Teradata stock performance snapshot and recent returns

Teradata (TDC) has traded around $27.10 recently, with the share price showing a 1.2% move over the past day, a 10.3% gain over the past week, and roughly flat performance over the past month.

Over the past 3 months the stock shows an 8.9% decline, while year to date performance is an 8.7% decline. Over the past year, total return is 33.2%, with 3 year and 5 year total returns of 32.3% and 48.1% declines respectively.

The recent 10.3% 7 day share price return contrasts with the 8.7% year to date share price decline and a 33.2% 1 year total shareholder return, suggesting short term momentum is improving after a tougher multi year stretch.

If Teradata's rebound has you looking for other AI related names, this could be a good moment to scan 73 profitable AI stocks that aren't just burning cash

With Teradata trading around $27.10, carrying a value score of 5, and sitting at a sizable discount to some analyst targets and intrinsic estimates, you have to ask: is there still upside here, or is future growth already priced in?

Most Popular Narrative: 24.1% Undervalued

With Teradata's fair value narrative sitting at $35.73 against a last close of $27.10, the gap reflects a detailed earnings and margins story that goes well beyond recent share price moves.

The accelerating adoption of AI and GenAI initiatives among large enterprises is driving a surge in demand for robust data management and analytics infrastructure. This is positioning Teradata's hybrid platform to capture new, high-value workloads, supporting sustained recurring revenue growth and platform usage.

Want to see what is baked into that fair value gap? The narrative leans heavily on margin expansion, recurring revenue mix shifts, and a premium earnings multiple over time. The specific revenue path, profitability targets, and discounting assumptions are all laid out in detail, but only if you read it in full.

Result: Fair Value of $35.73 (UNDERVALUED)

However, there are still clear watchpoints, including ongoing revenue headwinds and intense competition from hyperscalers and open source tools that could pressure Teradata's earnings power.

Next Steps

Seeing both concerns and optimism in this story, it makes sense to check the numbers yourself and decide quickly how you feel about the balance of risks and rewards, starting with the 4 key rewards and 1 important warning sign

Looking for more investment ideas?

If Teradata has caught your eye, do not stop here. Broaden your watchlist now so you are not relying on a single story.

• Spot potential value opportunities early by scanning 60 high quality undervalued stocks before the crowd catches on.
• Seek steadier sleep at night by reviewing 71 resilient stocks with low risk scores that focus on resilience and lower risk scores.
• Aim to get ahead of the market by checking the screener containing 23 high quality undiscovered gems that many investors may be overlooking.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.