Teradyne (NASDAQ:TER) Trading Down 6.4% – Here’s What Happened

Teradyne, Inc. (NASDAQ:TER) shares were down 6.4% during trading on Friday . The stock traded as low as $425.31 and last traded at $441.7770. Approximately 609,081 shares traded hands during trading, a decline of 84% from the average session volume of 3,746,416 shares. The stock had previously closed at $471.96.

Analysts Set New Price Targets

TER has been the topic of a number of analyst reports. Cantor Fitzgerald increased their price target on Teradyne from $330.00 to $400.00 and gave the company an “overweight” rating in a research report on Thursday, April 9th. UBS Group boosted their price objective on Teradyne from $325.00 to $440.00 and gave the stock a “buy” rating in a research report on Tuesday, April 21st. JPMorgan Chase & Co. upgraded shares of Teradyne from a “neutral” rating to an “overweight” rating and set a $400.00 price target for the company in a research note on Thursday, April 30th. Morgan Stanley set a $387.00 price target on shares of Teradyne in a report on Thursday, April 30th. Finally, Susquehanna increased their price objective on shares of Teradyne from $335.00 to $415.00 and gave the company a “positive” rating in a research report on Thursday, April 9th. One investment analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Teradyne currently has an average rating of “Moderate Buy” and a consensus price target of $363.87.

Teradyne Stock Performance

The company has a 50-day moving average price of $380.63 and a 200-day moving average price of $307.83. The firm has a market capitalization of $68.80 billion, a price-to-earnings ratio of 81.30, a PEG ratio of 1.23 and a beta of 1.79.

Teradyne (NASDAQ:TER) last released its quarterly earnings data on Wednesday, April 29th. The company reported $2.56 EPS for the quarter, beating analysts’ consensus estimates of $2.11 by $0.45. The business had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.20 billion. Teradyne had a return on equity of 31.79% and a net margin of 22.55%.The business’s revenue for the quarter was up 87.0% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.75 EPS. On average, research analysts expect that Teradyne, Inc. will post 7.23 earnings per share for the current fiscal year.

Teradyne Increases Dividend

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

Insiders Place Their Bets

In other news, insider Shannon John Poulin sold 656 shares of the business’s stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $355.00, for a total transaction of $232,880.00. Following the completion of the sale, the insider owned 15,722 shares in the company, valued at approximately $5,581,310. The trade was a 4.01% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed 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 4,000 shares of the company’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $423.03, for a total transaction of $1,692,120.00. Following the completion of the transaction, the chief executive officer owned 120,470 shares of the company’s stock, valued at approximately $50,962,424.10. The trade was a 3.21% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 14,941 shares of company stock valued at $5,444,112. 0.19% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Teradyne

Several hedge funds have recently made changes to their positions in TER. ARK Investment Management LLC lifted its holdings in shares of Teradyne by 25.2% in the third quarter. ARK Investment Management LLC now owns 2,722,327 shares of the company’s stock valued at $374,701,000 after purchasing an additional 548,140 shares in the last quarter. Nordea Investment Management AB increased its stake in shares of Teradyne by 656.4% during the 4th quarter. Nordea Investment Management AB now owns 125,312 shares of the company’s stock worth $24,554,000 after purchasing an additional 108,745 shares in the last quarter. Gouws Capital LLC increased its stake in shares of Teradyne by 96.0% during the 4th quarter. Gouws Capital LLC now owns 15,323 shares of the company’s stock worth $2,966,000 after purchasing an additional 7,505 shares in the last quarter. Assenagon Asset Management S.A. raised its position in shares of Teradyne by 3,233.4% during the 4th quarter. Assenagon Asset Management S.A. now owns 910,023 shares of the company’s stock worth $176,144,000 after purchasing an additional 882,723 shares during the last quarter. Finally, Wealthfront Advisers LLC increased its position in Teradyne by 56.0% during the fourth quarter. Wealthfront Advisers LLC now owns 29,336 shares of the company’s stock worth $5,678,000 after buying an additional 10,526 shares in the last quarter. Hedge funds and other institutional investors own 99.77% of the company’s stock.

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.