Teradyne (NASDAQ:TER) Stock Price Down 3.7% – Here’s Why

Teradyne, Inc. (NASDAQ:TER)’s stock price dropped 3.7% during mid-day trading on Monday . The stock traded as low as $364.26 and last traded at $365.10. Approximately 2,370,677 shares were traded during trading, a decline of 39% from the average session volume of 3,859,050 shares. The stock had previously closed at $379.31.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the company. Citigroup upped their price target on Teradyne from $325.00 to $400.00 and gave the stock a “buy” rating in a report on Thursday, April 30th. UBS Group lifted their price objective on shares of Teradyne from $440.00 to $500.00 and gave the stock a “buy” rating in a report on Monday, July 20th. Robert W. Baird set a $420.00 target price on shares of Teradyne in a research note on Thursday, July 30th. Evercore reiterated an “outperform” rating and issued a $420.00 target price on shares of Teradyne in a report on Thursday, July 30th. Finally, JPMorgan Chase & Co. raised shares of Teradyne from a “neutral” rating to an “overweight” rating and set a $400.00 price target on the stock in a research report on Thursday, April 30th. One analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, Teradyne currently has an average rating of “Moderate Buy” and an average target price of $396.80.

Teradyne Trading Down 3.7%

The stock’s fifty day moving average is $383.46 and its two-hundred day moving average is $343.36. The company has a market capitalization of $57.08 billion, a PE ratio of 50.08, a P/E/G ratio of 0.77 and a beta of 1.78.

Teradyne (NASDAQ:TER) last posted its quarterly earnings results on Wednesday, July 29th. The company reported $2.47 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.38. Teradyne had a net margin of 25.77% and a return on equity of 39.93%. The company had revenue of $1.33 billion during the quarter, compared to analyst estimates of $1.22 billion. During the same quarter in the prior year, the business earned $0.57 earnings per share. The firm’s revenue for the quarter was up 103.9% on a year-over-year basis. As a group, analysts anticipate that Teradyne, Inc. will post 9.1 EPS for the current fiscal year.

Insider Buying and Selling

In related news, insider Shannon John Poulin sold 1,008 shares of the company’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $345.37, for a total value of $348,132.96. Following the transaction, the insider owned 15,066 shares in the company, valued at approximately $5,203,344.42. This represents a 6.27% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 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. Also, CEO Gregory Stephen Smith sold 8,597 shares of the stock in a transaction on Friday, May 15th. The shares were sold at an average price of $338.98, for a total value of $2,914,211.06. Following the transaction, the chief executive officer directly owned 124,470 shares of the company’s stock, valued at approximately $42,192,840.60. This trade represents a 6.46% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 14,261 shares of company stock valued at $5,187,344 over the last three months. Insiders own 0.19% of the company’s stock.

Institutional Trading of Teradyne

Several hedge funds have recently made changes to their positions in TER. BlackRock Inc. bought a new position in Teradyne in the 2nd quarter worth approximately $9,404,408,000. Andar Capital Management HK Ltd bought a new stake in Teradyne during the 2nd quarter valued at $37,800,000. Norges Bank purchased a new stake in shares of Teradyne during the fourth quarter worth $398,777,000. Wellington Management Group LLP boosted its holdings in shares of Teradyne by 13,949.4% in the third quarter. Wellington Management Group LLP now owns 2,036,887 shares of the company’s stock worth $280,357,000 after acquiring an additional 2,022,389 shares during the period. Finally, Aspex Management HK Ltd bought a new position in shares of Teradyne in the fourth quarter worth $199,723,000. 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.