Stock Traders Purchase High Volume of Call Options on Teradata (NYSE:TDC)

Teradata Corporation (NYSE:TDC) saw some unusual options trading on Wednesday. Stock investors bought 3,759 call options on the stock. This is an increase of 611% compared to the average volume of 529 call options.

Key Teradata News

Here are the key news stories impacting Teradata this week:

• Positive Sentiment: Q4 results beat and upbeat guidance: Teradata reported stronger-than-expected Q4 revenue and EPS, with rising cloud ARR and 2026 guidance that initially sparked a rally. Zacks: Teradata Q4 Earnings Beat
• Positive Sentiment: Analysts lifting targets: Citi raised its PT to $42 with a Buy, and Citizens JMP moved its PT to $49, signaling substantial upside from pre-rally levels. These raises supported the earlier surge. Benzinga: Citi PT Raise
• Positive Sentiment: Market interest and options flow: Unusually large call buying occurred around the print (multi-thousand contracts), indicating speculative/hedged bullish positioning ahead of/after earnings. Benzinga: Options Activity
• Neutral Sentiment: AI-led turnaround narrative: Coverage highlights Teradata as an AI infrastructure beneficiary after strong Q4, supporting a longer-term growth thesis but leaving near-term execution questions. Zacks: AI Infrastructure Picks
• Neutral Sentiment: Cooperation agreement / governance update: Teradata entered a cooperation agreement with investor Lynrock Lake for a board refresh — may improve governance but introduces short-term uncertainty. TipRanks: Governance Update
• Neutral Sentiment: Mixed analyst views on valuation: Some firms (e.g., TD Cowen) maintain Hold ratings, citing full valuation vs. improving AI/cloud trends — this tempers upside despite positive data. TipRanks: Hold Rating Commentary
• Negative Sentiment: Not all upgrades are unanimous — Barclays raised its PT but kept an Underweight stance, and some analysts voiced mixed sentiment after the Q4 pop, creating headwinds for further near-term gains. Benzinga: Barclays Underweight

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Brooklyn Investment Group purchased a new stake in shares of Teradata in the fourth quarter valued at about $294,000. Commonwealth Equity Services LLC acquired a new position in Teradata in the 4th quarter valued at about $240,000. Tocqueville Asset Management L.P. acquired a new position in Teradata in the 4th quarter valued at about $226,000. Dimensional Fund Advisors LP grew its stake in shares of Teradata by 0.3% in the 4th quarter. Dimensional Fund Advisors LP now owns 1,705,744 shares of the technology company’s stock valued at $51,925,000 after buying an additional 4,916 shares during the period. Finally, Steward Partners Investment Advisory LLC increased its holdings in shares of Teradata by 52.8% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 1,883 shares of the technology company’s stock worth $57,000 after buying an additional 651 shares during the last quarter. Institutional investors and hedge funds own 90.31% of the company’s stock.

Teradata Trading Down 11.8%

Shares of TDC opened at $33.41 on Friday. Teradata has a 52-week low of $18.43 and a 52-week high of $41.78. The stock has a market cap of $3.11 billion, a PE ratio of 24.93, a price-to-earnings-growth ratio of 4.79 and a beta of 0.61. The firm’s fifty day moving average is $30.23 and its two-hundred day moving average is $25.42. The company has a quick ratio of 0.89, a current ratio of 0.92 and a debt-to-equity ratio of 2.07.

Teradata (NYSE:TDC) last posted its quarterly earnings results on Tuesday, February 10th. The technology company reported $0.74 earnings per share for the quarter, topping the consensus estimate of $0.55 by $0.19. The firm had revenue of $421.00 million for the quarter, compared to the consensus estimate of $399.49 million. Teradata had a net margin of 7.82% and a return on equity of 81.80%. The company’s revenue for the quarter was up 2.9% on a year-over-year basis. During the same period last year, the firm posted $0.53 earnings per share. Teradata has set its Q1 2026 guidance at 0.750-0.790 EPS and its FY 2026 guidance at 2.550-2.650 EPS. Research analysts forecast that Teradata will post 1.31 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on TDC shares. Citizens Jmp increased their target price on Teradata from $42.00 to $49.00 and gave the company a “market outperform” rating in a research report on Wednesday. Morgan Stanley upped their price objective on shares of Teradata from $30.00 to $35.00 and gave the stock an “overweight” rating in a research report on Wednesday, December 17th. Citigroup lifted their target price on shares of Teradata from $35.00 to $42.00 and gave the company a “buy” rating in a research report on Thursday. Weiss Ratings reissued a “hold (c)” rating on shares of Teradata in a research note on Monday, December 29th. Finally, Wall Street Zen upgraded shares of Teradata from a “buy” rating to a “strong-buy” rating in a research report on Saturday, November 8th. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $35.73.

About Teradata

Teradata Corporation is a global provider of enterprise analytics and data management solutions designed to help organizations unlock value from their data assets. The company offers both cloud-based and on-premises platforms that support data warehousing, big data analytics, and machine learning. Through its flagship analytics ecosystem, Teradata enables businesses to integrate, analyze, and manage large volumes of structured and unstructured data at scale.

Central to Teradata’s product suite is the Teradata Vantage analytics platform, which unifies diverse data types across multiple environments—including public and private clouds—into a single, coherent architecture.