TERADYNE INC (1TER.MI) Stock Fundamental Analysis
Europe - BIT:1TER - US8807701029 - Common Stock
119.44 EUR
-2.34 (-1.92%)
We assign a fundamental rating of 6 out of 10 to 1TER. 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. While showing a medium growth rate, 1TER is valued expensive at the moment. This makes 1TER very considerable 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
1TER has a better Return On Assets (12.47%) than 72.88% of its industry peers.
1TER's Return On Equity of 16.54% is fine compared to the rest of the industry. 1TER outperforms 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.
1TER had an Average Return On Invested Capital over the past 3 years of 19.67%. This 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
With a decent Profit Margin value of 16.59%, 1TER is doing good in the industry, outperforming 61.02% of the companies in the same industry.
1TER's Profit Margin has been stable in the last couple of years.
1TER has a Operating Margin (19.22%) which is in line with its industry peers.
In the last couple of years the Operating Margin of 1TER has declined.
1TER has a better Gross Margin (59.14%) 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1TER is still creating some value.
The number of shares outstanding for 1TER has been increased compared to 1 year ago.
The number of shares outstanding for 1TER has been reduced compared to 5 years ago.
There is no outstanding debt for 1TER. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
1TER has an Altman-Z score of 16.12. This indicates that 1TER is financially healthy and has little risk of bankruptcy at the moment.
1TER has a better Altman-Z score (16.12) than 94.92% 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 | 16.12 |
ROIC/WACC1.34
WACC11.54%
2.3 Liquidity
1TER has a Current Ratio of 2.35. This indicates that 1TER is financially healthy and has no problem in meeting its short term obligations.
1TER has a Current ratio (2.35) which is in line with its industry peers.
A Quick Ratio of 1.83 indicates that 1TER should not have too much problems paying 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
The Earnings Per Share has been growing slightly by 7.09% over the past year.
Measured over the past 5 years, 1TER shows a small growth in Earnings Per Share. The EPS has been growing by 2.47% on average per year.
The Revenue has been growing slightly by 4.57% in the past year.
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
1TER is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.26% yearly.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
A Price/Earnings ratio of 43.59 indicates a quite expensive valuation of 1TER.
64.41% of the companies in the same industry are cheaper than 1TER, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.67. 1TER is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 30.31 indicates a quite expensive valuation of 1TER.
The rest of the industry has a similar Price/Forward Earnings ratio as 1TER.
1TER is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.33, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.59 | ||
| Fwd PE | 30.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1TER is valued a bit more expensive than 72.88% of the companies in the same industry.
1TER's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1TER is cheaper than 62.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.7 | ||
| EV/EBITDA | 32.43 |
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)17.64
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.
1TER's Dividend Yield is comparable with the industry average which is at 1.10.
Compared to an average S&P500 Dividend Yield of 2.35, 1TER's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
5.2 History
On average, the dividend of 1TER grows each year by 6.27%, which is quite nice.
Dividend Growth(5Y)6.27%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
16.55% of the earnings are spent on dividend by 1TER. This is a low number and 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
Revenue(TTM)2.83B
Net Income(TTM)469.17M
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 | 43.59 | ||
| Fwd PE | 30.31 | ||
| P/S | 7.79 | ||
| P/FCF | 38.7 | ||
| P/OCF | 27.78 | ||
| P/B | 7.76 | ||
| P/tB | 9.75 | ||
| EV/EBITDA | 32.43 |
EPS(TTM)2.74
EY2.29%
EPS(NY)3.94
Fwd EY3.3%
FCF(TTM)3.09
FCFY2.58%
OCF(TTM)4.3
OCFY3.6%
SpS15.34
BVpS15.39
TBVpS12.25
PEG (NY)N/A
PEG (5Y)17.64
Graham Number30.81
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%
ROICexgc growth 3Y-36.99%
ROICexgc 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 | 16.12 |
F-Score7
WACC11.54%
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%