Teradyne (TER) closed at $129.69 in the latest trading session, marking a +0.57% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.28% for the day. At the same time, the Dow added 0.15%, and the tech-heavy Nasdaq gained 0.15%.

The maker of wireless products, data storage and equipment to test semiconductors's stock has dropped by 5.14% in the past month, falling short of the Computer and Technology sector's loss of 0.02% and the S&P 500's gain of 2%.

Analysts and investors alike will be keeping a close eye on the performance of Teradyne in its upcoming earnings disclosure. The company is expected to report EPS of $0.78, down 2.5% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $714.07 million, showing a 1.47% escalation compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.02 per share and revenue of $2.78 billion. These totals would mark changes of +3.07% and +4.03%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for Teradyne. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Teradyne is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, Teradyne is presently being traded at a Forward P/E ratio of 42.65. For comparison, its industry has an average Forward P/E of 26.01, which means Teradyne is trading at a premium to the group.

It's also important to note that TER currently trades at a PEG ratio of 2.64. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Electronics - Testing Equipment industry was having an average PEG ratio of 2.64.

The Electronics - Testing Equipment industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 56, finds itself in the top 23% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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