Teradata Corp. (TDC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Five9, Inc.

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Duolingo, Inc.

Teradata Corp.

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DoubleVerify Holdings, Inc.

SPS Commerce, Inc.

New Relic, Inc.

Why is Teradata Corp. ?

High Management Efficiency with a high ROCE of 55.22%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.35 times

Healthy long term growth as Operating profit has grown by an annual rate 66.34%

Flat results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 284 MM
INTEREST COVERAGE RATIO(Q) Lowest at 833.33
RAW MATERIAL COST(Y) Grown by 6.5% (YoY)

With ROCE of 70.00%, it has a attractive valuation with a 7.00 Enterprise value to Capital Employed

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -2.33%, its profits have risen by 155.3% ; the PEG ratio of the company is 0.1

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 14.11% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -2.33% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Teradata Corp. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Teradata Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Teradata Corp.

31.68%

-0.06

52.29%

S&P 500

22.36%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.96%

EBIT Growth (5y)

72.04%

EBIT to Interest (avg)

6.43

Debt to EBITDA (avg)

0.35

Net Debt to Equity (avg)

1.09

Sales to Capital Employed (avg)

2.55

Tax Ratio

27.37%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

55.22%

ROE (avg)

55.62%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

10.15

EV to EBIT

11.13

EV to EBITDA

7.80

EV to Capital Employed

9.59

EV to Sales

1.41

PEG Ratio

1.19

Dividend Yield

ROCE (Latest)

86.12%

ROE (Latest)

58.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 761 MM

ROCE(HY)

Highest at 119.12%

PRE-TAX PROFIT(Q)

At USD 48 MM has Grown at 120.69%

RAW MATERIAL COST(Y)

Fallen by -4.28% (YoY

CASH AND EQV(HY)

Highest at USD 1,230 MM

DEBT-EQUITY RATIO (HY)

Lowest at -53.12 %

INVENTORY TURNOVER RATIO(HY)

Highest at 131.2 times

NET PROFIT(Q)

Highest at USD 46.98 MM

-8What is not working for the Company

NET PROFIT(HY)

At USD 16.32 MM has Grown at -70.38%

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.07 times

Here's what is working for Teradata Corp.

Net Profit

At USD 46.98 MM has Grown at 211.68%

over average net sales of the previous four periods of USD 15.07 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Pre-Tax Profit

At USD 48 MM has Grown at 120.69%

over average net sales of the previous four periods of USD 21.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Operating Cash Flow

Highest at USD 761 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Profit

Highest at USD 46.98 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Cash and Eqv

Highest at USD 1,230 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at -53.12 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 131.2 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -4.28% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Teradata Corp.

Debtors Turnover Ratio

Lowest at 6.07 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio