- In August 2026, Teradata Corporation reported past second-quarter 2026 results showing revenue of US$410 million and net income of US$46 million, alongside updated guidance calling for relatively flat full-year revenue but higher GAAP diluted EPS of US$4.43 to US$4.51.
- At the same time, Teradata pushed further into AI-enabled analytics with the launch of its Data Analyst Agent on Amazon Web Services Marketplace and added experienced technology executive Bernd Leukert to its expanded Board, potentially influencing how it pursues cloud and AI growth opportunities.
- We’ll now examine how Teradata’s stronger earnings guidance, combined with its new AWS AI analytics offering, could reshape its investment narrative.
Capitalize on the AI infrastructure supercycle with our selection of the 55 best ‘picks and shovels’ of the AI gold rush converting record-breaking demand into massive cash flow.
Teradata Investment Narrative Recap
To own Teradata, you need to believe its hybrid data and AI platform can offset revenue headwinds while preserving profitability. The short term catalyst is management’s ability to convert AI interest into recurring cloud and software demand; the biggest risk remains sluggish top line progress, given guidance for flat to slightly negative 2026 revenue. The latest earnings beat and higher EPS outlook help the margin story, but do not yet resolve the growth question.
The launch of Teradata’s Data Analyst Agent in Amazon Web Services Marketplace looks most relevant here. It directly targets the AI and GenAI workloads that underpin the bull case, while deepening Teradata’s presence inside a major hyperscaler ecosystem. How quickly this agent translates into higher cloud usage and stickier enterprise relationships could influence whether improved earnings guidance proves durable or is offset by ongoing revenue softness.
Yet behind the higher EPS guidance, investors should be aware that revenue pressure and cloud competition still raise questions about…
Read the full narrative on Teradata (it’s free!)
Teradata’s narrative projects $1.7 billion revenue and $102.4 million earnings by 2029. This implies fairly flat yearly revenue growth and a $318.6 million earnings decrease from $421.0 million today.
Uncover how Teradata’s forecasts yield a $34.88 fair value, a 26% upside to its current price.
Exploring Other Perspectives
Some of the most optimistic analysts were expecting only about US$1.8 billion of revenue and US$150.8 million of earnings by 2029, so this AWS agent launch could either support that upbeat AI driven thesis or reinforce concerns about Teradata’s struggle to replace legacy revenue, depending on how you view the same set of facts.
Explore 4 other fair value estimates on Teradata – why the stock might be worth as much as 74% more than the current price!
Form Your Own Verdict
Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts.
- A great starting point for your Teradata research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.
- Our free Teradata research report provides a comprehensive fundamental analysis summarized in a single visual – the Snowflake – making it easy to evaluate Teradata’s overall financial health at a glance.
Ready To Venture Into Other Investment Styles?
Our top stock finds are flying under the radar-for now. Get in early:
- Uncover the next big thing with 18 elite penny stocks that balance risk and reward.
- We’ve uncovered the 10 dividend fortresses yielding 5%+ that don’t just survive market storms, but thrive in them.
- The latest GPUs need a type of rare earth metal called Dysprosium and there are only 28 companies in the world exploring or producing it. Find the list for free.
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.
Valuation is complex, but we’re here to simplify it.
Discover if Teradata might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Have feedback on this article? Concerned about the content? Get in touch with us directly.Alternatively, email editorial-team@simplywallst.com
Micron (MU) is booming, and it still doesn’t look ‘expensive’ based on next year’s earnings. So why does our own valuation say it could be worth 40% less?
A low price to earnings ratio at the top of the cycle is a warning rather than a bargain, and a terrifyingly high one at the bottom is often the entry point
Memory used to have a dozen participants racing each other into oversupply, and now it has three. High bandwidth memory is qualified into customer designs years ahead, sold under long-term agreements, and is far harder to switch away from than commodity DRAM.
About NYSE:TDC
Teradata
Provides an AI and knowledge platforms in the United States and internationally.
Undervalued with solid track record.
Similar Companies
Market Insights
Picking portfolio winners takes more than hot airAndrew Legget
What Korea’s market says about your index fundMitchell Lawler
What does frontier-beating open
Weekly Picks
Rick_Orfordon Starfighters Space·8 days ago
The 1960s Fighter Jet That Could Crack Open a $20 Billion Satellite Market
Fair Value:US$515.2% undervalued
26followersusers have followed this narrative
·1commentusers have commented on this narrative
·5likesusers have liked this narrative
FU
FundamentalFlowon Vertiv Holdings Co·12 days ago
The Short and Long Term Compounder of Liquid Cooling industry.
John_Ericon SPX Technologies·7 days ago
I Fell in Love With a Data-Center Cooling Stock. Then I Opened the Filings.
Fair Value:US$2037.1% overvalued
21followersusers have followed this narrative
·2commentsusers have commented on this narrative
·6likesusers have liked this narrative
TR
tripledubon GQG Partners·2 days ago
The Cheap Genius Problem
RecentlyUpdated Narratives
Conrad_Egusaon Grupo Cibest·about 5 hours ago
Why Bancolombia’s undervaluation offers investment upside
Fair Value:Col$91.69k4.0% undervalued
1followerusers have followed this narrative
·0commentsusers have commented on this narrative
·0likesusers have liked this narrative
GE
GeraldBuffeton Logindo Samudramakmur·about 11 hours ago
LEAD: The Offshore Recovery Opportunity
Ontologicalon Lotus Technology·about 15 hours ago
Lotus Tech, Finloop and FOMO Pay Collaborate to Explore Vehicle Tokenization
Popular Narratives
oscargarciaon NVIDIA·2 months ago
The company that went from selling GPUs to gamers to becoming the AI arms dealer of the 21st century.
CubanEroson Microsoft·about 1 month ago
A wonderful business at reasonable price.
KiwiInveston Amazon.com·3 months ago
