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TER TER

UnknownUnknownN/A📅 Scored March 19, 2026
Price at analysis: $306.96
Crucible Score
51.2
C
Quality × Value Composite
KQI — Quality
68.2
B
Fundamental Quality Index
KVI — Value
30.4
D-
Valuation Attractiveness Index
Crucible Verdict — TER

Teradyne demonstrates solid operational fundamentals with an impressive 97% earnings beat rate and strong financial quality metrics, but trades at a modest 7% discount to fair value that fails to compensate for meaningful execution risks. TER's weak diversification profile and tepid growth prospects create a challenging risk-reward equation. The narrow valuation cushion leaves little room for operational missteps.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality
80.5
Growth Profile
49.8
Moat Durability
68.3
Management Effectiveness⚠
73.4
Diversification & Resilience
49.2
Market Position
68.0
Weakest dimension: Diversification & Resilience (49.2)

◆ KVI Value Dimensions

DCF Margin of Safety
53.2
FCF Yield & Cash Returns
25.8
Relative Valuation
17.4
Growth-Adjusted Value
23.5
Historical Valuation
5.5
Macro Context
25.5

◆ DCF Valuation Scenarios

Bear Case
$198.42
Base Case
$328.15
Bull Case
$502.78
Price at Analysis
$306.96
ScenarioFair ValueRev CAGR (5yr)Terminal MarginWACC
🔴 Bear$198.425.0%22.0%15.2%
🟢 Base$328.158.0%25.0%14.2%
🟢 Bull$502.7812.0%29.0%13.2%
Key Assumptions: WACC derived using CAPM with 4.39% risk-free rate, 1.80 beta, and 5.5% ERP yielding 14.29% base cost of equity; minimal debt leverage keeps WACC near cost of equity. Revenue base anchored at ~$3.2B trailing average with semiconductor test cyclicality reflected in bear/bull spread; operating margins mean-revert from the 32% peak toward the 22-26% historical range given TER's exposure to cyclical ATE demand. FCF conversion assumes ~5% capex intensity consistent with recent history and a 13% effective tax rate reflecting historical average.

◆ Financial Snapshot

Profitability

Gross Margin58.3%
Operating Margin20.9%
Net Margin17.4%
ROIC18.2%
ROE23.3%

Balance Sheet

Balance SheetCR: 1.76
Cash ConversionFCF/EPS: 0.81x
Capital IntensityCapex/Rev: 7.0%
Altman Z-Score21.98 (Safe)
Piotroski F-Score6/9 (Good)

Growth

Revenue CAGR-3.7% CAGR
Earnings CAGR-14.0% CAGR
Growth ConsistencyCV: 1.97
Segment Breadth2/2 growing (100%)
Quarterly TrendRev↑, Margin↑, Cash↓, WC↓, Exp↓
Earnings CredibilityConsistent Beater

◆ Analyst Consensus & Leadership

Leadership & Governance

CEO Ownership13.2%
Insider ActivitySelling
Capital AllocationROIC 18.2% vs WACC 1.8%
Earnings Beat Rate97% (21/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+
MethodologyAll ScoresCrucible BriefsPerformance@KaladinCI

Analysis conducted March 19, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.

© 2026 Kaladin Capital Intelligence — Conviction Through Scrutiny