Teradata Corporation provides hybrid cloud analytics software. More Details
+ 1 more risk
Fair value with mediocre balance sheet.
Share Price & News
How has Teradata's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TDC is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 16% a week.
Volatility Over Time: TDC's weekly volatility has increased from 10% to 16% over the past year.
7 Day Return
1 Year Return
Return vs Industry: TDC exceeded the US Software industry which returned 51% over the past year.
Return vs Market: TDC exceeded the US Market which returned 36.5% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Teradata's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StAn Intrinsic Calculation For Teradata Corporation (NYSE:TDC) Suggests It's 31% Undervalued
1 month ago | Simply Wall StDoes Teradata's (NYSE:TDC) Returns On Capital Reflect Well On The Business?
1 month ago | Simply Wall StWe Think Teradata's (NYSE:TDC) Statutory Profit Might Understate Its Earnings Potential
Is Teradata undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: TDC ($42.13) is trading below our estimate of fair value ($70.81)
Significantly Below Fair Value: TDC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: TDC is good value based on its PE Ratio (35.7x) compared to the US Software industry average (48.3x).
PE vs Market: TDC is poor value based on its PE Ratio (35.7x) compared to the US market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: TDC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: TDC is overvalued based on its PB Ratio (11.5x) compared to the US Software industry average (9.3x).
How is Teradata forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TDC's earnings are forecast to decline over the next 3 years (-12.6% per year).
Earnings vs Market: TDC's earnings are forecast to decline over the next 3 years (-12.6% per year).
High Growth Earnings: TDC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: TDC's revenue (5.8% per year) is forecast to grow slower than the US market (10.4% per year).
High Growth Revenue: TDC's revenue (5.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: TDC's Return on Equity is forecast to be very high in 3 years time (60.1%).
How has Teradata performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: TDC has a large one-off loss of $47.0M impacting its December 31 2020 financial results.
Growing Profit Margin: TDC became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: TDC has become profitable over the past 5 years, growing earnings by 37.7% per year.
Accelerating Growth: TDC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: TDC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (16%).
Return on Equity
High ROE: Whilst TDC's Return on Equity (32.25%) is high, this metric is skewed due to their high level of debt.
How is Teradata's financial position?
Financial Position Analysis
Short Term Liabilities: TDC's short term assets ($1.0B) exceed its short term liabilities ($952.0M).
Long Term Liabilities: TDC's short term assets ($1.0B) exceed its long term liabilities ($841.0M).
Debt to Equity History and Analysis
Debt Level: TDC's debt to equity ratio (120.5%) is considered high.
Reducing Debt: TDC's debt to equity ratio has increased from 91.4% to 120.5% over the past 5 years.
Debt Coverage: TDC's debt is well covered by operating cash flow (55.4%).
Interest Coverage: TDC's interest payments on its debt are not well covered by EBIT (2.3x coverage).
What is Teradata current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate TDC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate TDC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if TDC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if TDC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of TDC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Steve McMillan (49 yo)
Mr. Stephen McMillan, also known as Steve, serves President, Chief Executive Officer and Director at Teradata Corporation since June 8, 2020. He served as Executive Vice President of Global Services at F5 ...
|Chief Financial Officer||3.25yrs||US$4.77m||0.10% |
|Chief Human Resources Officer||1.58yrs||US$4.66m||0.014% |
|Chief Services Officer||13.33yrs||US$3.00m||0.28% |
|President||0.67yr||no data||0.024% |
|Chief Technology Officer||no data||no data||no data|
|Chief Information Officer||0.25yr||no data||no data|
|Vice President of Investor Relations||no data||no data||no data|
|Chief Legal Officer & Secretary||0.25yr||no data||0.036% |
|Chief Marketing Officer||2.92yrs||no data||0.078% |
|Senior Vice President of Finance and Investor Relations||1.83yrs||no data||no data|
|Executive Vice President of Business Systems||1.5yrs||no data||no data|
|Chief Product Officer||2.08yrs||no data||0.0090% |
Experienced Management: TDC's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.
|President||0.67yr||no data||0.024% |
|Independent Director||10.42yrs||US$334.24k||0.0016% |
|Independent Director||12.58yrs||US$330.91k||0.035% |
|Independent Director||13.42yrs||US$330.91k||0.11% |
|Independent Director||4.08yrs||US$330.91k||0.0026% |
|Independent Director||13.25yrs||US$365.91k||0.039% |
|Independent Director||4.08yrs||US$342.57k||0.0037% |
|Independent Non-Executive Chairman||1yr||US$365.91k||0.035% |
|Independent Director||1.25yrs||US$176.73k||0.0014% |
|Independent Director||6.08yrs||US$325.91k||0.026% |
|Independent Director||2.67yrs||US$334.66k||0.012% |
Experienced Board: TDC's board of directors are considered experienced (4.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: TDC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Teradata Corporation's company bio, employee growth, exchange listings and data sources
- Name: Teradata Corporation
- Ticker: TDC
- Exchange: NYSE
- Founded: 1979
- Industry: Systems Software
- Sector: Software
- Market Cap: US$4.592b
- Shares outstanding: 109.00m
- Website: https://www.teradata.com
Number of Employees
- Teradata Corporation
- 17095 Via Del Campo
- San Diego
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|TDC||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Sep 2007|
|3T4||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Sep 2007|
|0LEE||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Sep 2007|
Teradata Corporation provides hybrid cloud analytics software. Its solutions and services comprise software, hardware, and related business consulting and support services to deliver analytics in company’s...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/03/02 00:01|
|End of Day Share Price||2021/03/01 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.