The output of Terfenol-D is nonlinear and hysteretic under the effect of magnetic field and prestress. The nonlinear constitutive relation between magnetostriction and magnetization with magneto-stress coupling was built in consideration of the magnetostriction saturation and the prestress correlation. Then, the hysteresis behavior of Terfenol-D was modeled based on the Jiles-Atherton model. The error of magnetostriction between simulations and experimental data is less than 6%. This result indicates that the model can adequately predict the nonlinear hysteresis and magneto-stress coupling character of Terfenol-D.