Teradyne (NASDAQ:TER) Stock Price Up 9.5% – Time to Buy?

Teradyne, Inc. (NASDAQ:TER)’s share price shot up 9.5% on Tuesday . The company traded as high as $366.84 and last traded at $365.5260. Approximately 451,344 shares were traded during trading, a decline of 88% from the average daily volume of 3,814,689 shares. The stock had previously closed at $333.76.

Wall Street Analysts Forecast Growth

TER has been the topic of a number of research reports. Bank of America lifted their price target on shares of Teradyne from $365.00 to $525.00 and gave the stock a “buy” rating in a report on Tuesday, June 23rd. Citigroup increased their price objective on Teradyne from $325.00 to $400.00 and gave the company a “buy” rating in a report on Thursday, April 30th. The Goldman Sachs Group raised their target price on Teradyne from $350.00 to $465.00 and gave the stock a “buy” rating in a research report on Monday, July 6th. Susquehanna boosted their target price on Teradyne from $415.00 to $550.00 and gave the company a “positive” rating in a research note on Tuesday, June 30th. Finally, Morgan Stanley set a $387.00 price target on Teradyne in a research report on Thursday, April 30th. 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 stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $394.53.

Teradyne Stock Up 11.7%

The firm’s 50-day moving average price is $381.40 and its 200-day moving average price is $329.05. The company has a market cap of $58.36 billion, a P/E ratio of 69.19, a price-to-earnings-growth ratio of 0.93 and a beta of 1.74.

Teradyne (NASDAQ:TER) last released its quarterly earnings data 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 last year, the firm earned $0.75 EPS. Teradyne’s revenue for the quarter was up 87.0% on a year-over-year basis. As a group, analysts forecast that Teradyne, Inc. will post 7.2 earnings per share for the current year.

Teradyne Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, June 12th. Stockholders of record on Thursday, May 21st were issued a $0.13 dividend. The ex-dividend date of this dividend was Thursday, May 21st. This is an increase from Teradyne’s previous quarterly dividend of $0.12. This represents a $0.52 dividend on an annualized basis and a dividend yield of 0.1%. Teradyne’s dividend payout ratio is 9.63%.

Insider Activity

In related news, CEO Gregory Stephen Smith sold 8,597 shares of the business’s stock in a transaction on Friday, May 15th. The stock was 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 in the company, valued at approximately $42,192,840.60. The trade was a 6.46% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 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 shares were sold at an average price of $345.37, for a total value of $348,132.96. Following the sale, the insider owned 15,066 shares in the company, valued at approximately $5,203,344.42. The trade was a 6.27% decrease in their ownership of the stock. 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 14,941 shares of company stock worth $5,444,112. 0.19% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Teradyne

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Community Financial Services Group LLC bought a new position in shares of Teradyne in the second quarter valued at approximately $29,000. Elevation Wealth Partners LLC grew its stake in Teradyne by 1,320.0% during the second quarter. Elevation Wealth Partners LLC now owns 71 shares of the company’s stock valued at $34,000 after acquiring an additional 66 shares in the last quarter. Hilltop National Bank bought a new stake in Teradyne during the 2nd quarter worth approximately $41,000. McIlrath & Eck LLC bought a new stake in Teradyne during the 1st quarter worth approximately $30,000. Finally, Carolina Wealth Advisors LLC increased its holdings in Teradyne by 42.5% during the 2nd quarter. Carolina Wealth Advisors LLC now owns 114 shares of the company’s stock worth $55,000 after acquiring an additional 34 shares during the period. 99.77% of the stock is currently owned by institutional investors.

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.