Teradata (NYSE:TDC) Updates FY 2026 Earnings Guidance

Teradata (NYSE:TDC) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 2.650-2.730 for the period, compared to the consensus estimate of 2.470. The company issued revenue guidance of $1.6 billion-$1.7 billion, compared to the consensus revenue estimate of $1.7 billion. Teradata also updated its Q3 2026 guidance to 0.550-0.590 EPS.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on TDC shares. Morgan Stanley restated an “overweight” rating on shares of Teradata in a research note on Wednesday. Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $34.00 price target on shares of Teradata in a research note on Thursday, July 16th. UBS Group raised their price objective on Teradata from $34.00 to $36.00 and gave the company a “neutral” rating in a research report on Wednesday. Wall Street Zen upgraded shares of Teradata from a “buy” rating to a “strong-buy” rating in a report on Sunday, July 26th. Finally, Barclays reduced their target price on shares of Teradata from $28.00 to $27.00 and set an “underweight” rating on the stock in a research report on Wednesday. Four investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Teradata currently has a consensus rating of “Hold” and a consensus price target of $35.67.

Teradata Stock Up 2.7%

Teradata stock traded up $0.72 during mid-day trading on Thursday, hitting $26.95. The company had a trading volume of 1,220,179 shares, compared to its average volume of 2,438,754. Teradata has a 12 month low of $19.96 and a 12 month high of $41.78. The company has a market capitalization of $2.54 billion, a PE ratio of 5.67, a price-to-earnings-growth ratio of 2.53 and a beta of 0.60. The stock’s 50 day moving average price is $32.41 and its two-hundred day moving average price is $30.13. The company has a current ratio of 1.30, a quick ratio of 1.29 and a debt-to-equity ratio of 0.85.

Teradata (NYSE:TDC) last announced its quarterly earnings results on Tuesday, August 4th. The technology company reported $0.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.56 by $0.13. The company had revenue of $410.00 million for the quarter, compared to analysts’ expectations of $396.13 million. Teradata had a net margin of 27.08% and a return on equity of 56.32%. Teradata’s revenue was up .5% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.47 EPS. Teradata has set its Q3 2026 guidance at 0.550-0.590 EPS and its FY 2026 guidance at 2.650-2.730 EPS. As a group, sell-side analysts anticipate that Teradata will post 1.78 earnings per share for the current fiscal year.

Insider Activity at Teradata

In other news, CEO Stephen Mcmillan sold 20,000 shares of the business’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $31.71, for a total value of $634,200.00. Following the completion of the transaction, the chief executive officer owned 762,446 shares in the company, valued at $24,177,162.66. The trade was a 2.56% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CRO Richard J. Petley sold 17,227 shares of the company’s stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $35.00, for a total transaction of $602,945.00. Following the transaction, the executive owned 188,571 shares in the company, valued at $6,599,985. This represents a 8.37% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 42,884 shares of company stock valued at $1,427,899 over the last 90 days. Corporate insiders own 0.96% of the company’s stock.

Key Headlines Impacting Teradata

Here are the key news stories impacting Teradata this week:

• Positive Sentiment: Teradata reported second-quarter EPS of $0.69, above the roughly $0.56 consensus estimate, while revenue of $410 million also exceeded expectations. Recurring revenue increased 3% to $363 million, and revenue was slightly higher year over year. Teradata Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Profitability and cash generation improved substantially: non-GAAP operating margin rose to 21.5%, operating cash flow reached $106 million, and adjusted free cash flow climbed to $127 million. Management indicated a full-year adjusted free-cash-flow range of $330 million to $350 million. Teradata signals free cash flow range and launches Teradata 3.0
• Positive Sentiment: Teradata raised its full-year 2026 EPS guidance to $2.65-$2.73, above the approximately $2.47 consensus, and launched its Teradata 3.0 agentic-AI platform, including new AI tools on Amazon Web Services. Teradata raises EPS outlook and launches AI tools
• Neutral Sentiment: Analysts’ price targets remain mixed. The reported median target is $38, but Barclays lowered its target to $27 and maintained an “underweight” rating, suggesting limited near-term upside in its view. Barclays lowers Teradata price target
• Negative Sentiment: Third-quarter guidance was the main catalyst for the selloff. Teradata forecast revenue of $391.0 million-$399.4 million, below the roughly $403 million consensus, with recurring revenue expected to decline 2%-4% year over year. EPS guidance of $0.55-$0.59 was also centered slightly below expectations. Teradata declines on weaker guidance
• Negative Sentiment: Management kept full-year revenue guidance at approximately $1.6 billion-$1.7 billion, implying growth remains limited, while consulting-services revenue fell sharply. Investors appear to be waiting for clearer acceleration in annual recurring revenue before rewarding the AI and margin improvements.

Institutional Investors Weigh In On Teradata

A number of hedge funds have recently added to or reduced their stakes in TDC. Osaic Holdings Inc. grew its position in shares of Teradata by 9.1% during the 4th quarter. Osaic Holdings Inc. now owns 5,073 shares of the technology company’s stock valued at $154,000 after acquiring an additional 424 shares during the period. Steward Partners Investment Advisory LLC raised its holdings in Teradata by 52.8% in the 4th quarter. Steward Partners Investment Advisory LLC now owns 1,883 shares of the technology company’s stock worth $57,000 after purchasing an additional 651 shares during the period. Cetera Investment Advisers boosted its position in Teradata by 7.2% during the second quarter. Cetera Investment Advisers now owns 10,991 shares of the technology company’s stock worth $245,000 after purchasing an additional 736 shares in the last quarter. California State Teachers Retirement System grew its holdings in Teradata by 0.9% in the second quarter. California State Teachers Retirement System now owns 88,856 shares of the technology company’s stock valued at $1,982,000 after purchasing an additional 784 shares during the period. Finally, Treasurer of the State of North Carolina lifted its position in shares of Teradata by 1.8% during the 2nd quarter. Treasurer of the State of North Carolina now owns 44,465 shares of the technology company’s stock valued at $992,000 after buying an additional 786 shares in the last quarter. 90.31% of the stock is currently owned by hedge funds and other institutional investors.

About Teradata

Teradata Corporation is a global provider of enterprise analytics and data management solutions designed to help organizations unlock value from their data assets. The company offers both cloud-based and on-premises platforms that support data warehousing, big data analytics, and machine learning. Through its flagship analytics ecosystem, Teradata enables businesses to integrate, analyze, and manage large volumes of structured and unstructured data at scale.

Central to Teradata’s product suite is the Teradata Vantage analytics platform, which unifies diverse data types across multiple environments—including public and private clouds—into a single, coherent architecture.