QM · rank #3 · 2026-06-05

TER

NASDAQ · $61.46B

verdict · PROCEED

The exact numbers the algorithm saw.

Factor scores and the inputs behind this pick.
Momentum 12-1 Return from 12 months ago to 1 month ago.	+418.29%
ROE TTM Return on equity, trailing 12 months.	+28.7%
Profit margin Net profit margin, trailing 12 months.	+22.6%
Market cap Size filter: > $500M required.	$61.46B
Anchor (recent) Close on 2026-05-06	$382.34
Anchor (far) Close on 2025-05-06	$73.77

The AI research card

Independent qualitative review of each pick before the order is placed.

Summary

Teradyne is a semiconductor test and industrial automation equipment manufacturer serving chip producers and electronics manufacturers globally.

Rationale

Strong 12-month momentum (4.18) combined with solid ROE (28.75%) and profit margin (22.55%) suggests operational quality is accelerating, fitting the quality_momentum strategy profile.

Material risks

1Semiconductor capex cycles are highly volatile; customer concentration among foundries/IDMs creates lumpy revenue and margin exposure to cyclical downturns.
2Intense competition from Applied Materials, KLA, and Xcerra in test equipment limits pricing power and market share gains despite current momentum.

Verdict reasoning

two_stage score=+3/3 verdicts={'claude': 'PROCEED', 'openai': 'PROCEED', 'gemini': 'PROCEED'} brief=caller-supplied