Teradyne, Inc.

NASDAQ Global Select
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Bullish +62

California Public Employees Retirement System Sells 6,286 Shares of ...

📉 CalPERS sold 6,286 shares in Q1, reducing its stake by 1.4% while retaining 451,833 shares worth $133.95 million.

📈 Assenagon Asset Management increased its Teradyne holdings by 3,233.4% to own 910,023 shares valued at $176.14 million.

📈 Nordea Investment Management boosted its position by 656.4%, acquiring an additional 108,745 shares worth $24.55 million.

💰 Teradyne reported Q1 EPS of $2.56, beating analyst estimates of $2.11 by $0.45.

📈 Revenue reached $1.28 billion, up 87% year-over-year compared to the prior quarter.

💵 The company declared a quarterly dividend of $0.13 per share, raising the annualized yield to 0.2%.

👔 CEO Gregory Stephen Smith sold 4,000 shares for $1.69 million under a pre-arranged trading plan.

📊 Teradyne trades at a P/E ratio of 59.70 with a market capitalization of $50.46 billion.

🏢 The company specializes in automatic test equipment for semiconductor and wireless product validation.

Bullish Signals
  • Teradyne reported earnings per share of $2.56, significantly topping the consensus estimate of $2.11.
  • Revenue surged to $1.28 billion, representing an impressive 87% increase compared to the same quarter last year.
  • Major institutional investors like Assenagon Asset Management and Nordea Investment Management substantially increased their stakes in Q4.
  • The company raised its quarterly dividend from $0.12 to $0.13 per share, signaling confidence in cash flow.
  • Net margin remains robust at 22.55% with a return on equity of 31.79%.
Risk Factors
  • CEO Gregory Stephen Smith and VP Ryan Driscoll sold shares totaling $2.0 million in the last ninety days.
  • The stock trades at a high P/E ratio of 59.70, which may be sensitive to earnings volatility.
  • Insider ownership is low at only 0.19% of the total outstanding shares.
Full Analysis
California Public Employees Retirement System (CalPERS) reduced its stake in Teradyne, Inc. by 1.4% during the first quarter, selling 6,286 shares to hold a remaining position of 451,833 shares valued at approximately $133.95 million. While CalPERS trimmed its holdings, several other institutional investors significantly increased their positions in the fourth quarter, with Assenagon Asset Management raising its stake by over 3,200% and Nordea Investment Management boosting its position by 656.4%. Teradyne reported strong financial results for the quarter ended April 29th, posting earnings per share of $2.56 against a consensus estimate of $2.11. The company generated revenue of $1.28 billion, representing an 87% year-over-year increase compared to the same period last year. Additionally, Teradyne announced a quarterly dividend of $0.13 per share, marking an increase from the previous quarter's payout. Insider trading activity included sales by Vice President Ryan Driscoll and CEO Gregory Stephen Smith, both executed under pre-arranged Rule 10b5-1 plans. Driscoll sold 680 shares for approximately $256,768, while Smith sold 4,000 shares for roughly $1.69 million. Despite these insider sales, the company maintains a market capitalization of $50.46 billion and continues to operate as a global supplier of automatic test equipment for semiconductor and electronic systems.