BofA Raises Teradyne Price Target to $110 from $83, Keeps Underperform Rating

BofA raised the price target on Teradyne (TER) to $110 from $83 and maintains an Underperform rating. The firm attributes the stock's 20% gain to potential wins in Nvidia GPU testing business, Apple-related 2nm product ramp, and incremental robotics wins. However, the firm reiterates its Underperform rating due to the "somewhat binary nature" of an Nvidia win and timing uncertainty.

Teradyne Inc. (TER) has seen a significant boost in its stock price, with BofA Securities raising its price target to $110 from $83 and maintaining an Underperform rating. The firm attributes the 20% gain to potential wins in Nvidia's GPU testing business, Apple-related 2nm product ramp, and incremental robotics wins [1].

The upgrade comes on the heels of Teradyne's robust second-quarter earnings report, which exceeded expectations. The company reported revenues and earnings both exceeding company guidance, driven by strong performance in their Semiconductor Test segment [2]. BofA notes that the stock's recent gains are largely due to positive sentiment from these developments.

However, BofA reiterates its Underperform rating due to the "somewhat binary nature" of an Nvidia win and timing uncertainty. The firm acknowledges that Teradyne's potential role in Nvidia's growing compute supply chain could significantly impact its performance, but also cautions that the outcome is not guaranteed [1].

Investors are encouraged to stay informed about these developments and consider the potential risks and opportunities associated with Teradyne's stock. As always, it is important to conduct thorough research and make informed decisions based on current market conditions and the company's financial health.

References:
[1] https://stockstotrade.com/news/teradyne-inc-ter-news-2025_07_30-3/
[2] https://finance.yahoo.com/news/teradyne-upgraded-morgan-stanley-nvidia-140836199.html