Teradyne Inc (TER)vsUltra Clean Holdings Inc (UCTT)
TER
Teradyne Inc
$406.86
+5.72%
TECHNOLOGY · Cap: $64.13B
UCTT
Ultra Clean Holdings Inc
$82.07
-12.40%
TECHNOLOGY · Cap: $4.88B
Smart Verdict
WallStSmart Research — data-driven comparison
Teradyne Inc generates 83% more annual revenue ($3.79B vs $2.07B). TER leads profitability with a 22.6% profit margin vs -9.4%. UCTT appears more attractively valued with a PEG of 1.30. TER earns a higher WallStSmart Score of 75/100 (B+).
TER
Strong Buy75
out of 100
Grade: B+
UCTT
Avoid34
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for TER.
Margin of Safety
-35.5%
Fair Value
$41.29
Current Price
$82.07
$40.78 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
No standout strengths identified
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 22.7x book value
2.9% revenue growth
Operating margin of 2.1%
Elevated debt levels
ROE of -30.9% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : UCTT
PEG of 1.30 suggests the stock is reasonably priced for its growth.
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.
Bear Case : UCTT
The primary concerns for UCTT are Revenue Growth, Operating Margin, Debt/Equity.
Key Dynamics to Monitor
TER profiles as a growth stock while UCTT is a turnaround play — different risk/reward profiles.
UCTT carries more volatility with a beta of 1.95 — 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 34/100), backed by strong 22.6% margins and 87.0% revenue growth. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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 →Ultra Clean Holdings Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Ultra Clean Holdings, Inc. designs, designs and manufactures production tools, modules and subsystems for the semiconductor and display capital equipment markets in the United States and internationally. The company is headquartered in Hayward, California.
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