Morgan Stanley Raises Teradyne Price Target Amid Revenue Forecasts
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jul 31 2025
0mins
Source: Benzinga
Teradyne Inc's stock rose 5.06% and reached a 5-day high amid positive analyst sentiment.
Morgan Stanley analyst Shane Brett raised Teradyne's price target from $376 to $387 while maintaining an 'Equal Weight' rating, indicating support for the company's fundamentals. However, the company has downgraded its revenue forecast for the second quarter to between $1.15 billion and $1.25 billion, reflecting a reset in market expectations due to weakening AI-related semiconductor demand. Despite a recent acquisition of TestInsight that enhances its semiconductor test software capabilities, concerns about future growth have led to a decline in adjusted EPS expectations from $2.56 in Q1 to a range of $1.86 to $2.15.
The mixed outlook from analysts and the company's revenue forecast may create volatility in Teradyne's stock performance, as investors weigh the potential impact of AI demand on future earnings.
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Analyst Views on TER
Wall Street analysts forecast TER stock price to fall
18 Analyst Rating
13 Buy
4 Hold
1 Sell
Moderate Buy
Current: 382.650
Low
161.00
Averages
206.12
High
240.00
Current: 382.650
Low
161.00
Averages
206.12
High
240.00
About TER
Teradyne, Inc. is a global supplier of automated test equipment and robotics solutions. It designs, develops, manufactures and sells automated test systems and robotics products. Its segment includes Semiconductor Test, Robotics, and Product Test. The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services, inclusive of storage and system level test products. The Robotics segment includes operations related to the design, manufacturing and marketing of collaborative robotic arms and autonomous mobile robots. The Product Test segment includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace test, circuit-board test, wireless test systems, and silicon photonics testing. Its offerings also include defense/aerospace test instrumentation and systems, circuit-board test and inspection (production board test) systems, and wireless test systems.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Buy Signals Emerge: Companies like Caterpillar and Viavi flashed buy signals, indicating optimistic sentiment towards these stocks, which may attract both short-term traders and long-term investors, potentially driving their stock prices higher.
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- Revenue Forecast Downgrade: Teradyne estimates second-quarter revenue between $1.15 billion and $1.25 billion, down from $1.28 billion in the first quarter, reflecting a reset in market expectations due to weakening AI-related semiconductor demand.
- Earnings Per Share Outlook: The company expects adjusted EPS to range from $1.86 to $2.15, a decline from $2.56 posted in Q1, indicating pressure on profitability amid changing market conditions.
- Acquisition Impact: Teradyne's recent acquisition of TestInsight enhances its semiconductor test software capabilities, yet despite a remarkable 87% year-over-year revenue increase in Q1, shares fell over 8% in after-hours trading due to concerns about future growth.
See More
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- Technical Analysis Tool: Comparing the latest share price to the 200-day moving average provides valuable insights for investors, helping to assess market trends and potential buy or sell opportunities.
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