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Teradyne (TER) Surpasses Market Returns: Some Facts Worth Knowing
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In the latest close session, Teradyne (TER - Free Report) was up +2.74% at $398.32. The stock exceeded the S&P 500, which registered a gain of 0.51% for the day. Meanwhile, the Dow experienced a rise of 0.93%, and the technology-dominated Nasdaq saw an increase of 0.48%.
The stock of maker of wireless products, data storage and equipment to test semiconductors has risen by 4.2% in the past month, lagging the Computer and Technology sector's gain of 6.54% and overreaching the S&P 500's gain of 0.74%.
The upcoming earnings release of Teradyne will be of great interest to investors. In that report, analysts expect Teradyne to post earnings of $2.04 per share. This would mark year-over-year growth of 140%. At the same time, our most recent consensus estimate is projecting a revenue of $1.27 billion, reflecting a 65.2% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.11 per share and a revenue of $5.07 billion, signifying shifts of +130.05% and +58.85%, respectively, from the last year.
Any recent changes to analyst estimates for Teradyne should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, Teradyne boasts a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Teradyne is currently being traded at a Forward P/E ratio of 42.58. Its industry sports an average Forward P/E of 20.4, so one might conclude that Teradyne is trading at a premium comparatively.
We can additionally observe that TER currently boasts a PEG ratio of 0.78. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Electronics - Miscellaneous Products industry currently had an average PEG ratio of 1.37 as of yesterday's close.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 47, finds itself in the top 20% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
View the Zacks #1 Rank List
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Teradyne (TER) Surpasses Market Returns: Some Facts Worth Knowing
In the latest close session, Teradyne (TER - Free Report) was up +2.74% at $398.32. The stock exceeded the S&P 500, which registered a gain of 0.51% for the day. Meanwhile, the Dow experienced a rise of 0.93%, and the technology-dominated Nasdaq saw an increase of 0.48%.
The stock of maker of wireless products, data storage and equipment to test semiconductors has risen by 4.2% in the past month, lagging the Computer and Technology sector's gain of 6.54% and overreaching the S&P 500's gain of 0.74%.
The upcoming earnings release of Teradyne will be of great interest to investors. In that report, analysts expect Teradyne to post earnings of $2.04 per share. This would mark year-over-year growth of 140%. At the same time, our most recent consensus estimate is projecting a revenue of $1.27 billion, reflecting a 65.2% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.11 per share and a revenue of $5.07 billion, signifying shifts of +130.05% and +58.85%, respectively, from the last year.
Any recent changes to analyst estimates for Teradyne should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. At present, Teradyne boasts a Zacks Rank of #1 (Strong Buy).
With respect to valuation, Teradyne is currently being traded at a Forward P/E ratio of 42.58. Its industry sports an average Forward P/E of 20.4, so one might conclude that Teradyne is trading at a premium comparatively.
We can additionally observe that TER currently boasts a PEG ratio of 0.78. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Electronics - Miscellaneous Products industry currently had an average PEG ratio of 1.37 as of yesterday's close.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 47, finds itself in the top 20% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.