For anyone involved in investing, understanding how stock prices fluctuate over time is really important. This can have a serious effect on your investment portfolio and gives you a way to compare performance across different sectors.
Then there’s FOMO — the anxiety of missing out on potential gains — which seems to trend alongside tech giants and favored consumer products.
So, what if you went back in time and invested in Teradyne (TER) ten years ago? While it might have been a challenge to hold onto TER during that time, it’s interesting to consider what that investment would be worth now.
The Inside Scoop on Teradyne’s Business
Let’s dive into what drives Teradyne’s business.
Based in North Reading, MA, Teradyne is all about designing, developing, and selling automated test equipment and robotics. Their test systems are essential for verifying the quality of semiconductors, wireless tech, data storage, and complex electronics used in various industries, including consumer electronics and aerospace.
On the robotics side, they offer everything from collaborative robotic arms to autonomous mobile robots (“AMRs”), which are super useful for manufacturing and logistics around the globe.
Teradyne’s semiconductor testing gadgets are key to both wafer-level testing and device package evaluation. Their product lineup includes specialized platforms like the FLEX Test platform, J750, Magnum, and ETS, finely tuned to meet diverse semiconductor needs.
Teradyne’s System Test segment is broken down into storage testing, defense/aerospace, and production board testing divisions. Their Wireless Test branding, known as LitePoint, provides vital test solutions for developing and making wireless devices.
Each segment of robotics — Universal Robots and Mobile Industrial Robots (MiR) — caters to distinct needs, offering a range of models for different applications.
Overall, Teradyne reported earnings relevant to four main segments: Semiconductor Test, System Test, Robotics, and Wireless Test, stating revenues of $2.82 billion in 2024.
On the competitive front, Teradyne is up against major players like Advantest and Cohu, as well as notable robotics companies like KUKA and ABB.
The Final Takeaway
Investing is open to everyone, but piecing together a winning portfolio necessitates research, patience, and a bit of calculated risk. If you had chosen to invest in Teradyne a decade back, you’d probably be rather pleased with your decision.
Based on our breakdown, your $1000 investment from October 2015 could balloon to an impressive $7,705.91 today, showing a gain of 670.59% as of October 22, 2025. This calculation doesn’t factor in dividends but does reflect price appreciation.
To put this in perspective, consider that the S&P 500 has grown by 233.61% and gold has returned 237.76% over the same period.
Looking forward, market experts believe Teradyne has even more growth potential. The company’s diverse and robust product lineup is prime for strong adoption. Specifically, their automated solutions are streamlining backend processes for semiconductor customers effectively. By 2025, they anticipate DRAM will lead in the memory landscape. During the most recent quarter, they experienced healthy demand for AI compute solutions that outweighed drops in the automotive and industrial sectors. The second half of this fiscal year is expected to outperform the first half. AI compute is set to be the major growth driver for TER’s business moving forward. Plus, acquiring Quantifi Photonics should help Teradyne strengthen their foothold in the AI compute arena. However, industry trends suggest the overall market might remain weak, with robotics not expected to break even this year. Currently, Teradyne has been slow to keep pace with the industry’s growth year to date.
The past month has shown a 6.42% increase in stock value, and earnings estimates for the next couple of months have remained steady, with even some trends nudging upwards for 2025 fiscal projections. Known consensus estimates have also edged higher.
This original article was published on Zacks Investment Research (zacks.com).
