TER vs. TXN: Teradyne vs. Texas Instruments Stock Comparison

November 11, 2026

How do Teradyne (TER) and Texas Instruments (TXN) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Teradyne (TER) and Texas Instruments (TXN) both belong to the Semiconductors & Semiconductor Equipment industry, though TER is classified under Semiconductor Materials & Equipment while TXN falls under Semiconductors.

Company profile comparison for Teradyne (TER) and Texas Instruments (TXN)
Profile Item	TER	TXN
Name	Teradyne, Inc.	Texas Instruments Inc.
Country/Region	United States	United States
GICS Sector	Information Technology	Information Technology
GICS Industry Group	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Industry	Semiconductors & Semiconductor Equipment	Semiconductors & Semiconductor Equipment
GICS Sub-Industry	Semiconductor Materials & Equipment	Semiconductors
Market Capitalization	34.07 billion USD	253.58 billion USD
Currency	USD	USD
Exchange	Nasdaq	Nasdaq
Listing Date	February 21, 1973	June 1, 1972
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

TER

TXN

GSPC

Teradyne (TER) vs. Texas Instruments (TXN), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Teradyne (TER) and Texas Instruments (TXN). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Teradyne (TER) and Texas Instruments (TXN). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Total Return (1Y)	31.13%	86.19%
Total Return (3Y, Annualized)	41.60%	30.37%
Total Return (5Y, Annualized)	10.83%	12.03%

Risk Profile

Drawdown History

TER

TXN

GSPC

Teradyne (TER) vs. Texas Instruments (TXN), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Teradyne (TER) and Texas Instruments (TXN). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Volatility (1Y, Annualized)	78.35%	44.27%
Beta (5Y)	1.78	1.40
Max Drawdown (5Y)	-59.12%	-33.41%
Avg. Volume (3M)	3.01M	6.57M

Risk-Adjusted Performance

Risk-Return Positioning

TER and TXN are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Sharpe Ratio (1Y)	0.34	1.85
Sortino Ratio (1Y)	0.48	3.15

Profitability

ROE (TTM)

Both Teradyne (TER) at 42.72% and Texas Instruments (TXN) at 39.72% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

TER

Semiconductors & Semiconductor Equipment industry group

42.72%

Max: 52.82%
TER: 42.72%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

TXN

Semiconductors & Semiconductor Equipment industry group

39.72%

Max: 52.82%
TXN: 39.72%
Q3: 22.26%
Median: 10.58%
Q1: 1.29%
Min: -16.89%

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

Texas Instruments (TXN) at 34.25% retains a top-quartile share of revenue as profit, ahead of Teradyne (TER) at 27.46%, which keeps about the industry-typical share.

TER

Semiconductors & Semiconductor Equipment industry group

27.46%

Max: 63.80%
Q3: 28.36%
TER: 27.46%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

TXN

Semiconductors & Semiconductor Equipment industry group

34.25%

Max: 63.80%
TXN: 34.25%
Q3: 28.36%
Median: 11.44%
Q1: 0.90%
Min: -37.77%

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Both Teradyne (TER) at 30.87% and Texas Instruments (TXN) at 47.55% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

TER

Semiconductors & Semiconductor Equipment industry group

30.87%

Max: 58.66%
TER: 30.87%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

TXN

Semiconductors & Semiconductor Equipment industry group

47.55%

Max: 58.66%
TXN: 47.55%
Q3: 30.23%
Median: 15.91%
Q1: 7.54%
Min: -25.74%

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
ROE (TTM)	42.72%	39.72%
ROA (TTM)	21.59%	14.85%
Net Margin (TTM)	27.46%	34.25%
Operating Margin (TTM)	30.87%	47.55%
Gross Margin (TTM)	59.32%	60.24%

Growth

Revenue Growth

Both Teradyne (TER) at 13.13% and Texas Instruments (TXN) at 13.05% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Teradyne (TER) at 4.52% and Texas Instruments (TXN) at 4.81% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Revenue Growth (YoY)	13.13%	13.05%
Revenue Growth (3Y CAGR)	0.37%	-4.07%
EPS Growth (YoY)	4.52%	4.81%
EPS Growth (3Y CAGR)	-6.31%	-16.64%

Financial Strength

Current Ratio (MRQ)

Texas Instruments (TXN) at 5.60 keeps current ratio within its industry’s typical mid-range, while Teradyne (TER) at 2.08 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for TER.

TER

Semiconductors & Semiconductor Equipment industry group

2.08

Max: 10.33
Q3: 5.62
Median: 3.33
Q1: 2.35
TER: 2.08
Min: 1.03

TXN

Semiconductors & Semiconductor Equipment industry group

5.60

Max: 10.33
Q3: 5.62
TXN: 5.60
Median: 3.33
Q1: 2.35
Min: 1.03

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Teradyne (TER) at 0.04 keeps leverage in the lower quartile, while Texas Instruments (TXN) at 0.71 sits in the higher-leverage quartile.

TER

Semiconductors & Semiconductor Equipment industry group

0.04

Max: 1.46
Q3: 0.65
Median: 0.27
Q1: 0.04
TER: 0.04
Min: 0.00

TXN

Semiconductors & Semiconductor Equipment industry group

0.71

Max: 1.46
TXN: 0.71
Q3: 0.65
Median: 0.27
Q1: 0.04
Min: 0.00

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Current Ratio (MRQ)	2.08	5.60
Debt / Equity (MRQ)	0.04	0.71
Net Debt / EBITDA	-0.19	0.51

Dividends

Dividend Yield (TTM)

Teradyne (TER) at 0.24% pays an industry-typical yield; Texas Instruments (TXN) at 2.04% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.

TER

Semiconductors & Semiconductor Equipment industry group

0.24%

Max: 1.37%
Q3: 0.65%
TER: 0.24%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TXN

Semiconductors & Semiconductor Equipment industry group

2.04%

TXN: 2.04%
Max: 1.37%
Q3: 0.65%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

Teradyne (TER) at 5.86% keeps its payout in the industry’s typical band, while Texas Instruments (TXN) at 73.67% pays out more than any of its peers — the most stretched cover in its group.

TER

Semiconductors & Semiconductor Equipment industry group

5.86%

Max: 49.64%
Q3: 21.71%
TER: 5.86%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

TXN

Semiconductors & Semiconductor Equipment industry group

73.67%

TXN: 73.67%
Max: 49.64%
Q3: 21.71%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
Dividend Yield (TTM)	0.24%	2.04%
Dividend Payout Ratio (TTM)	5.86%	73.67%

Valuation

P/E Ratio (TTM)

Both Teradyne (TER) at 25.08 and Texas Instruments (TXN) at 35.97 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

TER

Semiconductors & Semiconductor Equipment industry group

25.08

Max: 110.34
Q3: 66.81
Median: 37.02
TER: 25.08
Q1: 23.96
Min: 8.12

TXN

Semiconductors & Semiconductor Equipment industry group

35.97

Max: 110.34
Q3: 66.81
Median: 37.02
TXN: 35.97
Q1: 23.96
Min: 8.12

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Teradyne (TER) at 6.81 and Texas Instruments (TXN) at 12.21 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

TER

Semiconductors & Semiconductor Equipment industry group

6.81

Max: 21.42
Q3: 12.27
TER: 6.81
Median: 5.76
Q1: 2.73
Min: 0.00

TXN

Semiconductors & Semiconductor Equipment industry group

12.21

Max: 21.42
Q3: 12.27
TXN: 12.21
Median: 5.76
Q1: 2.73
Min: 0.00

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

Both Teradyne (TER) at 9.24 and Texas Instruments (TXN) at 13.21 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.

TER

Semiconductors & Semiconductor Equipment industry group

9.24

Max: 14.06
TER: 9.24
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

TXN

Semiconductors & Semiconductor Equipment industry group

13.21

Max: 14.06
TXN: 13.21
Q3: 7.44
Median: 4.29
Q1: 2.30
Min: 0.20

Teradyne (TER) vs. Texas Instruments (TXN): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for Teradyne (TER) and Texas Instruments (TXN)
Metric	TER	TXN
P/E Ratio (TTM)	25.08	35.97
P/S Ratio (TTM)	6.81	12.21
P/B Ratio (MRQ)	9.24	13.21
Free Cash Flow Yield (TTM)	1.76%	1.88%