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COHU vs TER
Which Stock Would AI Choose? Cohu, Inc. (COHU) vs. Teradyne, Inc. (TER) Stock Comparison
Key Takeaways
- COHU (Cohu, Inc.) and TER (Teradyne, Inc.) both sell semiconductor test equipment, yet operate at sharply different scales and profit levels.
- TER is riding record, AI-driven demand with roughly 60–70% of revenue tied to AI, strong margins, and substantial free cash flow (cash left after operating and capital expenses).
- COHU is earlier in its recovery, returning to profitability on surging orders but with thinner margins and a richer valuation relative to its own history.
- Tickeron AI Verdict: Based on trend consistency, profitability, and relative positioning, the AI framework currently favors TER over COHU.
- For more detail, explore COHU Major News and COHU Today's Price Move, as well as TER Major News and TER Today's Price Move.
- Discover the top-performing automated strategies currently available in the Trending AI Robots section.
Introduction
Semiconductor test and inspection sits at a critical intersection of the artificial intelligence (AI) build-out. As chips grow more complex, manufacturers must verify more devices, pushing "test intensity" higher across the industry. COHU and TER are two publicly traded suppliers to this market, but they are not mirror images: one is a large, profitable automated test equipment (ATE) leader, while the other is a smaller, cyclical specialist rebuilding its earnings base. This stock comparison is relevant for investors weighing a diversified, AI-driven scale play against a higher-beta recovery story, and for traders tracking relative performance within the semiconductor equipment sector.
COHU Overview and Recent Performance
Cohu, Inc. (COHU) supplies semiconductor test handlers, inspection and metrology products, and software analytics that help chipmakers monitor equipment health and yields. Recent market activity has focused on Cohu's expansion into high-performance computing (HPC), AI data-center infrastructure, and high-bandwidth memory (HBM), a specialized fast memory used in AI servers.
In recent weeks, Cohu's operating momentum has improved markedly. Quarterly revenue rose roughly 37% year over year, and the company returned to net profitability after a stretch of losses. Management has raised its full-year revenue outlook and pointed to sharply higher bookings, led by HPC systems and recurring demand. Cohu also carries a strong balance sheet, with hundreds of millions of dollars in cash and investments providing flexibility to fund research and development.
However, sentiment has been tempered by valuation and execution concerns. After a large rally, Cohu trades at a premium to its own historical sales multiple, and earnings per share (EPS) remains modest even as revenue recovers. Analysts note that the company's AI ambitions still depend on a relatively concentrated set of large programs, leaving the stock sensitive to order timing and qualification milestones.
TER Overview and Recent Performance
Teradyne, Inc. (TER) is a far larger ATE and robotics company, spanning semiconductor test, system-level test, and collaborative robots through its Universal Robots and MiR businesses. In recent quarters, AI has become the dominant demand driver, with AI-related revenue accounting for roughly 60–70% of sales as the company executes a "wafer-to-data-center" strategy.
Teradyne's recent performance has been characterized by record revenue growth, up about 70% year over year in its latest quarter, with semiconductor test revenue exceeding $1 billion in a single quarter for the first time. Gross margins have hovered near 60%, and the company has generated substantial free cash flow while returning capital through dividends and buybacks. Memory testing, driven by HBM and DRAM, and a recovering robotics segment have added breadth beyond compute.
Even so, sentiment has cooled in recent weeks. The stock pulled back after strong results, as investors weighed sequentially softer margins, higher inventory, and a more back-half-weighted 2027 outlook tied to the timing of large hyperscaler (large cloud-computing customer) ramps. Longer-term, the company has maintained an ambitious revenue and margin target model, but near-term profit trends have moderated.
Trending AI Robots
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Head-to-Head Comparison
The clearest contrast between these two stocks is scale and profitability. TER generates quarterly revenue in the billions with gross margins near 60% and positive free cash flow, while COHU generates quarterly revenue in the hundreds of millions with gross margins in the mid-40% range and only recently returned to profitability.
Their growth drivers also differ. Teradyne's demand is broad and deeply tied to AI compute, memory, and a diversified robotics business, giving it multiple catalysts. Cohu's growth is more concentrated around HPC handler adoption and inspection opportunities, which offer meaningful upside but carry higher program-specific risk. In terms of momentum, Cohu has delivered a sharper percentage rally over the past year, while Teradyne has produced larger absolute gains and steadier underlying fundamentals despite a recent pullback.
Risk profiles diverge as well. Cohu's richer valuation leaves less room for execution error, whereas Teradyne faces concentration and cyclicality risks from hyperscaler ordering patterns and rising inventory. On market sentiment, both stocks benefit from the AI tailwind, but Teradyne's diversified revenue base and proven cash generation provide a more stable foundation, while Cohu remains a higher-beta, more speculative recovery narrative.
Tickeron AI Verdict
On a probabilistic basis, Tickeron's AI framework would currently favor TER over COHU. Teradyne's combination of record revenue, high margins, broad AI exposure, and strong free cash flow reflects greater trend consistency and financial stability. Cohu's improving orders and return to profitability are positive signals, but its thinner margins, concentrated program risk, and elevated valuation introduce more variability. While both stocks remain leveraged to a durable AI-driven test cycle, Teradyne's diversified catalysts and more established earnings power give it the stronger relative positioning in the current market environment.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is COHU is a StrongBuy and TER is a Hold.
COHU in upward trend: price may ascend as a result of having broken its lower Bollinger Band on November 04, 2026
COHU may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In 30 of 33 cases where COHU's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are 90%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where COHU's RSI Oscillator exited the oversold zone, 21 of 24 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 88%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 44 of 59 cases where COHU's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 75%.
Following a +5.93% 3-day Advance, the price is estimated to grow further. Considering data from situations where COHU advanced for three days, in 240 of 320 cases, the price rose further within the following month. The odds of a continued upward trend are 75%.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 12, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on COHU as a result. In 75 of 94 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 80%.
The Moving Average Convergence Divergence Histogram (MACD) for COHU turned negative on October 12, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 54 similar instances when the indicator turned negative. In 46 of the 54 cases the stock turned lower in the days that followed. This puts the odds of success at 85%.
COHU moved below its 50-day moving average on October 15, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for COHU crossed bearishly below the 50-day moving average on October 22, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 13 of 18 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 72%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where COHU declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 70%.
The Aroon Indicator for COHU entered a downward trend on November 11, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 10 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.352) is normal, around the industry mean (5.670). P/E Ratio (-46.373) is within average values for comparable stocks, (68.795). COHU's Projected Growth (PEG Ratio) (0.040) is slightly lower than the industry average of (0.801). Dividend Yield (0.006) settles around the average of (0.009) among similar stocks. P/S Ratio (4.589) is also within normal values, averaging (27.897).
The Tickeron PE Growth Rating for this company is 17 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 63 (best 1 - 100 worst), indicating steady price growth. COHU’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 73 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. COHU’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock better than average.
The Tickeron SMR rating for this company is 92 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
TER in downward trend: 10-day moving average crossed below 50-day moving average on October 19, 2026
The 10-day moving average for TER crossed bearishly below the 50-day moving average on October 19, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 11 of 13 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 85%.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 12, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on TER as a result. In 63 of 89 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 71%.
The Moving Average Convergence Divergence Histogram (MACD) for TER turned negative on October 12, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 49 similar instances when the indicator turned negative. In 37 of the 49 cases the stock turned lower in the days that followed. This puts the odds of success at 76%.
TER moved below its 50-day moving average on October 13, 2026 date and that indicates a change from an upward trend to a downward trend.
The 50-day moving average for TER moved below the 200-day moving average on November 09, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TER declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 67%.
The Aroon Indicator for TER entered a downward trend on November 11, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where TER's RSI Oscillator exited the oversold zone, 19 of 24 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 79%.
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 43 of 54 cases where TER's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 80%.
Following a +15.63% 3-day Advance, the price is estimated to grow further. Considering data from situations where TER advanced for three days, in 253 of 315 cases, the price rose further within the following month. The odds of a continued upward trend are 80%.
TER may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 28 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 63 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 65 (best 1 - 100 worst), indicating steady price growth. TER’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 73 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.926) is normal, around the industry mean (5.670). P/E Ratio (29.811) is within average values for comparable stocks, (68.795). Projected Growth (PEG Ratio) (0.734) is also within normal values, averaging (0.801). Dividend Yield (0.002) settles around the average of (0.009) among similar stocks. P/S Ratio (12.077) is also within normal values, averaging (27.897).
The Tickeron Seasonality Score of 85 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is 92 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
COHU | TER | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 17 | 64 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 10 Undervalued | 73 Overvalued | |
PROFIT vs RISK RATING 1..100 | 73 | 63 | |
SMR RATING 1..100 | 92 | 28 | |
PRICE GROWTH RATING 1..100 | 63 | 65 | |
P/E GROWTH RATING 1..100 | 17 | 92 | |
SEASONALITY SCORE 1..100 | 50 | 85 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
COHU's Valuation (10) in the Electronic Production Equipment industry is somewhat better than the same rating for TER (73). This means that COHU’s stock grew somewhat faster than TER’s over the last 12 months.
TER's Profit vs Risk Rating (63) in the Electronic Production Equipment industry is in the same range as COHU (73). This means that TER’s stock grew similarly to COHU’s over the last 12 months.
TER's SMR Rating (28) in the Electronic Production Equipment industry is somewhat better than the same rating for COHU (92). This means that TER’s stock grew somewhat faster than COHU’s over the last 12 months.
COHU's Price Growth Rating (63) in the Electronic Production Equipment industry is in the same range as TER (65). This means that COHU’s stock grew similarly to TER’s over the last 12 months.
COHU's P/E Growth Rating (17) in the Electronic Production Equipment industry is significantly better than the same rating for TER (92). This means that COHU’s stock grew significantly faster than TER’s over the last 12 months.
| COHU | TER | |
|---|---|---|
| RSI ODDS (%) | 2 days ago 88% | 2 days ago 79% |
| Stochastic ODDS (%) | 2 days ago 75% | 2 days ago 80% |
| Momentum ODDS (%) | 2 days ago 80% | 2 days ago 71% |
| MACD ODDS (%) | 2 days ago 85% | 2 days ago 76% |
| TrendWeek ODDS (%) | 2 days ago 76% | 2 days ago 80% |
| TrendMonth ODDS (%) | 2 days ago 70% | 2 days ago 72% |
| Advances ODDS (%) | 2 days ago 75% | 4 days ago 80% |
| Declines ODDS (%) | 8 days ago 70% | 8 days ago 67% |
| BollingerBands ODDS (%) | 2 days ago 90% | 2 days ago 73% |
| Aroon ODDS (%) | 2 days ago 73% | 2 days ago 64% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
COHU’s FA Score shows that 2 FA rating(s) are green while TER’s FA Score has 1 green FA rating(s).
- COHU’s FA Score: 2 green, 3 red.
- TER’s FA Score: 1 green, 4 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
COHU’s TA Score shows that 4 TA indicator(s) are bullish while TER’s TA Score has 4 bullish TA indicator(s).
- COHU’s TA Score: 4 bullish, 6 bearish.
- TER’s TA Score: 4 bullish, 7 bearish.
Price Growth
COHU (@Electronic Production Equipment) experienced а +4.54% price change this week, while TER (@Electronic Production Equipment) price change was +5.89% for the same time period.
The average weekly price growth across all stocks in the @Electronic Production Equipment industry was +6.88%. For the same industry, the average monthly price growth was -17.35%, and the average quarterly price growth was -31.42%.
Reported Earning Dates
COHU is expected to report earnings on Feb 18, 2027.
TER is expected to report earnings on Jan 27, 2027.
Industries' Descriptions
@Electronic Production Equipment (+6.88% weekly)The electronic production equipment industry makes equipment used to produce semiconductors. Such equipment includes wafer fabrication, plasma etching and photo-resist processing equipment. The industry also makes chemical vapor deposition processing systems and photomasks, which are high-purity quartz plates that contain patterns to define integrated circuits layouts. Applied Materials, Inc., Lam Research Corporation, and KLA-Tencor Corporation are examples of electronic production equipment manufacturing companies.
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COHU and
Correlation & Price change
A.I.dvisor indicates that over the last year, COHU has been closely correlated with ONTO. These tickers have moved in lockstep 83% of the time. This A.I.-generated data suggests there is a high statistical probability that if COHU jumps, then ONTO could also see price increases.
| Ticker / NAME | Correlation To COHU | 1D Price Change % | ||
|---|---|---|---|---|
| COHU | 100% | +5.52% | ||
| ONTO - COHU | 83% Closely correlated | +8.89% | ||
| FORM - COHU | 81% Closely correlated | +11.85% | ||
| LRCX - COHU | 81% Closely correlated | +6.07% | ||
| ENTG - COHU | 80% Closely correlated | +11.29% | ||
| AMKR - COHU | 80% Closely correlated | +10.53% | ||
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TER and
Correlation & Price change
A.I.dvisor indicates that over the last year, TER has been closely correlated with LRCX. These tickers have moved in lockstep 81% of the time. This A.I.-generated data suggests there is a high statistical probability that if TER jumps, then LRCX could also see price increases.
| Ticker / NAME | Correlation To TER | 1D Price Change % | ||
|---|---|---|---|---|
| TER | 100% | +8.30% | ||
| LRCX - TER | 81% Closely correlated | +6.07% | ||
| COHU - TER | 77% Closely correlated | +5.52% | ||
| ONTO - TER | 77% Closely correlated | +8.89% | ||
| FORM - TER | 77% Closely correlated | +11.85% | ||
| AMAT - TER | 76% Closely correlated | +6.05% | ||
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