Tempus AI (NASDAQ:TEM) Trading Up 6.9% – Still a Buy?

Tempus AI, Inc. (NASDAQ:TEM) was up 6.9% on Thursday . The stock traded as high as $49.75 and last traded at $50.44. Approximately 1,259,494 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 5,533,104 shares. The stock had previously closed at $47.17.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on TEM shares. Morgan Stanley dropped their price objective on Tempus AI from $85.00 to $70.00 and set an “overweight” rating for the company in a research note on Tuesday, March 3rd. Mizuho started coverage on Tempus AI in a report on Thursday, February 19th. They set an “outperform” rating and a $100.00 target price on the stock. BTIG Research lowered their target price on Tempus AI from $90.00 to $80.00 and set a “buy” rating on the stock in a report on Friday, May 8th. Stifel Nicolaus set a $60.00 price objective on Tempus AI in a research note on Wednesday, February 25th. Finally, Robert W. Baird began coverage on Tempus AI in a research note on Tuesday, February 17th. They set an “outperform” rating and a $59.00 price objective on the stock. Nine equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $68.64.

Tempus AI Stock Up 9.4%

The firm’s 50 day moving average is $48.68 and its two-hundred day moving average is $58.39. The stock has a market cap of $9.27 billion, a price-to-earnings ratio of -30.00 and a beta of 3.99. The company has a current ratio of 3.31, a quick ratio of 3.15 and a debt-to-equity ratio of 2.96.

Tempus AI (NASDAQ:TEM) last announced its earnings results on Tuesday, May 5th. The company reported ($0.13) earnings per share for the quarter, beating the consensus estimate of ($0.21) by $0.08. The firm had revenue of $348.12 million during the quarter, compared to the consensus estimate of $345.44 million. Tempus AI had a negative net margin of 22.20% and a negative return on equity of 53.83%. The firm’s revenue for the quarter was up 36.1% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.24) EPS. On average, sell-side analysts predict that Tempus AI, Inc. will post -1.35 EPS for the current year.

Insiders Place Their Bets

In other news, CFO James William Rogers sold 10,853 shares of the company’s stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $44.07, for a total transaction of $478,291.71. Following the completion of the transaction, the chief financial officer owned 126,395 shares of the company’s stock, valued at $5,570,227.65. This represents a 7.91% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Ryan Fukushima sold 13,550 shares of the company’s stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $44.07, for a total transaction of $597,148.50. Following the transaction, the chief executive officer directly owned 603,558 shares of the company’s stock, valued at approximately $26,598,801.06. This represents a 2.20% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders have sold 392,057 shares of company stock valued at $18,835,714. 24.26% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of TEM. JPL Wealth Management LLC acquired a new position in shares of Tempus AI during the 3rd quarter valued at about $26,000. Los Angeles Capital Management LLC acquired a new position in shares of Tempus AI during the 4th quarter valued at about $27,000. Harvest Fund Management Co. Ltd acquired a new position in shares of Tempus AI during the 3rd quarter valued at about $38,000. Whittier Trust Co. increased its stake in shares of Tempus AI by 190.0% during the 1st quarter. Whittier Trust Co. now owns 870 shares of the company’s stock valued at $41,000 after acquiring an additional 570 shares during the last quarter. Finally, Lodestone Wealth Management LLC acquired a new position in Tempus AI in the fourth quarter valued at $42,000. Institutional investors and hedge funds own 24.22% of the company’s stock.

Tempus AI Company Profile

Tempus is a technology-driven healthcare company that applies artificial intelligence and machine learning to clinical and molecular data in order to advance precision medicine. Its primary focus lies in oncology, where the company offers comprehensive genomic profiling, digital pathology services and data-driven insights to inform personalized cancer care. By integrating DNA and RNA sequencing with structured clinical information, Tempus enables clinicians and researchers to identify targeted treatment options for patients based on the genetic characteristics of their tumors.

The company’s core offering centers on a scalable, cloud-based analytics platform that aggregates vast amounts of molecular and clinical data.