Teradyne sales declines less than expected, margin outperform, says Loop Capital

Loop Capital analyst Scott Graham keeps a Buy rating and $110 price target on Teradyne after its Q4 earnings beat. The company’s sales declines in Semiconductor Test and Industrial Automation were less than we expected and margins exceeded expectations, but Q1 guidance was disappointing as the management cited a step down in demand through the first half of the year, the analyst tells investors in a research note. The outlook is specifically attributable to weaker global Smartphone and PC demand in SOC Test, along with deep capex reductions by memory companies impacting Memory Test, the firm adds.