Teradyne
(TER) was upgraded from Neutral to Outperform
based on the recent positive earnings surprise. Earnings estimates
for future quarters were in line with company guidance. The most
recent quarter saw the company top the Zacks Consensus Estimate on
both the top and the bottom lines.
Teradyne is a leading provider of automated test
equipment. The strengthening demand and order growth driven by
the rebound in the core business, the extremely
timely and strategic LitePoint acquisition and
strength in the HDD business makes us extremely
positive about Teradyne.
Despite the relatively low exposure to the memory segment, we
are optimistic about the product lineup, leaner cost
structure and strong balance sheet. Our target price of $17 per
share implies a 9.2x forward PE multiple.
Be the first to comment