Stock Analysis on Net

Teradyne Inc. (NASDAQ:TER)

$22.49

This company has been moved to the archive! The financial data has not been updated since May 3, 2024.

Price to Sales (P/S)
since 2005

Microsoft Excel

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Calculation

Teradyne Inc., P/S, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Teradyne Inc. Annual Report.


Share Price Trends
The share price exhibited significant fluctuations over the analyzed period. Initially, the price remained relatively stable around the mid-teens from 2006 through 2008, followed by a sharp decline in 2009 to a low near $3.93. Subsequently, a recovery phase ensued, with price increments interspersed by moderate volatility, culminating in a strong upward trajectory starting around 2016. The price peaked prominently in 2021 at approximately $132.39 before experiencing a moderate decline, settling slightly above $100 in the most recent periods.
Sales per Share Dynamics
Sales per share demonstrated a generally positive growth trend over the years, albeit with some fluctuations. After rising from $5.43 in 2006 to $7.26 in 2007, sales per share dipped marginally in 2008 and 2010 before resuming an upward path. Notable growth phases occurred from 2013 through 2022, with sales per share reaching a peak near $22.80 in 2022. A slight decrease was observed in the last recorded year, falling to $17.48, indicating some volatility but overall maintaining a higher level compared to the earlier years.
Price-to-Sales (P/S) Ratio Patterns
The Price-to-Sales ratio exhibited pronounced variability, reflecting shifts in market valuation relative to sales. Initially decreasing from 2.93 in 2006 to a low of 0.61 in 2009, the ratio then oscillated in the 2.0 to 3.5 range for several years. From 2016 onwards, a marked increase in the P/S ratio took place, peaking at 7.07 in 2021, corresponding with the peak in share price. Subsequent years showed a slight normalization, yet the ratio remained elevated above historical averages, indicating a higher market premium on sales in recent years.
Overall Insights
The data indicates a recovery from the significant downturn observed in 2009, with both share price and sales per share achieving new highs in the recent decade. The elevated P/S ratios in the latter years suggest increased investor confidence or possibly heightened expectations regarding growth prospects. The recent decline in sales per share coupled with a relatively high share price and P/S ratio may warrant attention towards possible changes in sales performance or market sentiment.

Comparison to Competitors

Teradyne Inc., P/S, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Sector (Semiconductors & Semiconductor Equipment)

Teradyne Inc., P/S, long-term trends, comparison to sector (semiconductors & semiconductor equipment)

Microsoft Excel

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-30), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Industry (Information Technology)