Teradyne Falls as Valuation Concerns Spur More Profit-Taking

Teradyne, Inc. (TER) is down 4.2% today. Here is some analysis on what might have caused this price movement.

Analysis: The sell-off appears tied mainly to a recent analyst downgrade that focused on valuation and a lack of clear near-term upside after the stock’s powerful AI-driven rally. With no negative company announcement on August 28 and Teradyne still coming off strong quarterly results, this looks more like multiple compression and profit-taking than a fresh deterioration in the business.

Details:

A recent rating cut moved Teradyne to a more cautious stance, with the main concern being that the share price had already baked in much of the expected benefit from merchant GPU and AI test demand.

That same view highlighted limited second-half upside from compute-related programs, suggesting investors may be reassessing how much near-term growth is still left to surprise on the upside.

Teradyne’s last major company update was strong: second-quarter 2026 revenue more than doubled from a year earlier, and the company guided for another solid quarter, so today’s decline does not appear to be driven by weak earnings.

The company also declared a quarterly cash dividend earlier this week, which further suggests the move is more likely market and valuation driven than the result of a newly disclosed operational problem.

Sources:

Teradyne Investor Relations, SEC, Yahoo Finance

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$TER Insider Trading Activity

$TER insiders have traded $TER stock on the open market 18 times in the past 6 months. Of those trades, 0 have been purchases and 18 have been sales.

Here’s a breakdown of recent trading of $TER stock by insiders over the last 6 months:

GREGORY STEPHEN SMITH (President and CEO) has made 0 purchases and 4 sales selling 20,597 shares for an estimated $7,731,571.
MARILYN MATZ has made 0 purchases and 5 sales selling 4,800 shares for an estimated $1,856,392.
SHANNON JOHN POULIN (President, Semiconductor Test) has made 0 purchases and 2 sales selling 1,664 shares for an estimated $581,012.
MERCEDES JOHNSON has made 0 purchases and 5 sales selling 1,750 shares for an estimated $580,144.
REGAN MILLS (President, Product Test) has made 0 purchases and 2 sales selling 268 shares for an estimated $78,776.

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

$TER Hedge Fund Activity

We have seen 823 institutional investors add shares of $TER stock to their portfolio, and 639 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

JPMORGAN CHASE & CO added 5,570,053 shares (+inf%) to their portfolio in Q2 2026, for an estimated $2,695,014,443
INVESCO LTD. added 4,162,514 shares (+165.1%) to their portfolio in Q2 2026, for an estimated $2,013,990,773
BLACKROCK, INC. added 3,131,834 shares (+19.2%) to their portfolio in Q2 2026, for an estimated $1,515,306,562
POINT72 ASSET MANAGEMENT, L.P. removed 1,826,008 shares (-79.9%) from their portfolio in Q2 2026, for an estimated $883,495,710
T. ROWE PRICE INVESTMENT MANAGEMENT, INC. added 1,774,075 shares (+16127954.5%) to their portfolio in Q2 2026, for an estimated $858,368,448
ALLSPRING GLOBAL INVESTMENTS HOLDINGS, LLC removed 1,075,607 shares (-96.7%) from their portfolio in Q2 2026, for an estimated $520,421,690
SIXTH STREET PARTNERS MANAGEMENT COMPANY, L.P. added 1,014,857 shares (+inf%) to their portfolio in Q2 2026, for an estimated $491,028,410

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$TER Government Contracts

We have seen $37,064,090 of award payments to $TER over the last year.

Here are some of the awards which we have have seen pay out the most over the last year:

THIS REQUIREMENT IS FOR THE PROCUREMENT OF KITS, REQUIRED TO ASSEMBLE VDATS, IN ACCORDANCE WITH THE ATTACHE...: $4,374,363
DELIVERY ORDER 22: $859,264

To track government contracts to publicy traded companies, check out Quiver Quantitative's government contracts dashboard. You can access data on government contracts through the Quiver Quantitative API government contracts endpoint.

$TER Congressional Stock Trading

Members of Congress have traded $TER stock 1 times in the past 6 months. Of those trades, 1 have been purchases and 0 have been sales.

Here’s a breakdown of recent trading of $TER stock by members of Congress over the last 6 months:

SENATOR ALAN ARMSTRONG purchased up to $15,000 on 03/27.

To track congressional stock trading, check out Quiver Quantitative's congressional trading dashboard. You can access data on congressional stock trades through the Quiver Quantitative API Congress trades endpoint.

$TER Analyst Ratings

Wall Street analysts have issued reports on $TER in the last several months. We have seen 1 firms issue buy ratings on the stock, and 0 firms issue sell ratings.

Here are some recent analyst ratings:

Evercore ISI Group issued a "Outperform" rating on 04/30/2026

To track analyst ratings and price targets for $TER, check out Quiver Quantitative's $TER forecast page.

$TER Price Targets

Multiple analysts have issued price targets for $TER recently. We have seen 10 analysts offer price targets for $TER in the last 6 months, with a median target of $443.0.

Here are some recent targets:

James Schneider from Goldman Sachs set a target price of $465.0 on 07/06/2026
Mehdi Hosseini from Susquehanna set a target price of $550.0 on 06/30/2026
C.J. Muse from Cantor Fitzgerald set a target price of $550.0 on 06/29/2026
Richard Eastman from Baird set a target price of $446.0 on 06/23/2026
Vivek Arya from B of A Securities set a target price of $525.0 on 06/23/2026
Mark Lipacis from Evercore ISI Group set a target price of $370.0 on 04/30/2026
Atif Malik from Citigroup set a target price of $400.0 on 04/30/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.