QualityDipStocks / Technology · Software
Teradata TDC
Outside our quality screen, so we don’t track its dips. It’s 11% below its 52-week high.
Outside our quality screen, 12% over its Market Value. No fair value estimate for now: the model’s result is too extreme to stand behind.
Worth knowing
- FCF yield 23%, top 1% of the 1145 we measure
- Net cash = 13% of its market cap
From the data on this page, as of the last close. How we pick these
- Fair value est.
- n/a
- Market Value
- $29.92price +12%
- Off 52-wk high
- −11%
- Risk vs market
- Above marketbeta 1.15
5 bullish · 4 bearish See why
Repriced or dip?
Dip: business intact
The price is 11% below its 52-week high (Feb 11), but the business held up: revenue growth rate +9.1 pts, earnings per share +285.3%, free cash flow +159.2%.
Some numbers held up (revenue growth rate +9.1 pts, earnings per share +285.3%, free cash flow +159.2%), others slipped (operating margin −4.0 pts). The price is 11% below its 52-week high.
The price is 11% below its 52-week high, and the business changed too: operating margin −4.0 pts.
Within 10% of its 52-week high, so there is no dip to judge yet.
The evidence 10 numbers, high vs now
- Revenue, last 12 months$1.7B → $1.7B (+2.4%)held up
- Revenue growth rate−8.2% → +1.0% a year (+9.1 pts)held up
- Earnings per share, 12 months$1.24 → $4.76 (+285.3%)held up
- Free cash flow, 12 months$284M → $736M (+159.2%)held up
- Operating margin11.5% → 7.5% (−4.0 pts)changed
- Shares outstanding+0.7% (more shares, each owns less)held up
- Net cash (cash minus debt)+14.5% of market cap since the highheld up
- Stock vs its sector (Technology)stock −11%, sector median +14% since Feb 11changed
- Price fall vs business numbersprice −11%, revenue/EPS/FCF median +159% (shown, not scored)
- Valuation multipleP/FCF 12.7× at the high → 4.4× now (shown, not scored)
Business numbers as reported at the high (12 months to Sep 30, 2025) vs the latest filing (12 months to Jun 30, 2026). Each measure is scored from −1 (business changed) to +1 (business intact) and weighted: revenue, earnings per share, free cash flow, operating margin, revenue growth rate, share count, net cash and the move vs its sector. 60 or more reads as a dip, 40 or less as a repricing. Analyst estimates are not in our data, so they are not used. How to read it
Data-based read, not advice.
Priced in
How much growth the market assumed at the 52-week high, the low and today (a reverse DCF).
At the high ($37.88, Feb 11) the price assumed about −1%/yr free-cash-flow growth; at the low ($20.71, Nov 4) about −10%; today about −19%. The last 3 years delivered −11%/yr (free cash flow).
Dashed line: what the last 3 years delivered, −11%/yr (free cash flow)
| High | Low | Now | |
|---|---|---|---|
| Price | $37.88Feb 11 | $20.71Nov 4 | $33.61 |
| Implied growth | −1% | −10% | −19% |
| P/E | 30.7× | 18.1× | 7.1× |
| P/FCF | 12.7× | 7.5× | 4.4× |
| EV/Sales | 2.2× | 1.2× | 1.7× |
What this means: the higher the implied growth, the more the price already counts on. If today's number sits well below what the business has delivered, the market expects less than its track record.
How it’s computed
Reverse DCF: the same 10-year free-cash-flow model as our fair value estimate (9.5% discount rate, growth for years 1–5 fading to 3% by year 10, 3% after), solved for the growth that makes it equal the market value at each price. For the high and the low we use only the filings that were public on that day, so nothing from a later report leaks back. Market value = that close × diluted shares. P/E = market value / 12-month net income; Price / FCF = market value / 12-month free cash flow; EV / Sales = (market value + debt − cash) / 12-month revenue. Hidden when the share count moved over 20% (split, merger), free cash flow is negative, or the company reports in another currency.
Valuation
What we estimate it's worth, and how it ranks on value vs every stock we cover.
Fair value estimate
Estimate unreliable for TDC: the model gives 261% above the price, more than we can stand behind (usually peak-cycle cash flow, heavy debt, or cash flows that include customer or loan balances). We’d rather show nothing than a made-up number.
What the price implies To be worth today’s price, TDC’s free cash flow would need to shrink about 19% a year for five years; our estimate uses 3%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 31 to Nov 2, 252 sessions). Beta = how much TDC moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Swings more than the market, and its own price swings are 5.2× the S&P 500’s.
- Beta vs S&P 500
- 1.15
- Volatility
- 66% vs 13% SPY
- Correlation SPY
- 0.22
- Correlation QQQ
- 0.21
How it ranks
Where TDC stands vs every one of the 1,996 stocks we cover that has the number. Longer bar = better.
Top quarter on 2 of 5 measures
- Free cash flow yield23% · free cash flow vs market capTop 1%of 1,391
- Dividends + buybacks yield4.4% · cash paid out or used to retire shares, vs market capTop 32%of 1,836
- Revenue growth, last 12 months+1% · vs the 12 months beforeLowest 16%of 1,814
- Operating margin7.5% · of sales kept as operating profitLowest 35%of 1,288
- Return on invested capital55% · profit per dollar of capitalTop 4%of 838
From SEC filings and our fair value estimate model. A ranking, not advice.
Valuation details
MV $29.92 · FCF value $94.87
Fundamentals
The business itself: sales, profits, cash and debt, from SEC filings.
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
ValuationFree-cash-flow yield of 22.8% (price / FCF 4.4×): $736M of free cash in the last 12 months.
ValuationP/E of 7.1× vs a 33.0× median for the 220 Technology companies we cover.
Cash returnsFree cash flow grew 179% over the last 12 months vs the 12 months before.
Balance sheetNet cash of $414M: cash and short-term investments exceed debt (Jun 30, 2026).
ProfitabilityReturn on invested capital of 55%, above the 9.5% discount rate our DCF uses.
Top bearish points 4 of 5
GrowthSales grew 1.0% over the last 12 months, below the 16% median for the 283 Technology companies we cover.
GrowthSales shrank 3% a year from FY2022 to FY2025.
Cash returnsShare count up 0.2% over 12 months, above the −0.3% median for the 239 Technology companies we cover.
ValuationTrades 12.3% above its Market Value of $29.92, the average price paid since the Aug 17 filing.
All fundamentals
P/E 7.1 · FCF yield 22.8% · ROE 119%
Valuation
- P/E
- 7.1×Technology median 33.0×
- Price / FCF
- 4.4×
- FCF yield
- 22.8%
- EV / EBITDA
- 12.7×
- Price / sales
- 1.91×
- Price / book
- 5.45×
- Market cap
- $3.2Bprice × diluted shares
- Enterprise value
- $2.8B
Growth
- Revenue, 12 months
- $1.7B
- Sales growth, 12 months
- +1.0%vs the 12 months before
- Sales growth, 3 yrs
- −2.5%/yrfrom FY2022
- Diluted EPS, 12 months
- $4.75
- EPS growth, last FY
- +16.4%
- Net income, 12 months
- $458M
- Net income growth
- +316%12 months vs before
Profitability
- Gross margin
- 60.8%
- Operating margin
- 7.5%
- Net margin
- 27.1%
- FCF margin
- 43.5%
- Return on equity
- 119%
- Return on invested capital
- 55%
Balance sheet
- Cash & short-term inv.
- $414M
- Total debt
- $0
- Net cash
- $414M
- Debt / equity
- 0.00×
- Interest coverage
- 5.1×operating income / interest
Cash flow & returns
- Free cash flow, 12 months
- $736M
- FCF growth, 12 months
- +179%
- Dividend yield
- 0%
- Payout ratio
- n/anot reported in its SEC filings
- Buybacks, 12 months
- $142M4.4% of market cap
- Share count, 1 year
- +0.2%diluted shares vs a year ago
- Stock-based comp
- $121M
Trailing 12 months to Jun 30, 2026; balance sheet at Jun 30, 2026. From Teradata’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
The business
FCF $0.3B · Sales 0%
- Free cash flow, 12 months$0.3B
- Free-cash-flow yield22.8%
- Free-cash-flow margin21%
- Gross margin61%
- Operating margin12%
- Return on invested capital58%
- Return on equity119%
- Sales growth (latest quarter vs year-ago quarter)0%
- Net debt / EBITDA−0.9×
Chart & levels
Where the price is vs its key levels and trends.
Key levels
Every level vs today’s $33.61
- 52-wk lowlowest close, 1 year$20.71−38.4%
- Market Valueavg paid since Aug 17$29.92−11.0%
- PriceMon Nov 2 close$33.61you are here
- 52-wk highhighest close, 1 year$37.88+12.7%
Momentum & 52-week range
RSI 61 · 5 days −3.6%
Signals
Reversal signal setups, the public ledger and the next earnings date.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Next report
Nov 5
- DateThu Nov 5, after the close
- Consensus EPS$0.36
- Year-ago EPS$0.48
- QuarterSep/2026
From Nasdaq’s earnings calendar. A report resets Market Value.
TDC is outside our quality screen
One text when a published rule fires on one of the 332 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.
Voices & buzz
Who is talking about it, and how it compares with peers.
Who’s talking about it
Notable investors, executives, analysts and public figures on Teradata in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 3, 1:01 PM ET.
Compare with peers
Closest in size in Software
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.