On January 19, 2023, 8:44 p.m., Teradata is trading at USD 32.88 on the New York Stock Exchange. The company is listed under “System Software”.
To evaluate this course, we put Teradata through a multi-stage analysis process. This results in assessments as to whether Teradata should be classified as “buy”, “hold” or “sell”. A final consolidation of these assessments results in the overall assessment.
1. Fundamental: The most important indicator for fundamental analysis is the price/earnings (P/E) ratio. Based on this, Teradata, with a value of 37.26, is significantly cheaper than the average in the “Software” sector and is therefore undervalued. The industry P/E is 144.06, which calculates a gap of 74 percent. Therefore, we classify the title as a “Buy” recommendation.
2. Analyst rating: In the past 12 months, analysts gave the Teradata 4 buy ratings, 1 hold rating and 1 sell rating. In the long term, the stock will therefore receive a “buy” rating from the institutional side. There are no analyst updates on Teradata from the last month. Finally, the analysts are also concerned with the current price of $32.88. On this basis, they expect a development of 63.22 percent and generate a middle target price of USD 53.67. We regard this development as a “buy” view. In this respect, the overall rating by institutional analysts is “Buy”.
3. Relative Strength Index: The Relative Strength Index (RSI) is a well-known means of technical analysis to assess whether a security is currently “overbought” or “oversold”. This sets price movements in relation to time. We consider the 7-day and 25-day RSI for Teradata. Let’s start with the 7-day RSI, which is currently 67.26 points. This means that Teradata is neither overbought nor oversold at the moment. The stock is therefore classified as “Hold”. What about the 25-day RSI? Here, too, Teradata is neither overbought nor oversold (value: 54.22), so the stock also receives a “hold” rating for the RSI25. The bottom line is that Teradata is rated “Hold” for this point of our analysis.
Buy, hold or sell – your Teradata analysis dated 22.01. gives the answer:
How will Teradata evolve now? Is an entry worthwhile or should investors rather sell? Find out the answers to these questions and why you need to act now in the latest Teradata analysis.
