In normal use, the shortened name 'Ted' can abbreviate either 'Edward' or 'Theodore'. 'Edward' comes from Old English, while 'Theodore' comes from Greek, so of the two 'Edward' is by far the more likely as a Hobbit-name. Of course, it is entirely possible that 'Ted' here stands for some other name unique to the Hobbits (in the same way that 'Sam' is short for 'Samwise' rather than 'Samuel') but, if so, we're offered no clues as to what that name might be.
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