Teradyne Stock Sinks 15% After Record Q1 on Cautious Q2 Outlook

Overview

• The automated test equipment maker, which reported results late Tuesday, saw shares fall about 15% on Wednesday as traders fixated on the new outlook.
• Q1 revenue reached $1.282 billion with $1.111 billion from Semiconductor Test, $91 million from Robotics, and $80 million from Product Test, and non-GAAP EPS came in at $2.56.
• About 70% of sales were tied to AI-related demand, Semiconductor Test topped $1 billion for the first time, and third-party coverage reported a record 60.9% gross margin.
• Management guided Q2 revenue to $1.15–$1.25 billion and non-GAAP EPS to $1.86–$2.15, and analysts noted the figures imply lower margins than Q1.
• Commentary highlighted a rich valuation that leaves little room for softer guidance, while at least one firm kept a Buy rating on a longer-term view of growing test needs across the chip industry.