
Teradata (TDC) Stock Forecast & Price Target
Teradata (TDC) Analyst Ratings
Bulls say
Teradata Corp has demonstrated positive financial performance with total annual recurring revenue (ARR) reaching $1.522 billion, reflecting a 3% year-over-year increase, surpassing both consensus and prior estimates. The company reported a notable non-GAAP earnings per share (EPS) of $0.74 against expectations of $0.56, along with revenue growth of 3% year-over-year, driven by an expanding customer base and increased engagement in AI workloads. Additionally, Teradata's achievement of $151 million in free cash flow indicates a robust free cash flow margin of 36%, reinforcing the company's financial stability and growth potential.
Bears say
Teradata Corp reported total revenue of $421 million for the latest quarter, reflecting a modest year-over-year increase of 3%, yet significant concerns about future growth exist as the company anticipates a decline in annual recurring revenue (ARR) in the first quarter, with stabilization and expansion expected mainly in the second half of the year. Management acknowledged a shift in customer spending behavior, with expectations of limited growth in cloud and total ARR in the near term, relying on workload expansion for future gains. Furthermore, the drastic decline of 67% year-over-year in perpetual software licenses and hardware revenue, alongside an overall less attractive growth profile, underscores the potential for a lower valuation multiple and negative outlook for the stock.
This aggregate rating is based on analysts' research of Teradata and is not a guaranteed prediction by Public.com or investment advice.
Teradata (TDC) Analyst Forecast & Price Prediction
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