Feb 10, 2021	vanguard group inc	11.50%	19,095,271	SC 13G/A
Feb 01, 2021	blackrock inc.	8.5%	14,039,376	SC 13G/A
Feb 14, 2020	ameriprise financial inc	4.85%	8,130,219	SC 13G/A

TER Fair Value

Teradyne fair value in different scenarios

The table shows the Fair Value estimates for Teradyne for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	75.90 -28.38%	103.66 -2.18%	144.71 36.56%	193.69 82.78%	252.98 138.73%
Current Inflation	69.86 -34.08%	93.84 -11.45%	128.34 21.11%	169.51 59.96%	218.88 106.55%
Very High Inflation	62.37 -41.14%	81.92 -22.70%	108.94 2.80%	141.28 33.32%	179.59 69.47%

Historical Teradyne Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of Teradyne

View All Filings

Date Filed	Form Type	Document
Mar 15, 2023	144	Notice of Insider Sale Intent
Mar 15, 2023	144	Notice of Insider Sale Intent
Mar 13, 2023	4	Insider Trading
Feb 22, 2023	10-K	Annual Report
Feb 17, 2023	4	Insider Trading
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 09, 2023	SC 13G/A	Major Ownership Report
Feb 07, 2023	4	Insider Trading
Feb 07, 2023	SC 13G/A	Major Ownership Report
Feb 03, 2023	8-K	Current Report

Latest Insider Trading transactions for TER

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-15	JOHNSON MERCEDES	sold	-79,822	106	-750	-
2023-02-06	Gray Charles Jeffrey	gifted	-	-	-1,000	vp, general counsel, secretary
2023-02-02	Mehta Sanjay	sold	-879,120	110	-7,992	vp and chief financial officer
2023-01-31	Gray Charles Jeffrey	sold	-68,600	100	-686	vp, general counsel, secretary
2023-01-30	JAGIELA MARK E	sold (taxes)	-480,115	100	-4,793	ceo
2023-01-30	Gray Charles Jeffrey	sold (taxes)	-64,509	100	-644	vp, general counsel, secretary
2023-01-30	Smith Gregory Stephen	sold (taxes)	-87,047	100	-869	president
2023-01-30	Burns Richard John	sold (taxes)	-24,641	100	-246	president, semiconductor test
2023-01-30	Robbins Brad	sold (taxes)	-41,670	100	-416	president, litepoint corp.
2023-01-30	Mehta Sanjay	sold (taxes)	-138,735	100	-1,385	vp and chief financial officer

About Teradyne

Mark E. Jagiela

www.teradyne.com

5900

Teradyne, Inc. designs, develops, manufactures, sells, and supports automatic test equipment worldwide. The company operates through Semiconductor Test, System Test, Industrial Automation, and Wireless Test segments. The Semiconductor Test segment offers products and services for wafer level and device package testing in automotive, industrial, communications, consumer, smartphones, cloud computer and electronic game, and other applications. This segment also provides FLEX test platform systems; J750 test system to address the volume semiconductor devices; Magnum platform that tests memory devices, such as flash memory and DRAM; and ETS platform for semiconductor manufacturers, and assembly and test subcontractors in the analog/mixed signal markets. It serves integrated device manufacturers that integrate the fabrication of silicon wafers into their business; fabless companies that outsource the manufacturing of silicon wafers; foundries; and semiconductor assembly and test providers. The System Test segment offers defense/aerospace test instrumentation and systems; storage test systems; and circuit-board test and inspection systems. The Industrial Automation segment provides collaborative robotic arms, autonomous mobile robots, and advanced robotic control software for manufacturing, logistics, and light industrial customers. The Wireless Test segment provides test solutions for use in the development and manufacture of wireless devices and modules, smartphones, tablets, notebooks, laptops, peripherals, and Internet-of-Things devices under the LitePoint brand name. This segment also offers IQxel products for Wi-Fi and other standards; IQxstream solution for testing GSM, EDGE, CDMA2000, TD-SCDMA, WCDMA, HSPA+, LTE, and 5G technologies; IQcell, a multi-device cellular signaling test solution; IQgig test solution; and turnkey test software for wireless chipsets. Teradyne, Inc. was incorporated in 1960 and is headquartered in North Reading, Massachusetts.

TER Income Statement

2022-12-31

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands

12 Months Ended

Dec. 31, 2022

Dec. 31, 2021

Dec. 31, 2020

Revenues:

Total revenues

^[1],[2]

$ 3,155,045

$ 3,702,881

$ 3,121,469

Cost of revenues:

Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below)

1,287,894

1,496,225

1,335,728

Gross profit

1,867,151

2,206,656

1,785,741

Operating expenses:

Selling and administrative

558,103

547,559

464,769

Engineering and development

440,591

427,609

374,964

Acquired intangible assets amortization

19,333

21,456

30,803

Restructuring and other

17,185

9,312

(13,202)

Total operating expenses

1,035,212

1,005,936

857,334

Income from operations

831,939

1,200,720

928,407

Non-operating (income) expenses:

Interest income

(6,379)

(2,627)

(5,982)

Interest expense

3,719

17,820

24,182

Other (income) expense, net

(5,786)

24,572

9,192

Income before income taxes

^[3],[4]

840,385

1,160,955

901,015

Income tax provision

124,884

146,366

116,868

Net income

$ 715,501

$ 1,014,589

$ 784,147

Net income per common share:

Basic

$ 4.52

$ 6.15

$ 4.72

Diluted

$ 4.22

$ 5.53

$ 4.28

Weighted average common shares—basic

158,434

164,960

166,120

Weighted average common shares—diluted

169,734

183,625

183,042

Product [Member]

Revenues:

Total revenues

$ 2,591,572

$ 3,196,575

$ 2,690,906

Cost of revenues:

Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below)

1,042,555

1,300,106

1,157,476

Service [Member]

Revenues:

Total revenues

563,473

506,306

430,563

Cost of revenues:

Total cost of revenues (exclusive of acquired intangible assets amortization shown separately below)

$ 245,339

$ 196,119

$ 178,252

[1]	Includes $8.2 million, $13.2 million and $10.0 million in 2022, 2021 and 2020, respectively, for leases of Teradyne’s systems recognized outside of ASC 606: “Revenue from Contracts with Customers.”
[2]	Revenues attributable to a country are based on location of customer site.
[3]	Included in Corporate and Eliminations are interest income, interest expense, net foreign exchange gains (losses), net cash flow hedge gains (losses), intercompany eliminations, pension and postretirement plan actuarial gains (losses), legal and environmental fees, contingent consideration adjustments, acquisition related charges and compensation, gain on sale of asset, and loss on convertible debt conversions in 2021.
[4]	Included in income (loss) before taxes are charges and credits related to restructuring and other, inventory charges and loss on convertible debt conversions in 2021.

TER Balance Sheet

2022-12-31

CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands

Dec. 31, 2022

Dec. 31, 2021

Current assets:

Cash and cash equivalents

$ 854,773

$ 1,122,199

Marketable securities

39,612

244,231

Accounts receivable, less allowance for credit losses of $1,955 and $2,012 in 2022 and 2021, respectively

491,145

550,749

Inventories, net

325,019

243,330

Prepayments

532,962

406,266

Other current assets

14,404

9,452

Total current assets

2,257,915

2,576,227

Property, plant and equipment, net

418,683

387,240

Operating lease right-of-use assets, net

73,734

68,807

Marketable securities

110,777

133,858

Deferred tax assets

142,784

102,428

Retirement plans assets

11,761

15,110

Other assets

28,925

24,096

Acquired intangible assets, net

53,478

75,635

Goodwill

403,195

426,024

Total assets

^[1]

3,501,252

3,809,425

Current liabilities:

Accounts payable

139,722

153,133

Accrued employees' compensation and withholdings

212,266

253,667

Deferred revenue and customer advances

148,285

146,185

Other accrued liabilities

112,271

124,187

Operating lease liabilities

18,594

19,977

Income taxes payable

65,010

88,789

Current debt

50,115

19,182

Total current liabilities

746,263

805,120

Retirement plans liabilities

116,005

151,141

Long-term deferred revenue and customer advances

45,131

54,921

Deferred tax liabilities

3,267

6,327

Long-term other accrued liabilities

15,981

15,497

Long-term operating lease liabilities

64,176

56,178

Long-term incomes taxes payable

59,135

67,041

Debt

89,244

Total liabilities

1,049,958

1,245,469

Commitments and contingencies (Note M)

Mezzanine equity:

Convertible common shares

1,512

SHAREHOLDERS' EQUITY

Common stock, $0.125 par value, 1,000,000 shares authorized, 155,759 and 162,251 shares issued and outstanding at December 31, 2022 and 2021, respectively

19,470

20,281

Additional paid-in capital

1,755,963

1,811,545

Accumulated other comprehensive loss

(49,868)

(5,948)

Retained earnings (accumulated deficit)

725,729

736,566

Total shareholders' equity

2,451,294

2,562,444

Total liabilities, convertible common shares and shareholders' equity

$ 3,501,252

$ 3,809,425

[1]	Total assets are attributable to each segment. Corporate assets consist of cash and cash equivalents, marketable securities and certain other assets.