Teradata Releases Quarterly Earnings Miss, Adjusts Future Guidance

Teradata (NYSE:TDC) reported its quarterly earnings results on Tuesday. The technology company revealed earnings per share (EPS) of $0.30 for the quarter. This figure fell short of analysts' expectations, who had anticipated an EPS of $0.44, resulting in a miss of $0.14. In terms of performance metrics, Teradata exhibited a return on equity of 145.40% and a net margin of 4.56%. Additionally, the company updated its guidance for fiscal year 2025 to a projected EPS range of $2.150 to $2.250, while providing a forecast for Q1 2025 with an expected EPS between $0.550 and $0.590.

Notable Stock Performance

During trading on Tuesday, Teradata shares decreased by $0.07 to a closing price of $30.86. The trading volume was notable, with 1,150,124 shares exchanged compared to the average volume of 800,368. Currently, Teradata holds a debt-to-equity ratio of 4.01, alongside a quick ratio of 0.79 and a current ratio of 0.80. Over the past year, the stock has fluctuated with a low of $24.02 and a high of $49.44. Market capitalization stands at approximately $2.95 billion. Other financial metrics include a price-to-earnings (P/E) ratio of 36.74, a price/earnings growth (PEG) ratio of 3.19, and a beta of 0.78. The company’s 50-day moving average price is $31.69, while its 200-day moving average is $30.36.

Analyst Ratings Update

Several analysts have recently evaluated Teradata’s stock. Evercore ISI raised their price target for Teradata from $34.00 to $37.00, while assigning an "outperform" rating. Barclays increased their price objective from $29.00 to $30.00 but retained an "underweight" rating. Royal Bank of Canada maintained a "sector perform" rating with a price target of $32.00. Similarly, UBS Group raised their target from $24.00 to $26.00 and rated it as a "sell". Northland Securities cut their price target from $38.00 to $37.00 while maintaining an "outperform" rating. In conclusion, the consensus includes three sell ratings, four hold ratings, four buy ratings, and one strong buy. Meanwhile, the average analyst opinion classifies Teradata with a "Hold" rating and a consensus price target of $40.00.

Teradata Company Overview

Teradata Corporation, alongside its subsidiaries, specializes in providing a connected multi-cloud data platform aimed at enterprise analytics. Their flagship offering, Teradata Vantage, is designed to allow enterprises to leverage their data in an open and connected manner. Furthermore, the company also offers consulting services to assist organizations in establishing a data-driven vision and optimizing their analytical strategies to deliver tangible value.

Teradata, Earnings, Miss