TDC INVESTOR ALERT: Bronstein, Gewirtz & Grossman LLC Announces that Teradata Corporation Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit

New York, New York--(Newsfile Corp. - August 12, 2024) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against Teradata Corporation ("Teradata" or "the Company") (NYSE: TDC) and certain of its officers.

Class Definition

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Teradata securities between February 13, 2023, and February 12, 2024, inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/TDC.

Case Details

Teradata and its subsidiaries provide a connected multicloud data platform for enterprise analytics, as stated in the Complaint. Historically, Teradata primarily dealt with the information technology departments of its customers. However, the Company broadened its business model and strategic objectives, leading to increased engagement with additional customer business units.

The Complaint indicates that the Company measures its progress in achieving its strategic objectives using certain financial and performance metrics. These include Total Annual Recurring Revenue (ARR)-the annual value of all recurring contracts at a given point in time including subscription, cloud, software upgrade rights, and maintenance. Public Cloud ARR, which is part of Total ARR, represents the annual value of all contracts related to public cloud implementations of its cloud data platform. Therefore, the Total ARR for a specific period significantly depends on the number of customer transactions the Company can close during that period.

On February 13, 2023, as stated in the Complaint, Teradata issued a press release reporting its Q4 and full year 2022 financial results. In providing an outlook for the full-year 2023, the press release stated that "Public cloud ARR is expected to increase in the range of 53% to 57% year-over-year" and "Total ARR is expected to increase in the range of 6% to 8% year-over-year."

The Complaint alleges that throughout the Class Period Teradata made materially false and misleading statements regarding the Company's business, operations, and compliance policies. Specifically, Teradata made false and/or misleading statements and/or failed to disclose that:

(1) under Teradata's expanded business model, which involved engagement with additional customer business units and decisionmakers, transactions with the Company's customers took longer to finalize;