BofA ‘lukewarm’ on smartphones, downgrades Teradyne to Underperform

As previously reported, BofA downgraded Teradyne to Underperform from Neutral with an unchanged price target of $100. The firm, which notes that the stock is now trading at a price close to the firm’s target, remains “lukewarm on smartphones,” which is a key driver of Teradyne’s recovery, versus the data center, where it sees rival Advantest as better positioned, the analyst tells investors. The firm’s calendar 2024-25 pro forma EPS estimates are 8% and 22%, respectively, below the Street view, the analyst noted.