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 2025, the company reported revenues of $3.19 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
While anyone can invest, building a lucrative investment portfolio takes research, patience, and a little bit of risk. If you had invested in Teradyne ten years ago, you're probably feeling pretty good about your investment today.
A $1000 investment made in May 2016 would be worth $19,039.01, or a 1,803.90% gain, as of May 28, 2026, according to our calculations. Investors should note that this return excludes dividends but includes price increases.
Compare this to the S&P 500's rally of 258.27% and gold's return of 249.20% over the same time frame.
Going forward, analysts are expecting more upside for TER.
Teradyne is benefiting from AI-led test demand as hyperscalers and semiconductor vendors ramp compute, networking, memory, and power devices. Q1 results set new revenue and earnings records, with management citing nearly 70% of sales tied to AI-related demand and continued momentum into Q2. Management guided Q2 revenue to $1.15-$1.25 billion with non-GAAP EPS of $1.86-$2.15, reflecting normalization from peak volume but still steep year-over-year growth. New platforms like Photon 100 for silicon photonics and Omnyx for server board test extend TER's reach from wafer to data center, and recent MultiLane and TestInsight deals broaden high-speed interconnect and design-to-test software. However, the company suffers from customer concentration and order lumpiness, weaker mobile demand, margin variability, and ongoing FX.
The stock has jumped 22.69% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 8 higher, for fiscal 2026; the consensus estimate has moved up as well.
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Teradyne, Inc. (TER): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).