These Analysts Cut Their Forecasts On Teradata Following Q2 Results

Author: Avi Kapoor | August 06, 2024 12:19pm

Teradata Corporation (NYSE:TDC) reported mixed financial results for the second quarter and announced a restructuring plan that will reduce its global workforce by approximately 9% to 10%.

Teradata reported quarterly earnings of 64 cents per share which beat the analyst consensus estimate of 48 cents per share. The company reported quarterly sales of $436.000 million which missed the analyst consensus estimate of $447.036 million, according to data from Benzinga Pro.

“Teradata delivered another quarter of strong growth in Cloud ARR, increasing 32% in constant currency, and we maintained our robust 123% net expansion rate in the cloud,” said Steve McMillan, President and Chief Executive Officer, Teradata. “We are taking decisive action across the business to improve our execution and efficiency to reaccelerate profitable growth. The underlying fundamentals of our business are strong. In a world where analytics and AI underpin a company’s success, our hybrid cloud platform and foundation of trusted data and analytics are what they need to consistently deliver value to their business.”

Teradata shares fell 12% to trade at $25.66 on Tuesday.

These analysts made changes to their price targets on Teradata following earnings announcement.

• Morgan Stanley analyst Erik Woodring maintained Teradata with an Equal-Weight rating and lowered the price target from $44 to $30.
• Northland Capital Markets analyst Nehal Chokshi maintained the stock with an Outperform rating and cut the price target from $49 to $38.
• Barclays analyst Raimo Lenschow maintained Teradata with an Underweight rating and lowered the price target from $35 to $30.
• RBC Capital analyst Matthew Hedberg maintained the stock with a Sector Perform and lowered the price target from $40 to $32.
• Evercore ISI Group analyst Chirag Ved maintained Teradata with an Outperform and lowered the price target from $46 to $34.
• JMP Securities analyst Patrick Walravens downgraded Teradata from Market Outperform to Market Perform.

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Posted In: TDC