Truist Financial Corp Reduces Position in Tempus AI, Inc. $TEM

Key Points

• Truist Financial Corp has reduced its stake in Tempus AI, Inc. by 52% during the second quarter, holding 3,743 shares valued at approximately $238,000.
• Despite insider selling, several analysts, including Morgan Stanley and Bank of America, have raised their price targets for Tempus AI, indicating a generally positive outlook on the stock.
• Tempus AI reported a revenue increase of 89.5% year-over-year for the last quarter, achieving $314.64 million, while EPS was slightly better than expected at ($0.22).

Truist Financial Corp lessened its stake in shares of Tempus AI, Inc. (NASDAQ:TEM - Free Report) by 52.0% in the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 3,743 shares of the company's stock after selling 4,051 shares during the quarter. Truist Financial Corp's holdings in Tempus AI were worth $238,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in TEM. GAMMA Investing LLC purchased a new stake in Tempus AI in the first quarter worth $105,000. Rhumbline Advisers purchased a new stake in Tempus AI in the first quarter worth $116,000. SG Americas Securities LLC lifted its stake in Tempus AI by 56.6% in the first quarter. SG Americas Securities LLC now owns 17,279 shares of the company's stock worth $834,000 after acquiring an additional 6,247 shares during the period. Wealth Enhancement Advisory Services LLC purchased a new stake in Tempus AI in the first quarter worth $440,000. Finally, Janney Montgomery Scott LLC purchased a new stake in Tempus AI in the first quarter worth $416,000. Hedge funds and other institutional investors own 24.22% of the company's stock.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on TEM shares. Morgan Stanley raised their price target on Tempus AI from $65.00 to $68.00 and gave the stock an "overweight" rating in a research note on Tuesday, August 12th. Piper Sandler reaffirmed a "neutral" rating on shares of Tempus AI in a research note on Friday, August 8th. Bank of America raised their price objective on Tempus AI from $68.00 to $70.00 and gave the company a "neutral" rating in a research report on Wednesday, June 25th. Guggenheim upped their target price on shares of Tempus AI from $80.00 to $95.00 and gave the stock a "buy" rating in a research report on Friday, September 26th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $70.00 price target on shares of Tempus AI in a research note on Friday, August 8th. Seven equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, Tempus AI currently has an average rating of "Hold" and a consensus target price of $71.83.

Tempus AI Price Performance

NASDAQ TEM opened at $87.78 on Friday. Tempus AI, Inc. has a one year low of $31.36 and a one year high of $104.32. The stock has a 50-day moving average of $82.18 and a 200 day moving average of $66.12. The company has a market capitalization of $15.25 billion, a price-to-earnings ratio of -73.76 and a beta of 4.87. The company has a debt-to-equity ratio of 2.58, a quick ratio of 1.43 and a current ratio of 1.54.

Tempus AI (NASDAQ:TEM - Get Free Report) last released its quarterly earnings data on Friday, August 8th. The company reported ($0.22) EPS for the quarter, topping the consensus estimate of ($0.23) by $0.01. Tempus AI had a negative return on equity of 122.86% and a negative net margin of 20.98%.The company had revenue of $314.64 million during the quarter, compared to the consensus estimate of $296.84 million. During the same period last year, the company earned ($6.86) EPS. Tempus AI's revenue for the quarter was up 89.5% on a year-over-year basis. Tempus AI has set its FY 2025 guidance at EPS. On average, sell-side analysts forecast that Tempus AI, Inc. will post -6.15 EPS for the current year.

Insider Buying and Selling

In related news, EVP Erik Phelps sold 3,664 shares of Tempus AI stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $74.65, for a total value of $273,517.60. Following the completion of the sale, the executive vice president directly owned 94,115 shares in the company, valued at approximately $7,025,684.75. This trade represents a 3.75% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, COO Ryan Fukushima sold 5,000 shares of Tempus AI stock in a transaction dated Monday, October 6th. The stock was sold at an average price of $92.32, for a total value of $461,600.00. Following the completion of the sale, the chief operating officer owned 130,000 shares of the company's stock, valued at $12,001,600. The trade was a 3.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 933,662 shares of company stock worth $68,070,993 in the last three months. 26.27% of the stock is currently owned by company insiders.

About Tempus AI

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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