Teradata (NYSE:TDC) Stock Price Down 5.5% - Here's What Happened

Key Points

• Teradata's stock price fell 5.5% during mid-day trading, reaching a low of $21.83, significantly lower than its previous close of $23.02.
• Analysts have mixed views on Teradata, with upgrades to a "buy" rating from Wall Street Zen, while Zacks downgraded it to a "strong sell".
• The company's latest quarterly earnings showed a decline in revenue, with a report of $0.47 EPS, slightly above expectations, but reflecting a 6.4% year-over-year decrease.

Teradata Corporation (NYSE:TDC - Get Free Report)'s share price was down 5.5% during mid-day trading on Tuesday . The stock traded as low as $21.83 and last traded at $21.76. Approximately 242,200 shares were traded during trading, a decline of 80% from the average daily volume of 1,223,598 shares. The stock had previously closed at $23.02.

Analysts Set New Price Targets

Several equities analysts recently weighed in on TDC shares. Wall Street Zen raised shares of Teradata from a "hold" rating to a "buy" rating in a research note on Saturday, September 13th. Zacks Research downgraded shares of Teradata from a "hold" rating to a "strong sell" rating in a report on Monday, September 8th. UBS Group reduced their target price on Teradata from $24.00 to $23.00 and set a "neutral" rating on the stock in a report on Wednesday, August 6th. Finally, Weiss Ratings reissued a "sell (d+)" rating on shares of Teradata in a research note on Saturday, September 27th. Three equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and three have issued a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $26.86.

Teradata Trading Down 6.7%

The company's 50 day simple moving average is $21.31 and its 200-day simple moving average is $21.71. The firm has a market cap of $2.03 billion, a P/E ratio of 19.01, a P/E/G ratio of 5.62 and a beta of 0.77. The company has a quick ratio of 0.84, a current ratio of 0.84 and a debt-to-equity ratio of 2.78.

Teradata (NYSE:TDC - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The technology company reported $0.47 earnings per share for the quarter, topping the consensus estimate of $0.41 by $0.06. Teradata had a return on equity of 96.29% and a net margin of 6.57%.The firm had revenue of $408.00 million for the quarter, compared to the consensus estimate of $399.73 million. During the same period in the prior year, the business posted $0.64 earnings per share. The company's revenue for the quarter was down 6.4% on a year-over-year basis. Teradata has set its Q3 2025 guidance at 0.510-0.55 EPS. FY 2025 guidance at 2.170-2.25 EPS. As a group, research analysts predict that Teradata Corporation will post 1.31 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Teradata

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its position in shares of Teradata by 5.6% during the first quarter. Vanguard Group Inc. now owns 13,774,843 shares of the technology company's stock worth $309,658,000 after acquiring an additional 728,333 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. increased its holdings in Teradata by 63.4% during the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 35,689 shares of the technology company's stock worth $802,000 after purchasing an additional 13,847 shares during the period. Jump Financial LLC bought a new stake in Teradata during the 1st quarter valued at $1,317,000. LSV Asset Management lifted its holdings in shares of Teradata by 95.6% in the 1st quarter. LSV Asset Management now owns 1,588,999 shares of the technology company's stock worth $35,721,000 after buying an additional 776,799 shares during the period. Finally, SG Americas Securities LLC grew its position in shares of Teradata by 1,220.2% during the 1st quarter. SG Americas Securities LLC now owns 45,019 shares of the technology company's stock worth $1,012,000 after buying an additional 41,609 shares in the last quarter. Institutional investors own 90.31% of the company's stock.

About Teradata

Teradata Corporation, together with its subsidiaries, provides a connected multi-cloud data platform for enterprise analytics. The company offers Teradata Vantage, an open and connected platform designed to leverage data across an enterprise. Its business consulting services include support services for organizations to establish a data and analytic vision, enable a multi-cloud ecosystem architecture, and identify and operationalize analytical opportunities, as well as to ensure the analytical infrastructure delivers value.

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