Should I Buy TDC? TDC 2026 Analysis

Should You Buy Teradata Corp (TDC) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

28.830

1 Day change

-2.90%

52 Week Range

32.740

Analysis Updated At

2026/01/26

Teradata Corp (TDC) is not a strong buy at the moment for a beginner investor with a long-term focus. While the company shows some positive catalysts such as growth in Annual Recurring Revenue and demand for AI solutions, the technical indicators suggest a neutral to bearish short-term trend. Additionally, the pre-market price is slightly down, and there are no strong proprietary trading signals to support a buy decision today.

Technical Analysis

The MACD is negatively expanding (-0.297), indicating bearish momentum. RSI is neutral at 32.618, and moving averages are converging, showing no clear trend. The stock is trading close to its support level (S1: 29.426), but there is no strong indication of a reversal or breakout.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Appointment of a new CISO to enhance security strategy.
Strong demand for AI solutions and growth in Annual Recurring Revenue.
Analysts have raised price targets, with some highlighting long-term growth potential.

Neutral/Negative Catalysts

Revenue dropped by 5.45% YoY in Q3
The MACD and technical indicators suggest bearish momentum.
Pre-market price is down by 0.54%, indicating weak sentiment.

Financial Performance

In Q3 2025, revenue dropped by 5.45% YoY to $416M, but net income increased by 25% YoY to $40M. EPS also rose by 27.27% YoY to 0.42, and gross margin improved slightly to 60.82%. While profitability metrics are improving, the revenue decline is a concern.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Analysts have mixed ratings: RBC Capital raised the price target to $32, Morgan Stanley raised it to $35 with an Overweight rating, and Citizens JMP upgraded to Outperform with a $42 target. However, Barclays remains cautious with an Underweight rating and a $24 target, citing a challenged growth outlook.

9 Analyst Rating

Wall Street analysts forecast TDC stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TDC is 30.11 USD with a low forecast of 24 USD and a high forecast of 42 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

4 Buy

3 Hold

2 Sell

Hold

Current: 29.690

Low

Averages

30.11

High

Current: 29.690

Low

Averages

30.11

High

RBC Capital

Sector Perform

maintain

$23 -> $32

AI Analysis

2026-01-05

Reason

RBC Capital

Price Target

$23 -> $32

AI Analysis

2026-01-05

maintain

Sector Perform

Reason

RBC Capital raised the firm's price target on Teradata to $32 from $23 and keeps a Sector Perform rating on the shares. 2026 is likely to be a year when AI tailwinds become more evident for companies well positioned for enterprise AI adoption, while less prepared peers may remain pressured by the "AI is the death of software" narrative, the analyst tells investors in a research note. Enterprise spending appears to be stabilizing and improving in select areas, with GenAI driving innovation even as management teams remain conservative in early 2026 guidance, the firm says.

Morgan Stanley

Erik Woodring

Overweight

maintain

$30 -> $35

2025-12-17

Reason

Morgan Stanley

Erik Woodring

Price Target

$30 -> $35

2025-12-17

maintain

Overweight

Reason

Morgan Stanley analyst Erik Woodring raised the firm's price target on Teradata (TDC) to $35 from $30 and keeps an Overweight rating on the shares. Among the IT Hardware group, the firm recommends being overweight cloud capex winners, product-cycle beneficiaries such as Apple, and unique assets, while it suggests being underweight stocks with elevated memory exposure - like Dell (DELL) and HP (HPQ) - and is "increasingly more cautious" on memory-exposed names as well, the analyst tells investors in a year-ahead note.

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TDC Should I Buy

TDC Should I Buy

Should You Buy Teradata Corp (TDC) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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