Overview

* Semiconductor testing tools maker Teradyne ( TER ) Q3 revenue rises 4% yr/yr to $769 mln, beating analyst expectations

* Adjusted EPS for Q3 beats consensus, driven by Semiconductor Test performance

* Company expects Q4 revenue to rise 25% sequentially, driven by AI demand

Outlook

* Teradyne expects Q4 2025 revenue between $920 mln and $1,000 mln

* Company forecasts Q4 2025 GAAP EPS of $1.12 to $1.39

* Teradyne anticipates Q4 2025 non-GAAP EPS of $1.20 to $1.46

Result Drivers

* SEMICONDUCTOR TEST - Strong performance in Semiconductor Test, especially in System-on-a-Chip solutions for AI applications, drove Q3 results

* AI DEMAND - Robust AI-related demand in compute, networking, and memory segments expected to continue into Q4

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $769 mln $743.77

Revenue mln (14

Analysts

)

Q3 Beat $0.85 $0.78

Adjusted (15

EPS Analysts

)

Q3 EPS $0.75

Q3 Beat $135.90 $124.17

Adjusted mln mln (12

Net Analysts

Income )

Q3 Net $119.60

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 9 "strong buy" or "buy", 6 "hold" and 3 "sell" or "strong sell"

* The average consensus recommendation for the semiconductor equipment & testing peer group is "buy."

* Wall Street's median 12-month price target for Teradyne Inc ( TER ) is $135.00, about 9.3% below its October 27 closing price of $147.50

* The stock recently traded at 34 times the next 12-month earnings vs. a P/E of 23 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)