Teradata Corp (TDC) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Teradata Corp stock $39.14, price $31.80, upside +23.1%, quality 70 out of 100. Rating: undervalued. Calculated from audited financials with 20 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $19.20 – $58.89 · fair‑value band $29.35 – $48.92 · the $31.80 price screens below the $39.14 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 8, 2026.
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Teradata Corporation, together with its subsidiaries, provides an AI and knowledge platforms in the United States and internationally. It operates in two segments, Product Sales and Consulting Services. The company's AI and Knowledge platform designed for enterprise-grade workloads.
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Its consulting services include support services for organizations to establish data analytics and and AI vision, enable a hybrid ecosystem architecture, and identify and operationalize opportunities.
The company serves clients in financial services, healthcare and life sciences, public sector, manufacturing, retail, telecommunications, and travel/transportation sectors through a direct sales force. Teradata Corporation was incorporated in 1979 and is headquartered in San Diego, California.
Stock analysis
Teradata Corp (TDC) currently trades at $31.80, while our model-based Fair Value estimate is $39.14, implying the stock looks roughly 19% undervalued today.
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Valuation
Bull case: the Growth DCF group reads highest at a median of $41.50 per share, and 12 of the 20 models we run sit above the $31.80 price.
Bear case: the Economic Profit group reads lowest at $14.07, and 8 of the 20 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $29.35 (bear) to $48.92 (bull), the price of $31.80 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 70/100 (solid quality), in the Technology sector.
Weak Growth: Revenue is shrinking: the last year, the last three and the last five years are all negative.
Teradata Corp reported revenue of $1.7B in FY2025 versus $1.9B in FY2021, a compound −3.5%/yr. Reported net income was $130M in FY2025, compounding −3.0%/yr from FY2021.
Key figures
Market cap $3.1B Mid · P/E ratio 6.7 · P/S ratio 1.83 · EPS (TTM) $4.75 · Net margin 27.2% · Return on equity 110% · Return on assets (EBIT) 10.0% (5-year average) · Operating margin 13.3%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 71 out of 100 (low confidence).
What moves the price
Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic.
The share trades about 16% below its 52-week high and 29% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −11% fair-value upside, at 23%, TDC screens cheaper than that median.
Fair Value models
Bear$29.35Fair Value $39.14Bull$48.92
Price $31.80 · Upside +23.1%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($4.07 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, 6 officers or directors sold shares worth $4.2M and none bought.
SaleStephen McMillanPresident and CEO, Director3× since Feb 26, 2026: 80,000 shares, avg. $30.59$2.4MSep 15, 2026
SaleMichael D HutchinsonChief Operating Officer48,077 shares at $30.00$1.4MSep 15, 202610b5-1 plan
SaleTimothy C K ChouDirector5,657 shares at $33.72$190,754Jun 8, 202610b5-1 plan
SaleRichard J PetleyChief Revenue Officer2× since May 7, 2026: 51,544 shares, avg. $32.23$1.7MJun 1, 202610b5-1 plan
SaleTodd McElhattonDirector15,000 shares at $33.47$502,050May 22, 2026
SaleSumeet AroraChief Product Officer2× since May 7, 2026: 17,645 shares, avg. $32.68$576,572May 19, 202610b5-1 plan
SaleMichael P GianoniDirector25,000 shares at $29.97$749,250Feb 24, 2026
SaleLynrock Lake LP10% owner61,990 shares at $40.29$2.5MFeb 11, 2026
Plus 20 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue is shrinking: the last year, the last three and the last five years are all negative.
Revenue growth 1 year
−5.0%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−2.5%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−2.0%
Start year 2020 (pandemic). Over 10 years: −4.1% a year
Revenue growth 22 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+1.5%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: adjusted.
−2.3%
Earnings growth per share plus dividend.
Earnings per share, growth per year−2.3%
Dividend (yield on the price)0.0%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.1.8% vs −1.9%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.1% → 12%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Little optimism in the price
The price assumes about as much growth as the company has delivered so far and less than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−4.4%
The company could shrink this much every year for the next five years and today's price would still be justified.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+0.9%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about −6.6% a year for the price and −1.4% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (99 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: Teradata's strength is its governed in-platform Python AI compute via Elastic Python Compute, but the main weakness is thin signals providing no evidence of a durable moat across categories.
Main risk: The biggest risk is that the governed in-platform approach restricts users preferring fully open cloud tools, limiting enterprise adoption.
Teradata just made Elastic Python Compute generally available in AI Studio on AWS and Azure. Data teams now get a managed Ray environment to run large-scale Python AI and ML workloads inside the platform, with no data exports or external clusters required. Our models currently see it as undervalued. Will this governed in-platform approach accelerate enterprise AI adoption more than it restricts users who prefer fully open cloud tools?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Software - Infrastructure · 346 stocks
Beats the industry median on 10/13 measures
Overall it ranks above its industry peers.
Valuation
Quality Score70 · Top 25%
Fair Value upside+23.1% · Above median
Profitability
Return on equity (12 months)109.6% · Top 25%
Return on assets7.3% · Top 25%
Net margin (12 months)27.2% · Top 25%
Operating margin (12 months)13.3% · Above median
Growth and dividend
Revenue growth (quarter YoY)−4.1% · Bottom 25%
Balance sheet
Debt / equity1.87× · Highest 25%
Valuation Multiplesvs Software - Infrastructure median · lower = cheaper
P/E (12 months)6.7× · Cheapest 25%
P/B13.30× · book value is mostly goodwill ⓘGoodwill and other intangible assets are larger than the equity. The book value mainly reflects prices paid for past acquisitions, so we do not rank this P/B against the peer group.
P/S (12 months)1.83× · Cheaper than median
Price / free cash flow (fiscal year)10.7× · Cheaper than median
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Teradata Corp Fair Value". https://www.fairvalue-calculator.com/stock/TDC
Frequently asked questions
Is Teradata Corp (TDC) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $39.14 versus a price of $31.80, about +23% upside (undervalued).
What is the fair value of TDC?
Our model-based fair value for Teradata Corp is $39.14 (as of Nov 8, 2026), built from audited fundamentals. The current price: $31.80.
What is the quality score of TDC?
Teradata Corp has a Quality Score of 70/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Teradata Corp (TDC)?
Our model-based price target is the fair value of $39.14 (as of Nov 8, 2026) from 20 valuation models. Cautious scenario $29.35, optimistic scenario $48.92. It is a calculation from audited fundamentals, not an analyst target.
What is the Teradata Corp stock forecast for 2026?
Our models put fair value at $39.14, about +23% upside versus a price of $31.80 (undervalued). Cautious scenario $29.35, optimistic scenario $48.92. The calculation is refreshed regularly with new filings.
What is the revenue of Teradata Corp (TDC)?
Teradata Corp reported trailing-twelve-month revenue of about $1.7B (latest available figure, as of Nov 8, 2026).
What growth is priced into Teradata Corp (TDC)?
For today's price to be fair in a discounted-cash-flow model, Teradata Corp would have to grow free cash flow by -4.4 % per year for five years (discount rate 8.7 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew -2.0 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of TDC use?
Our models discount Teradata Corp at 8.7 %: a base by market capitalisation (mid), damped by beta 0.58, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Teradata Corp that is -4.4 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (8.7 %) and the same formula as our fair value.
How much growth has Teradata Corp (TDC) delivered so far?
Over the past 5 years revenue at Teradata Corp grew -2.0 % a year. The price currently implies free-cash-flow growth of -4.4 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Teradata Corp (TDC) growing?
The median revenue growth in the sector is +11.5 % a year. That is the yardstick for the growth priced into Teradata Corp (-4.4 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Teradata Corp (TDC)?
The free-cash-flow yield on the price is 9.35 %: that much free cash flow Teradata Corp produces per unit of market value. When it exceeds the discount rate of our models (8.7 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Teradata Corp (TDC)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Teradata Corp it is $39.14 per share (as of Nov 8, 2026), against a price of $31.80. It is the blended result of 20 valuation models in 6 families (DCF Models, Earnings-Based, Multiples, Growth DCF, Economic Profit, Growth Earnings).
Is Teradata Corp stock overvalued or undervalued in 2026?
As of Nov 8, 2026, TDC trades below its calculated fair value: price $31.80, fair value $39.14, a gap of about +23% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of TDC?
No. The price is what the market pays today ($31.80); the fair value is what the company's own numbers justify ($39.14). For Teradata Corp the two are $7.34 per share apart. That gap is exactly why we show both numbers side by side.
How much is Teradata Corp worth?
The market values Teradata Corp at about $3.1B (market capitalisation, as of Nov 8, 2026). Per share that is $31.80; our models calculate a fair value of $39.14 per share.
What do the bullish and bearish scenarios say about TDC?
Our models span a range for Teradata Corp: cautious scenario $29.35, base $39.14, optimistic $48.92 per share (as of Nov 8, 2026, price $31.80). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of TDC?
Teradata Corp trades at a price-to-earnings ratio of 6.7 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $39.14 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 32.5 (reported for FY2025: 23.6). Median P/E at fiscal year-end, 8 fiscal years (2016 to 2025), reported earnings, FY2016, FY2018 ex one-offs: 29.7. Other multiples: PEG 3.4, P/B 13.3, P/S 1.8, EV/EBITDA 13.9.
What is the PEG ratio of TDC?
The PEG ratio of Teradata Corp is 3.35 (P/E divided by earnings growth, as of Nov 8, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Teradata Corp (TDC)?
Balance-sheet figures for Teradata Corp (as of Nov 8, 2026): return on equity 109.6%, debt of 1.87 per unit of equity. They feed the Quality Score of 70/100, which measures business quality independently of the share price.
How far is TDC from its 52-week high?
Teradata Corp trades at $31.80, about 16% below its 52-week high of $37.88 and 29% above the low of $24.56 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $39.14 is for.
Which stocks are comparable to Teradata Corp?
From the same area (Technology) we also value Microsoft Corporation, Oracle Corporation, Palantir Technologies Inc, Palo Alto Networks, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Teradata Corp stock attractive at the current price?
The data as of Nov 8, 2026: price $31.80, calculated fair value $39.14 (+23%), Quality Score 70/100, from 20 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of TDC calculated?
We run Teradata Corp through 20 models from 6 families: DCF Models, Earnings-Based, Multiples, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $39.14 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Teradata Corp currently trades 19% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Teradata Corp (TDC)?
The closing price on Nov 6, 2026 was $31.80. Our model-based fair value is $39.14, about +23% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Teradata Corp right now?
Solid quality (70/100) at a price below fair value, the discount is the argument here, not the business quality. The price sits in the lower half of our model range, the side with the larger margin of safety. Read the verdict with care: some models are missing inputs, so the estimate scatters more than usual.
Where does the earnings growth of Teradata Corp (TDC) come from?
Earnings per share at Teradata Corp grew −5.4 % a year from 2014 to 2025. Broken into its drivers: revenue per share +0.1 %, EBIT margin −2.6 %, tax rate −0.4 %, residual (interest, one-offs) −2.6 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Teradata Corp
How large is the market capitalisation of Teradata Corp (TDC)?
The market capitalisation of Teradata Corp is $3.1B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Teradata Corp (TDC)?
The price-to-sales ratio of Teradata Corp is 1.83 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Teradata Corp (TDC)?
Earnings per share at Teradata Corp are $4.75 (price ÷ EPS = P/E 6.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Teradata Corp (TDC)?
The net margin of Teradata Corp is 27.2% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Teradata Corp (TDC)?
The return on equity (ROE) of Teradata Corp is 110% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Teradata Corp (TDC)?
On an EBIT basis the return on assets of Teradata Corp is 10.0% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Teradata Corp (TDC)?
The operating margin of Teradata Corp is 13.3% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Teradata Corp (TDC)?
Revenue at Teradata Corp is growing −4.1% versus a year earlier (3y avg −2.5%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Teradata Corp (TDC)?
Earnings per share at Teradata Corp are growing −4.8% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Teradata Corp (TDC) carry?
The net debt of Teradata Corp is $68.0M (fiscal year 2025, ≈ 0.2 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Nov 8, 2026