TER - Teradyne: Valuation Unattractive Despite Expected Recovery

2024-06-26 14:40:04 ET

Summary

• Despite serving high-growth semiconductor companies as customers, Teradyne has seen its revenue decline over the past 2 years.
• We examine each of the company's segments to identify the underlying causes for its weak revenue growth.
• We determine the company's growth outlook moving forward and how that may affect its stock pricing.

In our previous analysis , we assessed Teradyne, Inc.'s ( TER ) position in the semiconductor ATE market where Teradyne and Advantest (ATEYY) are dominant players, holding over 60% of the market share. We believe Teradyne's extensive equipment portfolio targets various semiconductor product categories and expected Teradyne's leading position to be maintained due to high entry barriers in the concentrated market....

For further details see: