For many buyers, how a lot a inventory’s worth modifications over time is vital. Not solely can it influence your funding portfolio, however it may well additionally aid you evaluate funding outcomes throughout sectors and industries.
One other issue that may affect buyers is FOMO, or the concern of lacking out, particularly with tech giants and in style consumer-facing shares.
What when you’d invested in Teradyne (TER) ten years in the past? It might not have been simple to carry on to TER for all that point, however when you did, how a lot would your funding be value immediately?
Teradyne’s Enterprise In-Depth
With that in thoughts, let’s check out Teradyne’s most important enterprise drivers.
Headquartered in North Studying, MA, Teradyne designs, develops, manufactures and sells automated take a look at tools and robotics merchandise. Its computerized take a look at methods are used to check semiconductors, wi-fi merchandise, information storage and sophisticated electronics methods in client electronics, wi-fi, automotive, industrial, computing, communications, and aerospace and protection industries.
Robotics merchandise embrace collaborative robotic arms and autonomous cellular robots (“AMRs”) which are utilized by international manufacturing, logistics and industrial clients.
Teradyne’s semiconductor take a look at merchandise are used each for wafer degree and system bundle testing of semiconductor units. Its product portfolio includes the FLEX Take a look at platform, J750 take a look at system, Magnum take a look at platform and ETS platform, every tailor-made for particular semiconductor testing wants.
The corporate’s system Take a look at phase is comprised of three enterprise items: Storage Take a look at, Protection/Aerospace and Manufacturing Board Take a look at. Wi-fi Take a look at enterprise operates underneath the LitePoint model identify and offers take a look at options utilized within the growth and manufacturing of wi-fi units and modules.
The Robotics phase includes two enterprise items: Common Robots and Cellular Industrial Robots (MiR).
Common Robots presents a wide range of collaborative robotic fashions, together with the UR3, UR5, UR10, UR16 and UR20, every with completely different weight carrying capability and arm attain. MiR presents 4 collaborative autonomous cellular robotic fashions, MiR100, MiR250, MiR600 and MiR1350, every with a distinct payload carrying capability.
Teradyne experiences revenues primarily underneath 4 segments: Semiconductor Take a look at, System Take a look at, Robotics, and Wi-fi Take a look at. In 2023, the corporate reported revenues of $2.68 billion.
Teradyne competes globally with key rivals like Advantest, Cohu, Keysight, Take a look at Analysis, SPEA, Rohde & Schwarz, Anritsu, KUKA, ABB, FANUC, Yaskawa, Techman, Doosan, AUBO, Omron, Fetch, OTTO Motors, Vecna, Seegrid and Balyo.
Backside Line
Anybody can make investments, however constructing a profitable funding portfolio requires analysis, persistence, and a bit little bit of danger. So, when you had invested in Teradyne ten years in the past, you are doubtless feeling fairly good about your funding immediately.
In response to our calculations, a $1000 funding made in January 2015 can be value $6,424.37, or a 542.44% achieve, as of January 3, 2025. Traders ought to understand that this return excludes dividends however contains worth appreciation.
Compared, the S&P 500 gained 185.13% and the value of gold went up 115.13% over the identical time-frame.
Wanting forward, analysts predict extra upside for TER.
Teradyne is benefiting from its sturdy and diversified portfolio. Bettering reminiscence and compute outlook pushed by the optimistic influence of AI-driven purposes on take a look at demand is anticipated to drive top-line progress regardless of weak spot in cellular, legacy auto and industrial end-markets. These markets are anticipated to recuperate in 2025. Compute complete addressable market (TAM) is now anticipated to be $1.6 billion, whereas SOC TAM stays unchanged between $3.6 billion and $4.2 billion. Reminiscence TAM is estimated between $1.2 billion and $1.3 billion pushed by sturdy demand for HBM. Teradyne estimates TAM for auto, cellular and industrial end-markets of $500 million, $800 million and $300 million, respectively. Robotics are anticipated to develop within the low finish of its 10-20% vary. Teradyne expects 2024 revenues to develop low single digits over 2023.
Over the previous 4 weeks, shares have rallied 11.29%, and there have been 1 increased earnings estimate revisions previously two months for fiscal 2024 in comparison with none decrease. The consensus estimate has moved up as properly.
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Teradyne, Inc. (TER) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.
