Teradyne Expands Memory Test Portfolio: Can It Beat KLAC & COHU?

TER posted record memory test revenue of $212M in Q2 2026, its third straight quarter above $200M. The company attributes the strength to demand for HBM, DRAM, and NAND testing.

TER also launched Magnum E2, a next-generation memory test system supporting LPDDR6, DDR6, GDDR7, and NAND interfaces. Management expects the 2026 memory test total addressable market to grow more than 40% versus 2025. Interpretation: the product launch positions TER to capture a share of that expansion, with the new interface support aimed squarely at the next wave of memory standards.

The bull case has a counterweight. TER trades at a premium valuation, and the memory test space carries competition from KLAC and COHU. A premium multiple leaves less room for execution missteps, and the market will likely demand that the 40% TAM growth shows up in TER's reported numbers rather than just management guidance.

Three consecutive quarters above $200M suggests the revenue run rate is established rather than a one-off spike. Whether Magnum E2 lifts that baseline is the open question, and it is the variable that could justify the valuation premium over KLAC and COHU.