Question 1

What is Teradyne's P/E ratio?

Accepted Answer

Teradyne (TER) P/E ratio is 68.2× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month earnings (net income), using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/E ratio calculated?

Accepted Answer

P/E = Share Price ÷ Trailing Twelve-Month (TTM) Diluted EPS, or equivalently Market Capitalisation ÷ TTM Net Income. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/E ratio?

Accepted Answer

The price-to-earnings (P/E) ratio, also called the earnings multiple, measures how much investors pay per dollar of a company's trailing twelve-month (TTM) earnings. It is calculated as share price ÷ TTM diluted EPS (equivalent to market capitalisation ÷ TTM net income). A higher P/E implies the market is pricing in stronger future earnings growth or lower risk; a lower P/E can signal slower expected growth, higher risk, or potential undervaluation.

Question 4

What is a good P/E ratio for Teradyne?

Accepted Answer

There is no universal "good" P/E. As a rule of thumb, the S&P 500 has historically averaged a P/E in the mid-to-high teens; mature, slow-growth businesses commonly trade in the 10–18× range, while high-growth or asset-light companies often trade at 25–50×+. What matters is the comparison to sector peers and to the company's own historical range. For Teradyne specifically, the relevant sector benchmark is the current sector median of 29.4×.

Question 5

Is Teradyne's P/E ratio high or low?

Accepted Answer

Teradyne's P/E ratio of 68.2× is above its own 5-year average of 32.0× and above the sector median of 29.4×. That places the current reading at the 90th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Teradyne's historical P/E ratio range?

Accepted Answer

In the available daily series, Teradyne (TER) P/E ratio has ranged from a low of 5.9× in 2010 to a high of 292.7× in 2010. The 5-year average is 32.0× and the 5-year median is 30.7×.

Question 7

What was Teradyne's P/E ratio in 2025?

Accepted Answer

Teradyne (TER) P/E ratio at the end of 2025 was 54.6×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month earnings figure available at that date.

Question 8

Why does Teradyne's P/E ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (earnings). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$30.3B	$554M	54.6×	+16.9×	Dec 31, 2025
2024	$20.5B	$542M	37.7×	+0.8×	Dec 31, 2024
2023	$16.6B	$449M	37.0×	+17.9×	Dec 31, 2023
2022	$13.6B	$716M	19.0×	-7.2×	Dec 31, 2022
2021	$26.6B	$1.01B	26.2×	+0.8×	Dec 31, 2021
2020	$19.9B	$784M	25.4×	+1.6×	Dec 31, 2020
2019	$11.4B	$479M	23.8×	+11.4×	Dec 31, 2019
2018	$5.62B	$452M	12.4×	-19.3×	Dec 31, 2018
2017	$8.17B	$258M	31.7×	—	Dec 31, 2017
2016	$5.1B	-$43.4M	—	—	Dec 31, 2016
2015	$4.24B	$206M	20.5×	-32.2×	Dec 31, 2015
2014	$4.29B	$81.3M	52.7×	+32.3×	Dec 31, 2014
2013	$3.37B	$165M	20.5×	+5.9×	Dec 31, 2013
2012	$3.17B	$217M	14.6×	—	Dec 31, 2012
2011	—	$376M	—	—	Dec 31, 2011
2010	$2.59B	$380M	6.8×	—	Dec 31, 2010
2009	$1.9B	-$134M	—	—	Dec 31, 2009
2008	$714M	-$398M	—	—	Dec 31, 2008
2007	$1.8B	$77.7M	23.1×	+8.9×	Dec 31, 2007
2006	$2.83B	$199M	14.2×	-17.6×	Dec 31, 2006
2005	$2.89B	$90.6M	31.8×	+11.6×	Dec 31, 2005
2004	$3.34B	$165M	20.2×	—	Dec 31, 2004
2003	$4.93B	-$194M	—	—	Dec 31, 2003
2002	$2.38B	-$718M	—	—	Dec 31, 2002


Dell Technologies (DELL)	16.2×
Western Digital (WDC)	15.7×
Accenture (ACN)	15.4×
Gartner (IT)	14.9×
CDW (CDW)	14.5×
Adobe (ADBE)	14.4×
Leidos Holdings (LDOS)	14.1×
Zoom Communications (ZM)	13.8×
QUALCOMM (QCOM)	13.7×
PTC (PTC)	13.5×
Paycom Software (PAYC)	13.2×
Elastic N.V. (ESTC)	13.2×
Cognizant (CTSH)	13.1×
First Solar (FSLR)	12.7×
GoDaddy (GDDY)	12.7×
Gen Digital (GEN)	11.7×
Duolingo (DUOL)	10.9×
Super Micro Computer (SMCI)	10.9×
Science Applications International (SAIC)	10.3×
Fiserv (FISV)	9.3×
Fidelity National Information Services (FIS)	9.0×
HP (HPQ)	7.5×
Sunrun (RUN)	5.6×
Lyft (LYFT)	1.8×
IBM (IBM)	0.0×

P/E Ratio for Teradyne (TER) 2004-2026

P/E Ratio daily chart for Teradyne (TER)

Historical P/E Ratio for Teradyne (TER) from 2002 to 2025

About P/E Ratio at Teradyne (TER)

Teradyne P/E Ratio by Year

Teradyne P/E Ratio 2025: 54.6×

Teradyne P/E Ratio 2024: 37.7×

Teradyne P/E Ratio 2023: 37.0×

Teradyne P/E Ratio 2022: 19.0×

Teradyne P/E Ratio 2021: 26.2×

Sector peers by P/E Ratio — chart

Sector peers by P/E Ratio — table

Frequently asked questions

Teradyne (TER) Key Financials