UPDATE: RBC Capital Markets Downgrades Teradata on Deal Cycle Concerns

In a report published Thursday, RBC Capital Markets analyst Matthew Hedberg downgraded the rating on Teradata TDC from Outperform to Sector Perform, and lowered the price target from $55.00 to $41.00. In the report, RBC Capital Markets noted, “We are reducing our rating on shares of TDC to Sector Perform from Outperform on concerns that deal cycles could continue to elongate until a more robust CapEx cycle returns. Further, we believe IT shops may continue to ‘kick the tires' of lower cost data management tools such as Hadoop. We reduce our price target to $41.” Teradata closed on Wednesday at $40.06.