New York, Feb 3, 2026, 14:47 EST — Regular session
- Teradyne shares rose about 11% to $277.63 in afternoon trading after the company topped quarterly estimates and forecast a strong March quarter.
- The chip-test equipment maker projected first-quarter revenue of $1.15 billion to $1.25 billion, above Wall Street’s view.
- Cantor Fitzgerald reiterated an Overweight rating and a $270 price target, calling the quarter “a significant beat and raise.”
Teradyne Inc (TER.O) shares climbed 11.3% to $277.63 on Tuesday, extending gains after the company’s forecast for quarterly profit and revenue came in well above expectations.
The move matters because Teradyne sits close to the front of the AI supply chain. When chipmakers and cloud firms push harder on data center buildouts, they tend to spend earlier on testing gear that qualifies new chips before they ship.
Late Monday, Teradyne forecast first-quarter revenue and adjusted profit above Wall Street estimates, pointing to demand tied to AI compute and memory chips. Teradyne said the rising complexity of AI chips and faster production timelines have nudged chipmakers to lift capital spending on test equipment; its shares rose more than 20% in extended trading after the update. (Reuters)
In its earnings release, Teradyne reported fourth-quarter revenue of $1.083 billion and non-GAAP earnings of $1.80 per share. CEO Greg Smith said the quarter was “fueled by AI-related demand” in compute, networking and memory, and he flagged year-over-year growth across its businesses in 2026. (Teradyne, Inc.)
For the March quarter, the company guided to revenue of $1.15 billion to $1.25 billion and adjusted earnings per share of $1.89 to $2.25. Reuters cited an LSEG consensus estimate of $934.5 million in revenue and $1.26 in adjusted EPS. (Reuters)
Cantor Fitzgerald analyst C.J. Muse reiterated an Overweight rating and a $270 target, describing the results as “a significant beat and raise.” The firm pointed to leverage to AI-linked strength across networking, compute and memory. (Investing)
Teradyne makes automated test equipment — machines used to check the quality and reliability of semiconductors before they go into phones, servers or other hardware. Teradyne counts Qualcomm and Texas Instruments among its customers, Reuters reported. (Reuters)
A regulatory filing showed the company furnished its quarterly results release in a Form 8-K on Monday. (SEC)
Still, the bar just moved higher. Any wobble in AI-related capital spending — or a slower handoff from busy chip factories to fresh equipment orders — could hit a stock that has already repriced on stronger growth assumptions.
Next up, investors will look for follow-on detail from management and analysts on how long the AI-driven order strength holds, and whether it spreads beyond compute into memory and networking. Traders will also watch Teradyne’s appearances at industry events including SEMICON Korea on Feb. 11 and the Chiplet Summit on Feb. 17 for fresh demand signals. (Teradyne)
