For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.
What if you'd invested in Teradyne (TER) ten years ago? It may not have been easy to hold on to TER for all that time, but if you did, how much would your investment be worth today?
Teradyne's Business In-Depth
With that in mind, let's take a look at Teradyne's main business drivers.
Headquartered in North Reading, MA, Teradyne designs, develops, manufactures and sells automated test equipment and robotics products. Its automatic test systems are used to test semiconductors, wireless products, data storage and complex electronics systems in consumer electronics, wireless, automotive, industrial, computing, communications, and aerospace and defense industries.
Robotics products include collaborative robotic arms and autonomous mobile robots (“AMRs”) that are used by global manufacturing, logistics and industrial customers.
Teradyne's semiconductor test products are used both for wafer level and device package testing of semiconductor devices. Its product portfolio comprises the FLEX Test platform, J750 test system, Magnum test platform and ETS platform, each tailored for specific semiconductor testing needs.
The company’s system Test segment is comprised of three business units: Storage Test, Defense/Aerospace and Production Board Test. Wireless Test business operates under the LitePoint brand name and provides test solutions utilized in the development and manufacturing of wireless devices and modules.
The Robotics segment comprises two business units: Universal Robots and Mobile Industrial Robots (MiR).
Universal Robots offers a variety of collaborative robot models, including the UR3, UR5, UR10, UR16 and UR20, each with different weight carrying capacity and arm reach. MiR offers four collaborative autonomous mobile robot models, MiR100, MiR250, MiR600 and MiR1350, each with a different payload carrying capacity.
Teradyne reports revenues primarily under four segments: Semiconductor Test, System Test, Robotics, and Wireless Test. In 2024, the company reported revenues of $2.82 billion.
Teradyne competes globally with key rivals like Advantest, Cohu, Keysight, Test Research, SPEA, Rohde & Schwarz, Anritsu, KUKA, ABB, FANUC, Yaskawa, Techman, Doosan, AUBO, Omron, Fetch, OTTO Motors, Vecna, Seegrid and Balyo.
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Teradyne a decade ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in November 2015 would be worth $9,255.63, or a gain of 825.56%, as of November 7, 2025, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 220.14% and gold's return of 251.65% over the same time frame.
Going forward, analysts are expecting more upside for TER.
Teradyne shares have outperformed the industry in the year-to-date period. Its third-quarter performance benefited from its robust and diversified portfolio. Strong growth driven by AI demand in semiconductor tests, particularly in compute and memory segments, has been a major growth driver. Teradyne benefited from the growing investments in cloud AI build-outs, which drove increased production of AI accelerators, networking, memory, and power devices. Increased sales of UltraFLEXplus systems and Magnum 7H products for AI applications, such as HBM and DRAM testing, contributed significantly to revenue growth. The company also saw higher demand for AI-related power ICs and system-level test (SLT) shipments. However, challenges included persistent weakness in the mobile and automotive markets, as well as a slow recovery in the robotics segment.
The stock is up 27.43% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 8 higher, for fiscal 2025. The consensus estimate has moved up as well.
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Teradyne, Inc. (TER): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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