WallStSmart

IPG Photonics Corporation (IPGP)vsTeradyne Inc (TER)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Teradyne Inc generates 317% more annual revenue ($4.46B vs $1.07B). TER leads profitability with a 25.8% profit margin vs 2.6%. TER appears more attractively valued with a PEG of 0.68. TER earns a higher WallStSmart Score of 79/100 (B+).

IPGP

Hold

47

out of 100

Grade: D+

Growth: 3.3Profit: 4.5Value: 3.3Quality: 9.0
Piotroski: 4/9Altman Z: 6.90

TER

Strong Buy

79

out of 100

Grade: B+

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IPGPOvervalued (-12.7%)

Margin of Safety

-12.7%

Fair Value

$98.45

Current Price

$78.20

$20.25 premium

UndervaluedFair: $98.45Overvalued

Intrinsic value data unavailable for TER.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IPGP3 strengths · Avg: 9.3/10
Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.9010/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

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

IPGP4 concerns · Avg: 3.0/10
PEG RatioValuation
1.834/10

Expensive relative to growth rate

Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

P/E RatioValuation
117.8x2/10

Premium valuation, high expectations priced in

TER2 concerns · Avg: 3.0/10
Price/BookValuation
19.9x4/10

Trading at 19.9x book value

P/E RatioValuation
50.8x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : IPGP

The strongest argument for IPGP centers on Debt/Equity, Altman Z-Score, Price/Book. Revenue growth of 11.1% demonstrates continued momentum.

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 : IPGP

The primary concerns for IPGP are PEG Ratio, Return on Equity, Profit Margin. A P/E of 117.8x leaves little room for execution misses. Thin 2.6% margins leave little buffer for downturns.

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

IPGP profiles as a value stock while TER is a growth play — different risk/reward profiles.

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.

Bottom Line

TER scores higher overall (79/100 vs 47/100), backed by strong 25.8% margins and 103.9% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

IPG Photonics Corporation

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

IPG Photonics is a manufacturer of fiber lasers.

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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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