Tempus AI (NASDAQ:TEM) Shares Down 6.1% – Here’s Why

Shares of Tempus AI, Inc. (NASDAQ:TEM) traded down 6.1% on Thursday. The company traded as low as $77.30 and last traded at $76.8740. Approximately 3,388,758 shares traded hands during trading, a decline of 45% from the average session volume of 6,146,030 shares. The stock had previously closed at $81.90.

Wall Street Analysts Forecast Growth

Several equities analysts recently commented on the stock. UBS Group started coverage on shares of Tempus AI in a research report on Wednesday, September 9th. They issued a “neutral” rating and a $70.00 price objective for the company. Stifel Nicolaus cut their price target on shares of Tempus AI from $60.00 to $50.00 and set a “hold” rating on the stock in a research note on Monday, August 3rd. The Goldman Sachs Group started coverage on shares of Tempus AI in a report on Monday, September 21st. They issued a “neutral” rating and a $75.00 price target for the company. Cantor Fitzgerald initiated coverage on shares of Tempus AI in a research note on Wednesday, September 2nd. They set an “overweight” rating and a $80.00 price objective for the company. Finally, Rothschild & Co Redburn assumed coverage on shares of Tempus AI in a report on Tuesday, September 8th. They set a “neutral” rating and a $67.00 price objective on the stock. Eleven analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $71.05.

Tempus AI Stock Down 5.1%

The company has a current ratio of 3.30, a quick ratio of 3.16 and a debt-to-equity ratio of 3.06. The company has a market capitalization of $14.03 billion, a PE ratio of -53.98 and a beta of 3.72. The business’s 50-day simple moving average is $61.72 and its 200-day simple moving average is $54.55.

Tempus AI (NASDAQ:TEM) last announced its quarterly earnings data on Thursday, July 30th. The company reported ($0.04) EPS for the quarter, beating the consensus estimate of ($0.14) by $0.10. The business had revenue of $382.49 million during the quarter, compared to analysts’ expectations of $379.69 million. Tempus AI had a negative net margin of 17.77% and a negative return on equity of 50.28%. The business’s quarterly revenue was up 21.6% compared to the same quarter last year. During the same period in the previous year, the business posted ($0.22) EPS. As a group, equities research analysts anticipate that Tempus AI, Inc. will post -1.38 EPS for the current fiscal year.

Insider Buying and Selling

In other Tempus AI news, CEO Eric Lefkofsky sold 250,000 shares of the stock in a transaction dated Tuesday, September 22nd. The stock was sold at an average price of $77.47, for a total transaction of $19,367,500.00. Following the sale, the chief executive officer directly owned 100,000 shares of the company’s stock, valued at approximately $7,747,000. This trade represents a 71.43% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Nadja West sold 3,000 shares of Tempus AI stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $69.00, for a total value of $207,000.00. Following the transaction, the director owned 31,981 shares of the company’s stock, valued at $2,206,689. The trade was a 8.58% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 1,324,249 shares of company stock valued at $82,907,732 in the last 90 days. 24.26% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Tempus AI

Large investors have recently bought and sold shares of the business. Amova Asset Management Americas Inc. lifted its position in shares of Tempus AI by 1.2% during the 4th quarter. Amova Asset Management Americas Inc. now owns 3,504,823 shares of the company’s stock valued at $206,960,000 after buying an additional 41,728 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. lifted its holdings in Tempus AI by 23.4% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,326,313 shares of the company’s stock valued at $195,636,000 after purchasing an additional 821,490 shares in the last quarter. Geode Capital Management LLC grew its position in shares of Tempus AI by 8.2% in the fourth quarter. Geode Capital Management LLC now owns 1,870,510 shares of the company’s stock valued at $110,478,000 after purchasing an additional 141,680 shares during the period. Franklin Resources Inc. increased its stake in shares of Tempus AI by 27.9% during the fourth quarter. Franklin Resources Inc. now owns 1,861,782 shares of the company’s stock worth $109,938,000 after purchasing an additional 405,662 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of Tempus AI during the 4th quarter worth about $48,234,000. Institutional investors and hedge funds own 24.22% of the company’s stock.

Tempus AI Company Profile

Tempus AI, Inc is a technology company focused on applying artificial intelligence and data analytics to precision medicine. The company develops tools intended to help physicians make more informed treatment decisions by combining clinical information, molecular data and other health-related datasets.

Tempus provides genomic testing and diagnostic services, including sequencing and other molecular tests used primarily in oncology. Its platform also offers data and software solutions designed to support clinical research, pharmaceutical development, patient identification for clinical trials and the development of personalized treatment strategies.

Founded in 2015, Tempus is headquartered in Chicago and primarily serves healthcare providers, researchers and life sciences companies.