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Teradyne
TER · NASDAQSemiconductors
The economic chain
Follow the chain left → right, from inputs to end demand. Tap any company to trace its links.
Raw inputs
Equipment
Foundry
Chip design
Software
AI demand
Equipmentthe machinesFoundrybuilds the chipChip designblueprints + softwareSystemsinto AI serversAI demandwho paysADVAdvantestTERTeradyneASMLASMLSOCSoC test systemsMEMMemory / HBM testTSMTSMCSKSK HynixMUMicronNVNVIDIAAVGOBroadcomROBTeradyne RoboticsOSATOSAT / test houses···Factories & warehouses···Chipmakers & OSATs
Company details
Market cap
~$50B
P/E ratio
~50×
Div yield
~0.2%
EPS (non-GAAP)
$3.96
Revenue
$3.19B
Rev. growth
+13%
AI % of revenue
>60%
Test market share
~half of ATE
In plain English
Teradyne makes the automated test equipment (ATE) that proves a chip actually works before it ships — the final checkpoint between a TSMC wafer and an AI server. It is one of two firms (with Advantest) that test almost every advanced chip on Earth, and the AI boom in SoC, HBM memory and high-speed networking has become its growth engine. A second business, Teradyne Robotics (Universal Robots cobots + MiR mobile robots), bets on 'physical AI' on the factory floor.
In simple terms
Where Teradyne sits: the final checkpoint
Teradyne is one stage downstream of the foundry. After TSMC prints a chip and memory makers stack HBM, Teradyne's test systems prove each part actually works at speed before it ships into an AI server. It's the quality gate the whole chain passes through.
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Risk read
Moderate
SteadierMore speculative
Why this rating?