- Teradata has attractive valuation with low risk of permanent capital loss.
- The company has a moat surrounding its business due to high customer switching costs.
- There is no indication that Teradata's business is being disrupted by distributed technologies such as Hadoop or No-SQL.
- Teradata generates prodigious amount of free cash, which it is returning to shareholders via aggressive buybacks.
- Prominent value investor and insider buys indicate the stock is undervalued.