WallStSmart

FormFactor Inc (FORM)vsTeradyne Inc (TER)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Teradyne Inc generates 395% more annual revenue ($4.46B vs $902.23M). TER leads profitability with a 25.8% profit margin vs 12.8%. TER appears more attractively valued with a PEG of 0.68. TER earns a higher WallStSmart Score of 79/100 (B+).

FORM

Buy

65

out of 100

Grade: C+

Growth: 8.0Profit: 6.0Value: 4.3Quality: 8.5
Piotroski: 3/9Altman Z: 4.74

TER

Strong Buy

79

out of 100

Grade: B+

Growth: 8.0Profit: 10.0Value: 5.0Quality: 8.0
Piotroski: 4/9Altman Z: 2.98

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FORM5 strengths · Avg: 9.6/10
Revenue GrowthGrowth
31.9%10/10

Revenue surging 31.9% year-over-year

EPS GrowthGrowth
503.0%10/10

Earnings expanding 503.0% YoY

Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7410/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
24.1%8/10

Strong operational efficiency at 24.1%

TER6 strengths · Avg: 9.8/10
Return on EquityProfitability
33.5%10/10

Every $100 of equity generates 33 in profit

Operating MarginProfitability
33.2%10/10

Strong operational efficiency at 33.2%

Revenue GrowthGrowth
103.9%10/10

Revenue surging 103.9% year-over-year

EPS GrowthGrowth
385.8%10/10

Earnings expanding 385.8% YoY

Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Market CapQuality
$59.37B9/10

Large-cap with strong market position

Areas to Watch

FORM4 concerns · Avg: 3.0/10
Price/BookValuation
8.1x4/10

Trading at 8.1x book value

Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
75.6x2/10

Premium valuation, high expectations priced in

TER2 concerns · Avg: 3.0/10
Price/BookValuation
18.9x4/10

Trading at 18.9x book value

P/E RatioValuation
50.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : FORM

The strongest argument for FORM centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 31.9% demonstrates continued momentum. PEG of 1.39 suggests the stock is reasonably priced for its growth.

Bull Case : TER

The strongest argument for TER centers on Return on Equity, Operating Margin, Revenue Growth. Profitability is solid with margins at 25.8% and operating margin at 33.2%. Revenue growth of 103.9% demonstrates continued momentum.

Bear Case : FORM

The primary concerns for FORM are Price/Book, Return on Equity, Piotroski F-Score. A P/E of 75.6x leaves little room for execution misses.

Bear Case : TER

The primary concerns for TER are Price/Book, P/E Ratio. A P/E of 50.8x leaves little room for execution misses.

Key Dynamics to Monitor

TER carries more volatility with a beta of 1.78 — expect wider price swings.

TER is growing revenue faster at 103.9% — sustainability is the question.

TER generates stronger free cash flow (378M), providing more financial flexibility.

Monitor SEMICONDUCTOR EQUIPMENT & MATERIALS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TER scores higher overall (79/100 vs 65/100), backed by strong 25.8% margins and 103.9% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

FormFactor Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

FormFactor, Inc. designs, manufactures, and sells probe cards, analytical probes, probe stations, metrology systems, thermal systems, and cryogenic systems to semiconductor companies and scientific institutions. The company is headquartered in Livermore, California.

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Teradyne Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.

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