Overview

* Teradyne Q2 2025 rev of $652 mln beats analyst expectations, per LSEG data

* Adjusted EPS for Q2 2025 beats consensus at $0.57, per LSEG data

* Semiconductor Test drove better-than-expected Q2 results, particularly in AI applications

Outlook

* Teradyne ( TER ) sees Q3 revenue between $710 mln and $770 mln

* Company expects Q3 GAAP EPS of $0.62 to $0.80

* Teradyne ( TER ) anticipates stronger H2 driven by AI demand

* Company forecasts Q3 non-GAAP EPS of $0.69 to $0.87

Result Drivers

* SEMICONDUCTOR TEST - Strong demand for SOC applications related to AI drove better-than-expected Q2 results, per CEO Greg Smith

* AI APPLICATIONS - System-on-a-Chip for AI applications was the strongest growth driver in Q2

* COMPUTE STRENGTH - Expected to drive stronger second half results, although timing of program ramps remains uncertain

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $652 mln $649.90

Revenue mln (14

Analysts

)

Q2 Beat $0.57 $0.54

Adjusted (15

EPS Analysts

)

Q2 EPS $0.49

Q2 Beat $91.60 $84.90

Adjusted mln mln (12

Net Analysts

Income )

Q2 Net $78.40

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 10 "strong buy" or "buy", 4 "hold" and 4 "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 $95.00, about 4.1% above its July 28 closing price of $91.14

* The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release:

(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.)