Teradata Reports Quarterly Earnings Results, Falls Short of Expectations

Teradata (NYSE:TDC) announced its quarterly earnings results on Tuesday. For the reported quarter, the technology firm achieved an earnings per share (EPS) of $0.30. This figure was below analysts' consensus estimate of $0.44, meaning the company missed expectations by $0.14, according to Zacks reports. Despite this shortfall, Teradata reported a substantial return on equity of 145.40% and a net margin of 4.56%.

In light of its earnings report, Teradata has revised its guidance for fiscal year 2025. The company now expects an EPS range of $2.150 to $2.250 and has set its Q1 2025 guidance between $0.550 and $0.590.

Teradata Stock Performance

During trading on Tuesday, Teradata's stock price dropped by $0.07, ending the day at $30.86. The total volume of shares traded reached approximately 1,150,124, surpassing the company's average trading volume of 800,368. Teradata's financial metrics include a debt-to-equity ratio of 4.01, a quick ratio of 0.79, and a current ratio of 0.80. Over the past year, the stock has fluctuated between a low of $24.02 and a high of $49.44. The company's market capitalization stands at $2.95 billion. Its P/E ratio is 36.74, with a PEG ratio of 3.19 and a beta value of 0.78. The stock's 50-day and 200-day moving averages are currently $31.69 and $30.36, respectively.

Changes in Analyst Ratings

Several analysts have revised their ratings for Teradata. Evercore ISI raised its price target for Teradata shares from $34.00 to $37.00, labeling the stock as "outperform" in a report dated October 15th. Barclays also adjusted their price target from $29.00 to $30.00, maintaining an "underweight" rating as of December 6th. Similarly, the Royal Bank of Canada reasserted a "sector perform" rating with a price target of $32.00 on November 5th. In another report on the same day, UBS Group increased its price target from $24.00 to $26.00, labeling it as a "sell". Northland Securities also reduced their price target from $38.00 to $37.00 while retaining an "outperform" rating. Overall, the stock has garnered mixed reactions, with three analysts recommending a sell, four suggesting a hold, and four advising a buy. According to MarketBeat, Teradata has a consensus rating of "Hold" and a target price estimate of $40.00.

Company Overview

Teradata Corporation, along with its subsidiaries, specializes in providing a connected multi-cloud data platform dedicated to enterprise analytics. The company's flagship product, Teradata Vantage, is an open platform designed to utilize data across various enterprises. Additionally, Teradata offers business consulting services aimed at helping organizations develop a data and analytic vision, establish a multi-cloud ecosystem, and operationalize analytical opportunities, all while ensuring that the analytical infrastructure provides value.

Teradata, Earnings, analysts