Teradyne Future Growth
Future criteria checks 5/6
Teradyne is forecast to grow earnings and revenue by 22.1% and 17.8% per annum respectively. EPS is expected to grow by 22.6% per annum. Return on equity is forecast to be 37.2% in 3 years.
Key information
22.1%
Earnings growth rate
22.56%
EPS growth rate
| Semiconductor earnings growth | 30.5% |
| Revenue growth rate | 17.8% |
| Future return on equity | 37.20% |
| Analyst coverage | Good |
| Last updated | 11 Sep 2026 |
Recent future growth updates
Recent updates
Seeking Alpha • Aug 27
Teradyne: AI Is Turning Test Into A Structural Growth Market
Summary Teradyne is well-positioned to benefit from rising AI-driven test complexity across compute, memory, and photonics, supporting a BUY rating. TER's diversified test platforms and early qualification in AI, HBM, and optical testing provide durable growth opportunities beyond a single accelerator cycle. Recent results show strong operating leverage, with AI-related revenue exceeding 60% and management guiding for robust growth into 2026 and 2027. Valuation is elevated but justified by the potential for sustained earnings growth, market share gains, and broadening test intensity across the semiconductor industry. Read the full article on Seeking Alpha
Narrative Update • Aug 13
TER: AI Test Hype Will Likely Expose Unsustainable Spending Risk
Teradyne's analyst fair value estimate has been reset from $141.40 to $350.00 as analysts respond to a wave of higher price targets that cite stronger long term earnings potential, updated semiconductor industry models, and growing confidence in test demand tied to AI and data center spending. Analyst Commentary Recent Street research on Teradyne centers on how much earnings power the company could deliver over the next several years and what level of test demand tied to AI and data center spending is realistic.
Narrative Update • Jul 30
TER: AI Test And Robotics Will Benefit From Extended Backlog Visibility
Teradyne's updated analyst price target has shifted to $442.20, with analysts pointing to stronger Q2 results, robust guidance, and expectations for sustained testing demand tied to AI infrastructure and semiconductor equipment spending as key factors supporting the new level. Analyst Commentary Recent analyst commentary on Teradyne centers on how the company is positioned for AI driven semiconductor demand, the depth of its order backlog, and the implications of higher long term industry forecasts for its valuation and growth profile.
Narrative Update • Jul 16
TER: AI Infrastructure And WFE Cycle Will Drive Next Repricing Wave
Analysts have raised their price target on Teradyne to $550 from $470, citing updated models that reflect stronger SCE backlog visibility, higher projected wafer fab equipment spending, and larger long term estimates for the semiconductor industry’s addressable market. Analyst Commentary Recent research on Teradyne points to a cluster of higher price targets and updated models that lean on longer SCE backlog visibility, wafer fab equipment (WFE) assumptions and larger semiconductor industry addressable market forecasts.Narrative Update • Jul 02
TER: AI Test And Robotics Will Balance Backlog Visibility With Execution Risk
The analyst price target on Teradyne has been raised from $374.82 to $416.65, with analysts linking their higher expectations to stronger SCE backlog visibility, updated semiconductor industry growth forecasts, and higher long term assumptions for revenue growth and future P/E multiples. Analyst Commentary Recent research on Teradyne points to a cluster of higher price targets and refreshed industry models that focus on semiconductor capital spending, AI infrastructure, and long term addressable market forecasts.Narrative Update • Jun 18
TER: AI Data Center Test Cycle Will Drive Next Repricing Wave
Teradyne's analyst fair value estimate has shifted from $415 to $470 as analysts factor in recent price target increases and updated expectations around revenue growth, profitability and valuation multiples following a series of upward revisions across major research firms. Analyst Commentary Recent Street research around Teradyne highlights a clear shift in tone, with multiple bullish analysts raising price targets and, in some cases, upgrading the stock following their latest reviews.Analysis Article • Jun 16
Teradyne (TER) Stock Could Be 15% Overvalued After Its Sharp Run Higher
Teradyne stock: recent performance snapshot Teradyne (TER) has drawn attention after its share price closed at $432.41, with recent returns of 7.2% over the past day, 15.4% over the past week, and around 28% over the past month. See our latest analysis for Teradyne. Beyond the latest daily move, Teradyne stock has shown strong momentum, with a 30 day share price return of 28% and a year to date share price return of 108.3%, alongside a 1 year total shareholder return of very close to 4x. If...Narrative Update • Jun 03
TER: AI Test Demand And Robotics Expansion Will Shape Future Earnings Expectations
Teradyne's analyst price targets have been lifted by multiple firms, leading to a higher internal fair value estimate of about $375 per share. Analysts cite updated assumptions around revenue growth, profit margins, and future P/E expectations.Narrative Update • May 04
TER: AI Test Demand And Robotics Expansion Will Shape Balanced Future Earnings Power
Teradyne’s analyst price target has been updated by $62 to reflect fresh research that cites Street price target increases from several firms and modest adjustments to long term growth, profitability, and valuation assumptions by analysts. Analyst Commentary Recent Street research on Teradyne shows a cluster of price target changes and rating moves, with most firms lifting their targets and a smaller group expressing caution around valuation.Analysis Article • May 01
Earnings Beat: Teradyne, Inc. Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models
Teradyne, Inc. ( NASDAQ:TER ) just released its quarterly report and things are looking bullish. The company beat...Narrative Update • Apr 20
TER: AI Data Center Test Demand Will Support Next Cycle Repricing
The analyst price target for Teradyne has been raised from $376.32 to $415.00, reflecting analyst views that modest adjustments to revenue growth, profit margin expectations, and a higher future P/E multiple are warranted following a series of recent price target increases across the Street. Analyst Commentary Recent Street research on Teradyne shows a cluster of higher price targets from bullish analysts, alongside a valuation driven downgrade from Northland.Narrative Update • Apr 06
TER: AI Test Demand And WFE Upswing Will Support Future Cycle
Analysts have nudged the Teradyne fair value estimate slightly higher to about $376, supported by a series of recent price target increases that cite stronger multi-year demand expectations, healthier industry spending plans, and improved profitability assumptions, even as some valuation-driven downgrades and caution flags remain. Analyst Commentary Recent research on Teradyne tilts positive overall, with a cluster of higher price targets and constructive views on multi year demand, semiconductor capital spending, and free cash flow potential, offset by valuation driven caution and a few downgrades.Narrative Update • Mar 23
TER: AI Test Demand And Wafer Fab Upswing Will Drive Future Cycle
The updated analyst price target for Teradyne reflects a reset in fair value from $397.65 to $374.36, as analysts balance richer valuations with still constructive views supported by multiple target hikes across recent research. Analyst Commentary Recent research on Teradyne reflects a broad mix of views, but the price target revisions skew toward more constructive expectations even as some firms flag valuation risks.Narrative Update • Mar 07
TER: AI Test Demand And Robotics Expansion Will Support Higher Long Term Earnings Power
Analysts have raised their implied fair value estimate for Teradyne by about $115, reflecting updated assumptions for revenue growth, profit margins and future P/E, even as recent research shows a mix of higher price targets and valuation-driven downgrades across the Street. Analyst Commentary Recent Street research on Teradyne shows a mix of optimism and caution, with several firms lifting price targets and a few moving to more neutral stances as valuation and expectations become key talking points.Narrative Update • Feb 20
TER: AI Test Demand And Wafer Fab Spending Upswing Will Drive Outlook
Our Teradyne fair value estimate edges up by about $1 to $397.65 as analysts lift price targets on expectations for stronger semiconductor capital equipment demand, partially offset by a few valuation driven downgrades. Analyst Commentary Recent Street research on Teradyne has been active, with several firms adjusting views and price targets in both directions.Narrative Update • Feb 06
TER: AI Test Demand And Robotics Expansion Will Drive Bullish Outlook
Our updated fair value estimate for Teradyne rises from US$240.00 to about US$396.82. This reflects analysts' higher price targets across multiple firms and their rationale tied to stronger industry spending expectations, while incorporating a slightly lower discount rate and adjusted assumptions for revenue growth, profit margins and future P/E.Analysis Article • Jan 29
Teradyne, Inc. (NASDAQ:TER) Stock Rockets 27% As Investors Are Less Pessimistic Than Expected
Teradyne, Inc. ( NASDAQ:TER ) shares have continued their recent momentum with a 27% gain in the last month alone. The...Narrative Update • Jan 22
TER: AI Test Cycle Optimism Will Likely Face Negative Catalyst Watch Risks
We are trimming our Teradyne analyst price target by about $11 to US$141 as analysts factor in higher modeled revenue growth and margins, but apply a lower future P/E multiple while balancing recent target hikes against cautions such as the Negative Catalyst Watch. Analyst Commentary Recent Street research around Teradyne shows a mix of optimism on long term demand drivers and caution about how much good news is already reflected in the share price.Narrative Update • Jan 08
TER: AI Chip Testing And Robotics Hub Will Shape Balanced Outlook
Narrative Update: Teradyne Analysts have lifted their fair value estimate for Teradyne from $126.95 to $240.00, citing higher long term revenue growth and profit margin assumptions, a richer future P/E of about 39.48, and stronger expected demand tied to AI driven semiconductor testing, high bandwidth memory, and industrial automation. Analyst Commentary Recent Street research on Teradyne has shifted toward a more positive tone, with several bullish analysts lifting price targets and, in some cases, upgrading their ratings.Narrative Update • Dec 25
TER: AI Test Cycle Euphoria Will Likely Pressure Future Returns
Analysts have sharply raised their price targets on Teradyne, effectively doubling their fair value estimate to about $153 per share. They cite a multiyear, AI-driven acceleration in semiconductor test demand, stronger robotics growth, and higher long-term assumptions for revenue growth, margins, and valuation.Narrative Update • Dec 11
TER: AI Test Demand And Robotics Expansion Will Drive Measured Upside Through 2027
Analysts have lifted their fair value estimate for Teradyne from $184.69 to $192.38, citing stronger multiyear AI testing demand, improving revenue growth and margins, and higher expected future earnings power reflected in a richer forward P E multiple. Analyst Commentary Recent Street research updates point to a sharp improvement in sentiment around Teradyne, with multiple firms raising price targets and, in some cases, upgrading ratings as AI driven test demand and Industrial Automation momentum become more visible through 2026 and beyond.Narrative Update • Nov 27
TER: AI Semiconductor Test Complexity And Robotics Expansion Will Drive Upside Through 2027
Analysts have raised their price target for Teradyne from $172.63 to $184.69, citing accelerating demand in AI-enabled semiconductor testing, greater manufacturing complexity, and a more positive outlook in industrial automation and robotics segments. Analyst Commentary Recent analyst updates reflect a revealing mix of optimism about Teradyne's prospects within the AI-driven semiconductor industry, as well as measured caution regarding potential headwinds and expectations.Narrative Update • Nov 05
TER: Multi-Year AI Chip Testing Demand And Robotics Expansion Will Support Measured Upside
Teradyne's fair value estimate has risen significantly from $139.38 to $172.63 as analysts cite accelerating AI-driven semiconductor testing demand, expanding margins, stronger robotics growth, and a robust multi-year outlook for upgraded price targets. Analyst Commentary Recent Street research has spotlighted Teradyne's strong performance and evolving prospects, with several firms updating their outlooks and price targets in response to the company's quarterly results and the broader semiconductor landscape.Narrative Update • Oct 22
Analysts Lift Teradyne Targets on AI Demand and Product Wins Amid Cautious Optimism
Teradyne's analyst price target has been raised significantly from $124.69 to $139.38. This reflects analyst optimism driven by anticipated gains in AI computing demand, test capacity expansion, and new opportunities with major semiconductor customers.Analysis Article • Oct 10
Teradyne, Inc.'s (NASDAQ:TER) P/E Is Still On The Mark Following 26% Share Price Bounce
Despite an already strong run, Teradyne, Inc. ( NASDAQ:TER ) shares have been powering on, with a gain of 26% in the...Earnings and Revenue Growth Forecasts
| Date | Revenue | Earnings | Free Cash Flow | Cash from Op | Avg. No. Analysts |
|---|---|---|---|---|---|
| 12/31/2028 | 7,762 | 2,405 | 2,070 | 2,414 | 12 |
| 12/31/2027 | 6,264 | 1,835 | 1,430 | 1,787 | 17 |
| 12/31/2026 | 5,142 | 1,406 | 1,253 | 1,409 | 16 |
| 6/28/2026 | 4,464 | 1,150 | 800 | 1,065 | N/A |
| 3/29/2026 | 3,787 | 854 | 553 | 778 | N/A |
| 12/31/2025 | 3,190 | 554 | 450 | 674 | N/A |
| 9/28/2025 | 2,860 | 443 | 457 | 675 | N/A |
| 6/29/2025 | 2,828 | 469 | 569 | 793 | N/A |
| 3/30/2025 | 2,906 | 577 | 608 | 827 | N/A |
| 12/31/2024 | 2,820 | 542 | 474 | 672 | N/A |
| 9/29/2024 | 2,738 | 513 | 453 | 638 | N/A |
| 6/30/2024 | 2,704 | 496 | 479 | 646 | N/A |
| 3/31/2024 | 2,659 | 429 | 411 | 573 | N/A |
| 12/31/2023 | 2,676 | 449 | 426 | 585 | N/A |
| 10/1/2023 | 2,738 | 504 | 370 | 520 | N/A |
| 7/2/2023 | 2,861 | 559 | 463 | 617 | N/A |
| 4/2/2023 | 3,017 | 637 | 429 | 590 | N/A |
| 12/31/2022 | 3,155 | 716 | 415 | 578 | N/A |
| 10/2/2022 | 3,308 | 767 | 568 | 726 | N/A |
| 7/3/2022 | 3,432 | 840 | 829 | 977 | N/A |
| 4/3/2022 | 3,677 | 971 | 930 | 1,068 | N/A |
| 12/31/2021 | 3,703 | 1,015 | 966 | 1,098 | N/A |
| 10/3/2021 | 3,577 | 987 | 886 | 1,028 | N/A |
| 7/4/2021 | 3,446 | 953 | 672 | 847 | N/A |
| 4/4/2021 | 3,199 | 813 | 676 | 864 | N/A |
| 12/31/2020 | 3,121 | 784 | 684 | 869 | N/A |
| 9/27/2020 | 3,017 | 713 | 639 | 825 | N/A |
| 6/28/2020 | 2,780 | 626 | 522 | 681 | N/A |
| 3/29/2020 | 2,505 | 535 | N/A | 604 | N/A |
| 12/31/2019 | 2,295 | 467 | N/A | 579 | N/A |
| 9/29/2019 | 2,160 | 486 | N/A | 549 | N/A |
| 6/30/2019 | 2,145 | 470 | N/A | 590 | N/A |
| 3/31/2019 | 2,107 | 474 | N/A | 577 | N/A |
| 12/31/2018 | 2,101 | 452 | N/A | 477 | N/A |
| 9/30/2018 | 2,061 | 202 | N/A | 438 | N/A |
| 7/1/2018 | 1,997 | 186 | N/A | 507 | N/A |
| 4/1/2018 | 2,167 | 259 | N/A | 606 | N/A |
| 12/31/2017 | 2,137 | 258 | N/A | 626 | N/A |
| 10/1/2017 | 2,037 | 430 | N/A | 516 | N/A |
| 7/2/2017 | 1,944 | 390 | N/A | 408 | N/A |
| 4/2/2017 | 1,779 | -8 | N/A | 358 | N/A |
| 12/31/2016 | 1,753 | -43 | N/A | 455 | N/A |
| 10/2/2016 | 1,692 | -110 | N/A | 458 | N/A |
| 7/3/2016 | 1,747 | -103 | N/A | 436 | N/A |
| 4/3/2016 | 1,728 | 224 | N/A | 411 | N/A |
| 12/31/2015 | 1,640 | 206 | N/A | 423 | N/A |
| 10/4/2015 | 1,644 | 103 | N/A | 548 | N/A |
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TER's forecast earnings growth (22.1% per year) is above the savings rate (3.7%).
Earnings vs Market: TER's earnings (22.1% per year) are forecast to grow faster than the US market (17.1% per year).
High Growth Earnings: TER's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: TER's revenue (17.8% per year) is forecast to grow faster than the US market (13.3% per year).
High Growth Revenue: TER's revenue (17.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TER's Return on Equity is forecast to be high in 3 years time (37.2%)
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Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/09/16 04:09 |
| End of Day Share Price | 2026/09/16 00:00 |
| Earnings | 2026/06/28 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
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Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Teradyne, Inc. is covered by 35 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Steven Liu | Aletheia Analyst Network Limited |
| Robert Mason | Baird |
| Quinn Fredrickson | Baird |