Teradyne stock gains as robotics reaches profitability

Teradyne reported a sharp acceleration in third-quarter business on October 27, 2026, as demand linked to artificial intelligence lifted semiconductor testing and robotics. The company said revenue reached USD 1.306 billion, up 70 percent from the year-earlier quarter and above the high end of its guidance. Teradyne's stock traded at EUR 250.70 on Lang & Schwarz at 12:55 CET on Monday, November 2, 2026.

The company's third-quarter results release showed Semiconductor Test contributing USD 1.072 billion, Product Test USD 138 million and Robotics USD 96 million. Revenue in the latest quarter compared with USD 769 million a year earlier and USD 1.329 billion in the second quarter.

Testing Leads The AI Expansion

Teradyne said record revenue in Memory and Integrated Systems Test was driven by AI-related demand. Chief Executive Greg Smith said demand extended across the AI value chain, from memory and hard disk drive testing to high-speed interconnects and robotics.

GAAP net income attributable to Teradyne rose to USD 342.4 million, or USD 2.17 per diluted share, from USD 119.6 million, or USD 0.75 per share, in the third quarter of 2025. On a non-GAAP basis, net income was USD 359.9 million, or USD 2.29 per diluted share, compared with USD 135.9 million, or USD 0.85 per share, a year earlier.

The adjusted figures exclude acquired intangible asset amortization, restructuring and other charges, ERP-related expenses and related tax effects. Investors should therefore distinguish the reported GAAP earnings from management's non-GAAP view of underlying performance.

Robotics Reaches A Turning Point

Robotics delivered its highest third-quarter revenue to date and achieved profitability, marking an important operational milestone after restructuring in the prior year. The segment's USD 96 million in revenue was up 28 percent year over year, according to management's earnings-call commentary.

The result broadens Teradyne's growth profile beyond semiconductor testing. A sustained contribution from robotics could make earnings less dependent on any single semiconductor end market, although the company remains exposed to customer spending cycles, product launches and the pace of AI infrastructure investment.

Fourth-Quarter Range Sets The Next Test

For the fourth quarter, Teradyne guided to revenue of USD 1.25 billion to USD 1.35 billion. The company expects GAAP diluted earnings per share of USD 1.88 to USD 2.18 and non-GAAP diluted earnings per share of USD 1.95 to USD 2.25. Management said the non-GAAP outlook excludes acquired intangible asset amortization, amortization on its Technoprobe investment and related tax effects.

Smith described the business entering 2027 as more diversified, with multiple growth engines across test and robotics. That outlook leaves the next quarterly report focused on whether AI-driven demand remains broad enough to support the current revenue scale while robotics maintains its improved profitability.

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More news and analyses on Teradyne stock will track the company's execution against its fourth-quarter outlook and its 2027 growth ambitions.