QM · rank #8 · 2026-07-20
TER
NASDAQ · $51.68B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +408.80% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +28.7% |
| Profit margin Net profit margin, trailing 12 months. | +22.6% |
| Market cap (USD) Size filter: > $500M required. | $51.68B |
| Anchor (recent) Close on 2026-06-18 | $437.92 |
| Anchor (far) Close on 2025-06-20 | $86.07 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Teradyne is a dominant automatic test equipment provider serving semiconductor, robotics, and product test markets, with a ~36% ATE share target and growing AI-driven GPU/ASIC test demand.
Rationale
Record Q1 2026 results (~87% YoY revenue growth, 37.5% operating margin, ROE of 28.75%) confirm that momentum and quality signals are grounded in real fundamental acceleration tied to AI semiconductor test capacity buildout, not mere sentiment rotation.
Material risks
- 1Teradyne's near-term revenue is heavily concentrated in AI/GPU test volumes from a small number of hyperscaler and merchant silicon customers; any in-house test capability development by NVIDIA or a major custom ASIC customer (e.g., Google TPU, Amazon Trainium) would directly erode the bottleneck-solver thesis.
- 2Q2 2026 guidance of $1.15–$1.25B implies sequential revenue deceleration from the Q1 record, signaling potential peak-cycle dynamics that could stall the momentum signal if AI capex digestion accelerates.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.