Sumitomo Mitsui Trust Group Inc. Decreases Stock Position in Tempus AI, Inc. $TEM

Key Points

• Sumitomo Mitsui Trust Group Inc. has reduced its stake in Tempus AI, Inc. by 9.1%, now holding approximately 3.87 million shares valued at $245.9 million.
• Institutional investors have shown significant activity, with ARK Investment Management increasing its stake by 35.9% and Vanguard Group elevating its stake by an astounding 6,247.5% in the first quarter.
• Analysts' price targets for Tempus AI vary, with estimates ranging from $68.00 to $98.00, while the stock has a consensus rating of "Hold" and a current market price of around $89.23.

Sumitomo Mitsui Trust Group Inc. cut its position in Tempus AI, Inc. (NASDAQ:TEM - Free Report) by 9.1% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 3,869,941 shares of the company's stock after selling 385,536 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned 2.24% of Tempus AI worth $245,896,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds have also made changes to their positions in the company. ARK Investment Management LLC boosted its stake in shares of Tempus AI by 35.9% in the first quarter. ARK Investment Management LLC now owns 7,501,399 shares of the company's stock valued at $361,867,000 after purchasing an additional 1,981,755 shares during the period. Vanguard Group Inc. boosted its stake in shares of Tempus AI by 6,247.5% in the first quarter. Vanguard Group Inc. now owns 5,995,117 shares of the company's stock valued at $289,204,000 after purchasing an additional 5,900,668 shares during the period. Nikko Asset Management Americas Inc. boosted its stake in shares of Tempus AI by 31.5% in the first quarter. Nikko Asset Management Americas Inc. now owns 4,260,553 shares of the company's stock valued at $205,401,000 after purchasing an additional 1,021,460 shares during the period. CloudAlpha Capital Management Limited Hong Kong acquired a new stake in Tempus AI in the first quarter valued at $34,119,000. Finally, Massachusetts Financial Services Co. MA raised its holdings in Tempus AI by 92.6% in the first quarter. Massachusetts Financial Services Co. MA now owns 578,890 shares of the company's stock valued at $27,926,000 after acquiring an additional 278,311 shares in the last quarter. 24.22% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several analysts recently issued reports on the stock. BTIG Research upped their price target on shares of Tempus AI from $85.00 to $96.00 and gave the company a "buy" rating in a report on Wednesday. Morgan Stanley upped their price target on shares of Tempus AI from $65.00 to $68.00 and gave the company an "overweight" rating in a report on Tuesday, August 12th. HC Wainwright increased their target price on shares of Tempus AI from $90.00 to $98.00 and gave the stock a "buy" rating in a report on Friday, September 12th. Weiss Ratings reissued a "sell (d-)" rating on shares of Tempus AI in a report on Wednesday, October 8th. Finally, Needham & Company LLC reissued a "buy" rating and set a $70.00 target price on shares of Tempus AI in a report on Friday, August 8th. Seven equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $79.38.

Tempus AI Stock Performance

Shares of TEM opened at $89.23 on Friday. The firm has a 50-day moving average price of $84.20 and a 200 day moving average price of $67.67. The firm has a market capitalization of $15.50 billion, a PE ratio of -74.98 and a beta of 4.87. The company has a quick ratio of 1.43, a current ratio of 1.54 and a debt-to-equity ratio of 2.58. Tempus AI, Inc. has a 52-week low of $31.36 and a 52-week high of $104.32.

Tempus AI (NASDAQ:TEM - Get Free Report) last announced its earnings results on Friday, August 8th. The company reported ($0.22) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.23) by $0.01. Tempus AI had a negative net margin of 20.98% and a negative return on equity of 122.86%. The firm had revenue of $314.64 million during the quarter, compared to analyst estimates of $296.84 million. During the same quarter in the prior year, the firm posted ($6.86) EPS. Tempus AI's revenue was up 89.5% compared to the same quarter last year. Tempus AI has set its FY 2025 guidance at EPS. On average, sell-side analysts anticipate that Tempus AI, Inc. will post -6.15 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Eric P. Lefkofsky sold 332,500 shares of the firm's stock in a transaction that occurred on Thursday, September 25th. The shares were sold at an average price of $76.56, for a total transaction of $25,456,200.00. Following the transaction, the chief executive officer owned 9,141,032 shares of the company's stock, valued at approximately $699,837,409.92. This trade represents a 3.51% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Ryan M. Bartolucci sold 1,904 shares of the firm's stock in a transaction that occurred on Tuesday, August 19th. The shares were sold at an average price of $74.65, for a total transaction of $142,133.60. Following the transaction, the chief accounting officer directly owned 45,895 shares in the company, valued at approximately $3,426,061.75. The trade was a 3.98% decrease in their position. The disclosure for this sale can be found here. Insiders sold 933,662 shares of company stock valued at $68,070,993 over the last ninety days. Insiders own 26.27% of the company's stock.

Tempus AI Company Profile

Tempus AI Inc is a technology company advancing precision medicine through the practical application of artificial intelligence principally in healthcare. The company provides AI-enabled precision medicine solutions to physicians to deliver personalized patient care and in parallel facilitates discovery, development and delivery of optimal therapeutics.

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