TER Stock in Focus: Does It Outshine the Peer Group?

TER: Teradyne logo
TER
Teradyne

Here is how Teradyne (TER) stacks up against its peers in size, valuation, growth and margin.

  • TER’s operating margin of 20.8% is high, and lower than most peers – trailing NVEC (61.1%).
  • TER’s revenue growth of 9.3% in the last 12 months is moderate, outpacing KEYS, UMC, NVEC but lagging FORM, KLAC.
  • TER’s stock is down 7.7% in last 1 year, and trades at a PE of 29.6; it underperformed KEYS, KLAC.
  TER FORM KEYS UMC NVEC KLAC
Market Cap ($ Bil) 17.1 2.3 27.8 17.7 0.3 121.4
Revenue ($ Bil) 2.9 0.8 5.1 235.5 0.0 11.6
PE Ratio 29.6 41.8 37.5 0.4 21.2 32.9
LTM Revenue Growth 9.3% 15.3% -1.2% 5.6% -9.2% 20.3%
LTM Operating Margin 20.8% 6.1% 16.8% 21.0% 61.1% 40.2%
LTM FCF Margin 20.9% 8.4% 26.4% 8.7% 48.6% 30.4%
12M Market Return -7.7% -29.4% 31.4% -7.8% -20.9% 26.7%

Teradyne provides test solutions for semiconductor, system, industrial automation, and wireless device development, including smartphones, tablets, laptops, peripherals, and IoT devices.

Why does this matter? TER just went up 18.1% in a week – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell TER Stock to see if Teradyne holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through TER Dip Buyer Analysis lens.

While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.

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Revenue Growth Comparison

  LTM 2025 2024 2023 2022
TER 9.3% 5.4% -15.2% -14.8%
FORM 15.3% 15.2% -11.3% -2.8%
KEYS -1.2% -8.9% 0.8% 9.7%
UMC 5.6% 4.4% -20.2% 30.8%
NVEC -9.2% -13.2% -22.1% 41.7%  
KLAC 20.3% -6.5% 13.9% 33.1%

Operating Margin Comparison

  LTM 2025 2024 2023 2022
TER 20.8% 19.6% 19.5% 26.9%
FORM 6.1% 5.8% 1.5% 7.3%
KEYS 16.8% 16.7% 24.9% 24.6%
UMC 21.0% 22.1% 25.7% 37.2%
NVEC 61.1% 61.8% 62.1% 67.0%  
KLAC 40.2% 37.1% 38.1% 39.7%

PE Ratio Comparison

  LTM 2025 2024 2023 2022
TER 25.2 36.9 37.3 19.3
FORM 40.3 48.9 39.2 34.0
KEYS 34.7 45.5 26.8 27.4
UMC 0.4 0.3 0.3 0.2
NVEC 24.5 26.1 22.1 13.8  
KLAC 24.4 30.9 23.9 17.1

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.