Teradyne, Inc. is a global supplier of automated test equipment and robotics solutions. Co. designs, develops, manufactures and sells automated test systems and robotics products. Co. operates through four segments: Semiconductor Test, System Test, Wireless Test and Robotics. The Semiconductor Test segment includes operations related to the design, manufacturing and marketing of semiconductor test products and services. The System Test segment includes operations related to the design, manufacturing and marketing of products and services for storage and system level test, defense/aerospace instrumentation test, and circuit-board test.
When researching a stock like Teradyne, many investors are the most familiar with Fundamental Analysis — looking at a company's balance sheet, earnings, revenues, and what's happening in that company's underlying business. Investors who use Fundamental Analysis to identify good stocks to buy or sell can also benefit from TER Technical Analysis to help find a good entry or exit point. Technical Analysis is blind to the fundamentals and looks only at the trading data for TER stock — the real life supply and demand for the stock over time — and examines that data in different ways. One of those ways is to calculate a Simpe Moving Average ("SMA") by looking back a certain number of days. One of the most popular "longer look-backs" is the TER 200 day moving average ("TER 200 DMA"), while one of the most popular "shorter look-backs" is the TER 50 day moving average ("TER 50 DMA"). A chart showing both of these popular moving averages is shown on this page for Teradyne. Comparing two moving averages against each other can be a useful visualization tool: by calculating the difference between the TER 200 DMA and the TER 50 DMA, we get a moving average convergence divergence indicator ("TER MACD"). The TER MACD chart, in conjunction with the chart of the moving averages, basically helps in visualizing how the moving averages are showing convergence (moving closer together), or divergence (moving farther apart). |