TERADATA CORP (TDC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TDC - US88076W1036 - Common Stock
30.89 USD
+0.3 (+0.98%)
TDC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 276 industry peers in the Software industry. While TDC belongs to the best of the industry regarding profitability, there are concerns on its financial health. TDC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year TDC was profitable.
- TDC had a positive operating cash flow in the past year.
- In the past 5 years TDC has always been profitable.
- TDC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With a decent Return On Assets value of 6.70%, TDC is doing good in the industry, outperforming 75.36% of the companies in the same industry.
- TDC has a better Return On Equity (53.88%) than 97.10% of its industry peers.
- TDC's Return On Invested Capital of 13.90% is amongst the best of the industry. TDC outperforms 91.67% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for TDC is in line with the industry average of 10.78%.
- The 3 year average ROIC (12.22%) for TDC is below the current ROIC(13.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.7% | ||
| ROE | 53.88% | ||
| ROIC | 13.9% |
ROA(3y)3.88%
ROA(5y)4.86%
ROE(3y)48.14%
ROE(5y)41.73%
ROIC(3y)12.22%
ROIC(5y)9.98%
1.3 Margins
- The Profit Margin of TDC (7.15%) is better than 67.03% of its industry peers.
- TDC's Profit Margin has declined in the last couple of years.
- TDC's Operating Margin of 11.75% is fine compared to the rest of the industry. TDC outperforms 77.54% of its industry peers.
- TDC's Operating Margin has improved in the last couple of years.
- TDC has a worse Gross Margin (58.99%) than 63.41% of its industry peers.
- TDC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.75% | ||
| PM (TTM) | 7.15% | ||
| GM | 58.99% |
OM growth 3Y-0.3%
OM growth 5Y86.69%
PM growth 3Y-5.29%
PM growth 5YN/A
GM growth 3Y-0.77%
GM growth 5Y3.75%
2. Health
2.1 Basic Checks
- TDC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for TDC has been reduced compared to 1 year ago.
- The number of shares outstanding for TDC has been reduced compared to 5 years ago.
- TDC has a better debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 0.82, we must say that TDC is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 0.82, TDC is not doing good in the industry: 64.86% of the companies in the same industry are doing better.
- The Debt to FCF ratio of TDC is 2.00, which is a good value as it means it would take TDC, 2.00 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of TDC (2.00) is better than 68.12% of its industry peers.
- TDC has a Debt/Equity ratio of 2.21. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of TDC (2.21) is worse than 82.25% of its industry peers.
- Even though the debt/equity ratio score it not favorable for TDC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.21 | ||
| Debt/FCF | 2 | ||
| Altman-Z | 0.82 |
ROIC/WACC1.34
WACC10.35%
2.3 Liquidity
- TDC has a Current Ratio of 0.90. This is a bad value and indicates that TDC is not financially healthy enough and could expect problems in meeting its short term obligations.
- TDC has a Current ratio of 0.90. This is in the lower half of the industry: TDC underperforms 79.35% of its industry peers.
- A Quick Ratio of 0.89 indicates that TDC may have some problems paying its short term obligations.
- TDC's Quick ratio of 0.89 is on the low side compared to the rest of the industry. TDC is outperformed by 80.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
- The earnings per share for TDC have decreased by -3.25% in the last year.
- The Earnings Per Share has been growing by 18.27% on average over the past years. This is quite good.
- The Revenue has decreased by -8.18% in the past year.
- The Revenue has been decreasing by -1.62% on average over the past years.
EPS 1Y (TTM)-3.25%
EPS 3Y0%
EPS 5Y18.27%
EPS Q2Q%4.35%
Revenue 1Y (TTM)-8.18%
Revenue growth 3Y-2.99%
Revenue growth 5Y-1.62%
Sales Q2Q%-5.45%
3.2 Future
- TDC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.63% yearly.
- TDC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.30% yearly.
EPS Next Y-0.06%
EPS Next 2Y2.48%
EPS Next 3Y4.06%
EPS Next 5Y6.63%
Revenue Next Year-6.38%
Revenue Next 2Y-3.42%
Revenue Next 3Y-2.13%
Revenue Next 5Y0.3%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.98, which indicates a correct valuation of TDC.
- 85.51% of the companies in the same industry are more expensive than TDC, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.33. TDC is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 12.10, the valuation of TDC can be described as correct.
- Based on the Price/Forward Earnings ratio, TDC is valued cheaper than 85.87% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.12. TDC is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.98 | ||
| Fwd PE | 12.1 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TDC indicates a rather cheap valuation: TDC is cheaper than 86.96% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, TDC is valued cheaply inside the industry as 92.39% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.21 | ||
| EV/EBITDA | 10.64 |
4.3 Compensation for Growth
- TDC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.71
EPS Next 2Y2.48%
EPS Next 3Y4.06%
5. Dividend
5.1 Amount
- TDC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:TDC (1/15/2026, 3:36:49 PM)
30.89
+0.3 (+0.98%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)11-04 2025-11-04/amc
Earnings (Next)02-10 2026-02-10/amc
Inst Owners105.63%
Inst Owner Change0.01%
Ins Owners1.89%
Ins Owner Change-0.85%
Market Cap2.88B
Revenue(TTM)1.65B
Net Income(TTM)118.00M
Analysts70.67
Price Target28.87 (-6.54%)
Short Float %5.95%
Short Ratio3.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.49%
Min EPS beat(2)15.96%
Max EPS beat(2)33.02%
EPS beat(4)4
Avg EPS beat(4)21.38%
Min EPS beat(4)15.81%
Max EPS beat(4)33.02%
EPS beat(8)8
Avg EPS beat(8)18.68%
EPS beat(12)10
Avg EPS beat(12)13.79%
EPS beat(16)14
Avg EPS beat(16)18.29%
Revenue beat(2)2
Avg Revenue beat(2)1.2%
Min Revenue beat(2)1%
Max Revenue beat(2)1.39%
Revenue beat(4)2
Avg Revenue beat(4)-0.6%
Min Revenue beat(4)-2.41%
Max Revenue beat(4)1.39%
Revenue beat(8)3
Avg Revenue beat(8)-0.35%
Revenue beat(12)6
Avg Revenue beat(12)0.16%
Revenue beat(16)7
Avg Revenue beat(16)-0.36%
PT rev (1m)1.8%
PT rev (3m)15.77%
EPS NQ rev (1m)0.23%
EPS NQ rev (3m)3.6%
EPS NY rev (1m)0.68%
EPS NY rev (3m)9.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.98 | ||
| Fwd PE | 12.1 | ||
| P/S | 1.74 | ||
| P/FCF | 10.21 | ||
| P/OCF | 9.56 | ||
| P/B | 13.15 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.64 |
EPS(TTM)2.38
EY7.7%
EPS(NY)2.55
Fwd EY8.26%
FCF(TTM)3.03
FCFY9.8%
OCF(TTM)3.23
OCFY10.46%
SpS17.71
BVpS2.35
TBVpS-1.93
PEG (NY)N/A
PEG (5Y)0.71
Graham Number11.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.7% | ||
| ROE | 53.88% | ||
| ROCE | 22.69% | ||
| ROIC | 13.9% | ||
| ROICexc | 26.47% | ||
| ROICexgc | 237.66% | ||
| OM | 11.75% | ||
| PM (TTM) | 7.15% | ||
| GM | 58.99% | ||
| FCFM | 17.08% |
ROA(3y)3.88%
ROA(5y)4.86%
ROE(3y)48.14%
ROE(5y)41.73%
ROIC(3y)12.22%
ROIC(5y)9.98%
ROICexc(3y)27.17%
ROICexc(5y)21.78%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.95%
ROCE(5y)16.29%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y11.61%
ROICexc growth 5Y109.1%
OM growth 3Y-0.3%
OM growth 5Y86.69%
PM growth 3Y-5.29%
PM growth 5YN/A
GM growth 3Y-0.77%
GM growth 5Y3.75%
F-Score7
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.21 | ||
| Debt/FCF | 2 | ||
| Debt/EBITDA | 1.71 | ||
| Cap/Depr | 21.35% | ||
| Cap/Sales | 1.15% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 106.36% | ||
| Profit Quality | 238.98% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 0.82 |
F-Score7
WACC10.35%
ROIC/WACC1.34
Cap/Depr(3y)18.39%
Cap/Depr(5y)21.13%
Cap/Sales(3y)1.16%
Cap/Sales(5y)1.57%
Profit Quality(3y)678.93%
Profit Quality(5y)499.62%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.25%
EPS 3Y0%
EPS 5Y18.27%
EPS Q2Q%4.35%
EPS Next Y-0.06%
EPS Next 2Y2.48%
EPS Next 3Y4.06%
EPS Next 5Y6.63%
Revenue 1Y (TTM)-8.18%
Revenue growth 3Y-2.99%
Revenue growth 5Y-1.62%
Sales Q2Q%-5.45%
Revenue Next Year-6.38%
Revenue Next 2Y-3.42%
Revenue Next 3Y-2.13%
Revenue Next 5Y0.3%
EBIT growth 1Y-10.6%
EBIT growth 3Y-3.28%
EBIT growth 5Y83.67%
EBIT Next Year21.48%
EBIT Next 3Y8.54%
EBIT Next 5YN/A
FCF growth 1Y-8.14%
FCF growth 3Y-13.77%
FCF growth 5Y25.49%
OCF growth 1Y-8.23%
OCF growth 3Y-13.18%
OCF growth 5Y15.41%
TERADATA CORP / TDC FAQ
What is the fundamental rating for TDC stock?
ChartMill assigns a fundamental rating of 5 / 10 to TDC.
Can you provide the valuation status for TERADATA CORP?
ChartMill assigns a valuation rating of 7 / 10 to TERADATA CORP (TDC). This can be considered as Undervalued.
How profitable is TERADATA CORP (TDC) stock?
TERADATA CORP (TDC) has a profitability rating of 7 / 10.
Can you provide the expected EPS growth for TDC stock?
The Earnings per Share (EPS) of TERADATA CORP (TDC) is expected to decline by -0.06% in the next year.