Oppenheimer Reports Upbeat Meeting With Teradata Management

Recently following an upbeat meeting with Teradata TDC management and recent M&A activity, Oppenheimer is raising it's price target to $41 from $38 and remain constructive on the stock. Despite a lackluster worldwide economic rebound, Oppenheimer believes demand for TDC's products remains solid and feel the company is well positioned to deliver a strong 2H FY10, as it benefits from accelerating customer demand for data warehousing solutions, a broadening product portfolio and a growing salesforce. Given recent strong results from ORCL & NZ, Oppenheimer believes Terdata is on track to deliver a solid quarter, at least meeting the 3Q EPS est of $0.39 on rev of $458.1M, and should provide an upbeat 4Q outlook. While ORCL has been very aggressive in the marketplace and vocal about its success in the space, Oppenheimer believe TDC continues to more than hold its own in unbiased competitive situations. Oppenheimer has an Outperform rating on Teradata with a $41 price target TDC closed Monday at $37.05