Semiconductor testing company Teradyne (NASDAQ:TER) will be reporting earnings tomorrow after market close. Here's what you need to know.
Last quarter Teradyne reported revenues of $703.7 million, down 14.9% year on year, beating analyst revenue expectations by 2.9%. It was a mixed quarter for the company, with a significant improvement in its inventory levels but underwhelming revenue guidance for the next quarter.
Is Teradyne buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting Teradyne's revenue to decline 7.5% year on year to $677 million, improvement on the 17.3% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.72 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 2.6%.
Looking at Teradyne's peers in the semiconductors segment, some of them have already reported Q4 earnings results, giving us a hint what we can expect. Lam Research (NASDAQ:LRCX)'s revenues decreased 28.8% year on year, beating analyst estimates by 1.4% and KLA Corporation reported revenue decline of 16.7% year on year, exceeding estimates by 1.1%. Lam Research traded down 3.5% on the results, KLA Corporation was down 6.6%.
Read the full analysis of Lam Research's and KLA Corporation's results on StockStory.
There has been positive sentiment among investors in the semiconductors segment, with the stocks up on average 2.4% over the last month. Teradyne is down 1.7% during the same time, and is heading into the earnings with analyst price target of $111.7, compared to share price of $103.0.
The author has no position in any of the stocks mentioned.
