TDC Valuation

Teradata Corp

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21.440

+0.19(0.894%)1D

Overview
Forecast
Valuation
Earnings

TDC Relative Valuation

TDC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TDC is overvalued; if below, it's undervalued.

Historical Valuation

Teradata Corp (TDC) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.48 is considered Undervalued compared with the five-year average of 19.89. The fair price of Teradata Corp (TDC) is between 30.11 to 54.63 according to relative valuation methord. Compared to the current price of 21.44 USD , Teradata Corp is Undervalued By 28.79%.

Relative Value

Fair Zone

30.11-54.63

Current Price：21.44

28.79%

Undervalued

9.48

Trailing

Forward

5.30

EV/EBITDA

Teradata Corp. (TDC) has a current EV/EBITDA of 5.30. The 5-year average EV/EBITDA is 8.72. The thresholds are as follows: Strongly Undervalued below 4.45, Undervalued between 4.45 and 6.58, Fairly Valued between 10.85 and 6.58, Overvalued between 10.85 and 12.98, and Strongly Overvalued above 12.98. The current Forward EV/EBITDA of 5.30 falls within the Undervalued range.

6.74

EV/EBIT

Teradata Corp. (TDC) has a current EV/EBIT of 6.74. The 5-year average EV/EBIT is 13.07. The thresholds are as follows: Strongly Undervalued below 5.22, Undervalued between 5.22 and 9.14, Fairly Valued between 17.00 and 9.14, Overvalued between 17.00 and 20.92, and Strongly Overvalued above 20.92. The current Forward EV/EBIT of 6.74 falls within the Undervalued range.

1.22

Teradata Corp. (TDC) has a current PS of 1.22. The 5-year average PS is 2.10. The thresholds are as follows: Strongly Undervalued below 0.99, Undervalued between 0.99 and 1.55, Fairly Valued between 2.65 and 1.55, Overvalued between 2.65 and 3.21, and Strongly Overvalued above 3.21. The current Forward PS of 1.22 falls within the Undervalued range.

6.34

P/OCF

Teradata Corp. (TDC) has a current P/OCF of 6.34. The 5-year average P/OCF is 10.09. The thresholds are as follows: Strongly Undervalued below 4.64, Undervalued between 4.64 and 7.37, Fairly Valued between 12.81 and 7.37, Overvalued between 12.81 and 15.54, and Strongly Overvalued above 15.54. The current Forward P/OCF of 6.34 falls within the Undervalued range.

7.02

P/FCF

Teradata Corp. (TDC) has a current P/FCF of 7.02. The 5-year average P/FCF is 11.21. The thresholds are as follows: Strongly Undervalued below 5.07, Undervalued between 5.07 and 8.14, Fairly Valued between 14.27 and 8.14, Overvalued between 14.27 and 17.34, and Strongly Overvalued above 17.34. The current Forward P/FCF of 7.02 falls within the Undervalued range.

Teradata Corp (TDC) has a current Price-to-Book (P/B) ratio of 11.43. Compared to its 3-year average P/B ratio of 26.51 , the current P/B ratio is approximately -56.86% higher. Relative to its 5-year average P/B ratio of 20.47, the current P/B ratio is about -44.13% higher. Teradata Corp (TDC) has a Forward Free Cash Flow (FCF) yield of approximately 13.25%. Compared to its 3-year average FCF yield of 9.56%, the current FCF yield is approximately 38.59% lower. Relative to its 5-year average FCF yield of 9.00% , the current FCF yield is about 47.32% lower.

11.43

P/B

Median3y

26.51

Median5y

20.47

13.25

FCF Yield

Median3y

9.56

Median5y

9.00

Competitors Valuation Multiple

The average P/S ratio for TDC's competitors is 1.29, providing a benchmark for relative valuation. Teradata Corp Corp (TDC) exhibits a P/S ratio of 1.22, which is -5.60% above the industry average. Given its robust revenue growth of -6.42%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Progress Software Corp

Performance Decomposition

Market capitalization of TDC decreased by 24.75% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 12.08 to 18.80.

The secondary factor is the Revenue Growth, contributed -6.42%to the performance.

Overall, the performance of TDC in the past 1 year is driven by P/E Change. Which is more unsustainable.

-6.42%

436.00M → 408.00M

Revenue Growth

-73.97%

8.49 → 2.21

Margin Expansion

55.64%

12.08 → 18.80

P/E Change

-24.75%