Onto Innovation Inc (ONTO)vsTeradyne Inc (TER)
ONTO
Onto Innovation Inc
$253.24
-7.83%
TECHNOLOGY · Cap: $16.11B
TER
Teradyne Inc
$406.86
+7.24%
TECHNOLOGY · Cap: $64.13B
Smart Verdict
WallStSmart Research — data-driven comparison
Teradyne Inc generates 267% more annual revenue ($3.79B vs $1.03B). TER leads profitability with a 22.6% profit margin vs 10.3%. ONTO appears more attractively valued with a PEG of 1.51. TER earns a higher WallStSmart Score of 75/100 (B+).
ONTO
Hold44
out of 100
Grade: D
TER
Strong Buy75
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Safe zone — low bankruptcy risk
Strong operational efficiency at 37.6%
Revenue surging 87.0% year-over-year
Earnings expanding 314.8% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Every $100 of equity generates 27 in profit
Areas to Watch
Expensive relative to growth rate
ROE of 5.0% — below average capital efficiency
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 22.7x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ONTO
The strongest argument for ONTO centers on Altman Z-Score.
Bull Case : TER
The strongest argument for TER centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 22.6% and operating margin at 37.6%. Revenue growth of 87.0% demonstrates continued momentum.
Bear Case : ONTO
The primary concerns for ONTO are PEG Ratio, Return on Equity, Piotroski F-Score. A P/E of 151.3x leaves little room for execution misses.
Bear Case : TER
The primary concerns for TER are PEG Ratio, P/E Ratio, Price/Book. A P/E of 75.7x leaves little room for execution misses.
Key Dynamics to Monitor
ONTO profiles as a value stock while TER is a growth play — different risk/reward profiles.
TER carries more volatility with a beta of 1.79 — expect wider price swings.
TER is growing revenue faster at 87.0% — sustainability is the question.
TER generates stronger free cash flow (200M), providing more financial flexibility.
Bottom Line
TER scores higher overall (75/100 vs 44/100), backed by strong 22.6% margins and 87.0% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Onto Innovation Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Onto Innovation Inc. is dedicated to the design, development, manufacture and support of process control tools that perform macrodefect inspection and metrology, lithography systems, and process control analytical software worldwide. The company is headquartered in Wilmington, Massachusetts.
Visit Website →Teradyne Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.
Visit Website →Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
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