WallStSmart

IPG Photonics Corporation (IPGP)vsTeradyne Inc (TER)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Teradyne Inc generates 264% more annual revenue ($3.79B vs $1.04B). TER leads profitability with a 22.6% profit margin vs 2.8%. TER appears more attractively valued with a PEG of 1.71. TER earns a higher WallStSmart Score of 75/100 (B+).

IPGP

Hold

41

out of 100

Grade: D

Growth: 4.0Profit: 4.0Value: 3.3Quality: 9.0
Piotroski: 4/9Altman Z: 6.90

TER

Strong Buy

75

out of 100

Grade: B+

Growth: 8.0Profit: 9.5Value: 3.7Quality: 8.0
Piotroski: 4/9Altman Z: 2.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IPGPOvervalued (-14.8%)

Margin of Safety

-14.8%

Fair Value

$96.60

Current Price

$118.00

$21.40 premium

UndervaluedFair: $96.60Overvalued

Intrinsic value data unavailable for TER.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IPGP4 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.9010/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.6%8/10

16.6% revenue growth

TER6 strengths · Avg: 9.7/10
Operating MarginProfitability
37.6%10/10

Strong operational efficiency at 37.6%

Revenue GrowthGrowth
87.0%10/10

Revenue surging 87.0% year-over-year

EPS GrowthGrowth
314.8%10/10

Earnings expanding 314.8% YoY

Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Market CapQuality
$67.69B9/10

Large-cap with strong market position

Return on EquityProfitability
27.2%9/10

Every $100 of equity generates 27 in profit

Areas to Watch

IPGP4 concerns · Avg: 3.3/10
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
2.8%3/10

2.8% margin — thin

Operating MarginProfitability
2.1%3/10

Operating margin of 2.1%

TER3 concerns · Avg: 2.7/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
79.9x2/10

Premium valuation, high expectations priced in

Price/BookValuation
22.7x2/10

Trading at 22.7x book value

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 16.6% demonstrates continued momentum.

Bull Case : TER

The strongest argument for TER centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 22.6% and operating margin at 37.6%. Revenue growth of 87.0% demonstrates continued momentum.

Bear Case : IPGP

The primary concerns for IPGP are PEG Ratio, Return on Equity, Profit Margin. A P/E of 168.6x leaves little room for execution misses. Thin 2.8% margins leave little buffer for downturns.

Bear Case : TER

The primary concerns for TER are PEG Ratio, P/E Ratio, Price/Book. A P/E of 79.9x leaves little room for execution misses.

Key Dynamics to Monitor

TER carries more volatility with a beta of 1.79 — expect wider price swings.

TER is growing revenue faster at 87.0% — sustainability is the question.

TER generates stronger free cash flow (200M), providing more financial flexibility.

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

Bottom Line

TER scores higher overall (75/100 vs 41/100), backed by strong 22.6% margins and 87.0% 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.

Visit Website →

Teradyne Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

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

Visit Website →

Want to dig deeper into these stocks?