Mexican Slang; the opposite of being cool or having swag.
The closest feeling to this word in english would be "loser", but is not exactly the same meaning, Teto, or Teta for girls, talks more about being a loser for your lack of style only. A Teto is a person that gets exited, too cheery or laughs over stupid thing.
The origin of the word comes from "teta" wich is the female breast. So my guess is that at its beginings the word was like calling someone a sucker.
-I really like Milesh Shyrush
-Wey que pinche teto eres
-Let's go to the beach
-Uh, let's go to the beach, each. Let's go get away. They say, what they gonna say?...
-Ya callate teto