Analyst Shane Brett CFA of Morgan Stanley maintained a Sell rating on Teradyne (TER – Research Report), reducing the price target to $69.00.
Shane Brett CFA has given his Sell rating due to a combination of factors, primarily stemming from Teradyne’s overly optimistic guidance for 2025 and 2026. Brett’s analysis suggests that the company’s revenue forecasts are significantly higher than both company expectations and market consensus, indicating a potential need for the company to adjust its projections.
Furthermore, Brett highlights the dependency of Teradyne on key end-markets such as mobile, auto/industrial, and NAND, which are not expected to recover as quickly as anticipated. This slower recovery path has led to a downward revision of revenue and earnings per share forecasts for 2025 and 2026, contributing to a reduced price target. Brett’s analysis concludes that Teradyne’s stock is unlikely to see significant gains without clear signs of market recovery or improved earnings, reinforcing the Sell recommendation.
TER’s price has also changed dramatically for the past six months – from $127.360 to $74.060, which is a -41.85% drop .