WallStSmart

Teradyne Inc (TER)vsTradeweb Markets Inc (TW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Teradyne Inc generates 56% more annual revenue ($3.19B vs $2.05B). TW leads profitability with a 39.6% profit margin vs 17.4%. TER appears more attractively valued with a PEG of 1.61. TER earns a higher WallStSmart Score of 70/100 (B).

TER

Strong Buy

70

out of 100

Grade: B

Growth: 10.0Profit: 8.5Value: 4.7Quality: 6.8
Piotroski: 4/9

TW

Strong Buy

67

out of 100

Grade: B-

Growth: 8.0Profit: 8.5Value: 7.3Quality: 7.8
Piotroski: 5/9Altman Z: 5.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

TERSignificantly Overvalued (-105.7%)

Margin of Safety

-105.7%

Fair Value

$156.31

Current Price

$320.14

$163.83 premium

UndervaluedFair: $156.31Overvalued
TWUndervalued (+34.8%)

Margin of Safety

+34.8%

Fair Value

$176.44

Current Price

$123.33

$53.11 discount

UndervaluedFair: $176.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TER4 strengths · Avg: 9.8/10
Operating MarginProfitability
30.3%10/10

Strong operational efficiency at 30.3%

Revenue GrowthGrowth
43.9%10/10

Revenue surging 43.9% year-over-year

EPS GrowthGrowth
81.4%10/10

Earnings expanding 81.4% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

TW4 strengths · Avg: 10.0/10
Profit MarginProfitability
39.6%10/10

Keeps 40 of every $100 in revenue as profit

Operating MarginProfitability
42.4%10/10

Strong operational efficiency at 42.4%

EPS GrowthGrowth
128.8%10/10

Earnings expanding 128.8% YoY

Altman Z-ScoreHealth
5.6410/10

Safe zone — low bankruptcy risk

Areas to Watch

TER3 concerns · Avg: 3.3/10
PEG RatioValuation
1.614/10

Expensive relative to growth rate

Price/BookValuation
17.9x4/10

Trading at 17.9x book value

P/E RatioValuation
87.1x2/10

Premium valuation, high expectations priced in

TW2 concerns · Avg: 3.0/10
P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
2.972/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : TER

The strongest argument for TER centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 17.4% and operating margin at 30.3%. Revenue growth of 43.9% demonstrates continued momentum.

Bull Case : TW

The strongest argument for TW centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.6% and operating margin at 42.4%. Revenue growth of 12.5% demonstrates continued momentum.

Bear Case : TER

The primary concerns for TER are PEG Ratio, Price/Book, P/E Ratio. A P/E of 87.1x leaves little room for execution misses.

Bear Case : TW

The primary concerns for TW are P/E Ratio, PEG Ratio.

Key Dynamics to Monitor

TER profiles as a growth stock while TW is a mature play — different risk/reward profiles.

TER carries more volatility with a beta of 1.80 — expect wider price swings.

TER is growing revenue faster at 43.9% — sustainability is the question.

TW generates stronger free cash flow (337M), providing more financial flexibility.

Bottom Line

TER scores higher overall (70/100 vs 67/100), backed by strong 17.4% margins and 43.9% revenue growth. TW offers better value entry with a 34.8% margin of safety. Both earn "Strong Buy" and "Strong 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.

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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Tradeweb Markets Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Tradeweb Markets Inc. creates and operates electronic marketplaces in the Americas, Europe, the Middle East, Africa, Asia Pacific and internationally.

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