TERADYNE INC (1TER.MI) Stock Fundamental Analysis
Europe - BIT:1TER - US8807701029 - Common Stock
119.44 EUR
-2.34 (-1.92%)
Taking everything into account, 1TER scores 6 out of 10 in our fundamental rating. 1TER was compared to 59 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making 1TER a very profitable company, without any liquidiy or solvency issues. 1TER is valied quite expensively at the moment, while it does show a decent growth rate. These ratings would make 1TER suitable for quality investing!
1. Profitability
1.1 Basic Checks
1TER had positive earnings in the past year.
1TER had a positive operating cash flow in the past year.
In the past 5 years 1TER has always been profitable.
In the past 5 years 1TER always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.47%, 1TER is in the better half of the industry, outperforming 72.88% of the companies in the same industry.
The Return On Equity of 1TER (16.54%) is better than 66.10% of its industry peers.
1TER has a Return On Invested Capital of 15.46%. This is in the better half of the industry: 1TER outperforms 72.88% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1TER is above the industry average of 15.39%.
The 3 year average ROIC (19.67%) for 1TER is well above the current ROIC(15.46%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.47% | ||
| ROE | 16.54% | ||
| ROIC | 15.46% |
ROA(3y)15.98%
ROA(5y)19.21%
ROE(3y)22.06%
ROE(5y)28.25%
ROIC(3y)19.67%
ROIC(5y)24.33%
1.3 Margins
1TER has a Profit Margin of 16.59%. This is in the better half of the industry: 1TER outperforms 61.02% of its industry peers.
1TER's Profit Margin has been stable in the last couple of years.
1TER's Operating Margin of 19.22% is in line compared to the rest of the industry. 1TER outperforms 57.63% of its industry peers.
In the last couple of years the Operating Margin of 1TER has declined.
The Gross Margin of 1TER (59.14%) is better than 81.36% of its industry peers.
In the last couple of years the Gross Margin of 1TER has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.22% | ||
| PM (TTM) | 16.59% | ||
| GM | 59.14% |
OM growth 3Y-15.69%
OM growth 5Y-3.67%
PM growth 3Y-11.13%
PM growth 5Y-1.14%
GM growth 3Y-0.63%
GM growth 5Y0.03%
2. Health
2.1 Basic Checks
1TER has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
1TER has more shares outstanding than it did 1 year ago.
1TER has less shares outstanding than it did 5 years ago.
1TER has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 16.20 indicates that 1TER is not in any danger for bankruptcy at the moment.
1TER has a better Altman-Z score (16.20) than 91.53% of its industry peers.
1TER has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.2 |
ROIC/WACC1.34
WACC11.58%
2.3 Liquidity
A Current Ratio of 2.35 indicates that 1TER has no problem at all paying its short term obligations.
The Current ratio of 1TER (2.35) is comparable to the rest of the industry.
1TER has a Quick Ratio of 1.83. This is a normal value and indicates that 1TER is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of 1TER (1.83) is better than 69.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
1TER shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.09%.
1TER shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.47% yearly.
1TER shows a small growth in Revenue. In the last year, the Revenue has grown by 4.57%.
The Revenue has been growing slightly by 4.21% on average over the past years.
EPS 1Y (TTM)7.09%
EPS 3Y-18.64%
EPS 5Y2.47%
EPS Q2Q%-33.72%
Revenue 1Y (TTM)4.57%
Revenue growth 3Y-8.68%
Revenue growth 5Y4.21%
Sales Q2Q%-10.7%
3.2 Future
The Earnings Per Share is expected to grow by 19.26% on average over the next years. This is quite good.
Based on estimates for the next years, 1TER will show a quite strong growth in Revenue. The Revenue will grow by 10.48% on average per year.
EPS Next Y-1.88%
EPS Next 2Y19.07%
EPS Next 3Y21.08%
EPS Next 5Y19.26%
Revenue Next Year3.03%
Revenue Next 2Y10.74%
Revenue Next 3Y12%
Revenue Next 5Y10.48%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 43.91, the valuation of 1TER can be described as expensive.
Based on the Price/Earnings ratio, 1TER is valued a bit more expensive than the industry average as 64.41% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 27.69. 1TER is valued rather expensively when compared to this.
With a Price/Forward Earnings ratio of 30.49, 1TER can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as 1TER.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.18, 1TER is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.91 | ||
| Fwd PE | 30.49 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1TER indicates a slightly more expensive valuation: 1TER is more expensive than 72.88% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, 1TER is valued a bit cheaper than the industry average as 62.71% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.92 | ||
| EV/EBITDA | 32.62 |
4.3 Compensation for Growth
The decent profitability rating of 1TER may justify a higher PE ratio.
1TER's earnings are expected to grow with 21.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)17.77
EPS Next 2Y19.07%
EPS Next 3Y21.08%
5. Dividend
5.1 Amount
1TER has a yearly dividend return of 0.34%, which is pretty low.
Compared to an average industry Dividend Yield of 1.10, 1TER has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, 1TER's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
5.2 History
The dividend of 1TER is nicely growing with an annual growth rate of 6.27%!
Dividend Growth(5Y)6.27%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1TER pays out 16.55% of its income as dividend. This is a sustainable payout ratio.
The dividend of 1TER is growing, but earnings are growing more, so the dividend growth is sustainable.
DP16.55%
EPS Next 2Y19.07%
EPS Next 3Y21.08%
BIT:1TER (10/13/2025, 7:00:00 PM)
119.44
-2.34 (-1.92%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners104.22%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap19.00B
Analysts70.91
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
Yearly Dividend0.42
Dividend Growth(5Y)6.27%
DP16.55%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.49%
Min EPS beat(2)4.95%
Max EPS beat(2)20.03%
EPS beat(4)4
Avg EPS beat(4)10.49%
Min EPS beat(4)3.4%
Max EPS beat(4)20.03%
EPS beat(8)8
Avg EPS beat(8)15.7%
EPS beat(12)12
Avg EPS beat(12)16.78%
EPS beat(16)16
Avg EPS beat(16)14.46%
Revenue beat(2)0
Avg Revenue beat(2)-0.47%
Min Revenue beat(2)-0.7%
Max Revenue beat(2)-0.24%
Revenue beat(4)2
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-0.7%
Max Revenue beat(4)1.9%
Revenue beat(8)5
Avg Revenue beat(8)1.21%
Revenue beat(12)9
Avg Revenue beat(12)1.59%
Revenue beat(16)13
Avg Revenue beat(16)1.39%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.41%
EPS NY rev (1m)0.62%
EPS NY rev (3m)-2.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.77%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)-0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.91 | ||
| Fwd PE | 30.49 | ||
| P/S | 7.83 | ||
| P/FCF | 38.92 | ||
| P/OCF | 27.94 | ||
| P/B | 7.8 | ||
| P/tB | 9.8 | ||
| EV/EBITDA | 32.62 |
EPS(TTM)2.72
EY2.28%
EPS(NY)3.92
Fwd EY3.28%
FCF(TTM)3.07
FCFY2.57%
OCF(TTM)4.27
OCFY3.58%
SpS15.25
BVpS15.3
TBVpS12.18
PEG (NY)N/A
PEG (5Y)17.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.47% | ||
| ROE | 16.54% | ||
| ROCE | 17.61% | ||
| ROIC | 15.46% | ||
| ROICexc | 17.56% | ||
| ROICexgc | 22.3% | ||
| OM | 19.22% | ||
| PM (TTM) | 16.59% | ||
| GM | 59.14% | ||
| FCFM | 20.12% |
ROA(3y)15.98%
ROA(5y)19.21%
ROE(3y)22.06%
ROE(5y)28.25%
ROIC(3y)19.67%
ROIC(5y)24.33%
ROICexc(3y)27.48%
ROICexc(5y)40.08%
ROICexgc(3y)35.32%
ROICexgc(5y)56.65%
ROCE(3y)22.4%
ROCE(5y)27.7%
ROICexcg growth 3Y-36.99%
ROICexcg growth 5Y-17.13%
ROICexc growth 3Y-32.99%
ROICexc growth 5Y-11.32%
OM growth 3Y-15.69%
OM growth 5Y-3.67%
PM growth 3Y-11.13%
PM growth 5Y-1.14%
GM growth 3Y-0.63%
GM growth 5Y0.03%
F-Score7
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 181.67% | ||
| Cap/Sales | 7.91% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 118.88% | ||
| Profit Quality | 121.26% | ||
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.83 | ||
| Altman-Z | 16.2 |
F-Score7
WACC11.58%
ROIC/WACC1.34
Cap/Depr(3y)152.3%
Cap/Depr(5y)141.7%
Cap/Sales(3y)6.05%
Cap/Sales(5y)5.53%
Profit Quality(3y)80.07%
Profit Quality(5y)84.52%
High Growth Momentum
Growth
EPS 1Y (TTM)7.09%
EPS 3Y-18.64%
EPS 5Y2.47%
EPS Q2Q%-33.72%
EPS Next Y-1.88%
EPS Next 2Y19.07%
EPS Next 3Y21.08%
EPS Next 5Y19.26%
Revenue 1Y (TTM)4.57%
Revenue growth 3Y-8.68%
Revenue growth 5Y4.21%
Sales Q2Q%-10.7%
Revenue Next Year3.03%
Revenue Next 2Y10.74%
Revenue Next 3Y12%
Revenue Next 5Y10.48%
EBIT growth 1Y4.88%
EBIT growth 3Y-23.01%
EBIT growth 5Y0.38%
EBIT Next Year21.62%
EBIT Next 3Y25.87%
EBIT Next 5Y23.17%
FCF growth 1Y22.9%
FCF growth 3Y-21.12%
FCF growth 5Y1.31%
OCF growth 1Y28.43%
OCF growth 3Y-15.1%
OCF growth 5Y3.04%