Guggenheim Has Lowered Expectations for Tempus AI (NASDAQ:TEM) Stock Price

Key Points

• Guggenheim cut its price objective on Tempus AI from $95 to $60 but kept a "buy" rating; other analysts have trimmed targets as well and the consensus is a Moderate Buy with a $75.92 price target.
• Shares traded around $42.84, well below the 52‑week high of $104.32, with a $7.66B market cap, a negative P/E (-30.12) and a high beta (5.29), pointing to elevated volatility.
• Insider selling has accelerated: the CEO and EVP sold shares in February and insiders disposed of 568,841 shares (~$32.6M) in the past three months, though insiders still own 26.27% of the stock.

Tempus AI (NASDAQ:TEM - Get Free Report) had its price objective dropped by stock analysts at Guggenheim from $95.00 to $60.00 in a research report issued on Monday,Benzinga reports. The firm presently has a "buy" rating on the stock. Guggenheim's price target points to a potential upside of 40.05% from the company's previous close.

Several other brokerages have also issued reports on TEM. BTIG Research cut their target price on shares of Tempus AI from $105.00 to $90.00 and set a "buy" rating for the company in a research report on Wednesday, February 25th. Canaccord Genuity Group dropped their price target on shares of Tempus AI from $95.00 to $80.00 and set a "buy" rating on the stock in a research note on Monday, December 22nd. JPMorgan Chase & Co. cut their price objective on shares of Tempus AI from $80.00 to $60.00 and set a "neutral" rating for the company in a research report on Wednesday, February 25th. Wall Street Zen lowered Tempus AI from a "hold" rating to a "sell" rating in a research note on Saturday, February 28th. Finally, HC Wainwright raised their target price on Tempus AI from $89.00 to $95.00 and gave the stock a "buy" rating in a report on Monday, March 9th. Eight investment analysts have rated the stock with a Buy rating, four have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $75.92.

Tempus AI Stock Performance

Shares of NASDAQ TEM traded up $0.22 during midday trading on Monday, hitting $42.84. 1,532,425 shares of the company's stock traded hands, compared to its average volume of 5,418,551. Tempus AI has a 1 year low of $36.22 and a 1 year high of $104.32. The stock has a market capitalization of $7.66 billion, a price-to-earnings ratio of -30.12 and a beta of 5.29. The company has a debt-to-equity ratio of 2.52, a quick ratio of 3.00 and a current ratio of 3.13. The firm has a fifty day moving average of $55.11 and a 200 day moving average of $69.59.

Insider Activity

In related news, CEO Ryan Fukushima sold 9,592 shares of Tempus AI stock in a transaction that occurred on Thursday, February 19th. The stock was sold at an average price of $59.05, for a total transaction of $566,407.60. Following the sale, the chief executive officer owned 694,354 shares of the company's stock, valued at approximately $41,001,603.70. This trade represents a 1.36% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Andrew Polovin sold 10,949 shares of the business's stock in a transaction that occurred on Friday, February 20th. The stock was sold at an average price of $60.31, for a total value of $660,334.19. Following the completion of the transaction, the executive vice president directly owned 126,918 shares in the company, valued at approximately $7,654,424.58. This represents a 7.94% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 568,841 shares of company stock valued at $32,579,611 in the last three months. 26.27% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Tempus AI

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Cranbrook Wealth Management LLC bought a new stake in Tempus AI in the 3rd quarter valued at $25,000. JPL Wealth Management LLC purchased a new stake in Tempus AI in the 3rd quarter worth $26,000. Los Angeles Capital Management LLC bought a new position in shares of Tempus AI during the 4th quarter valued at about $27,000. GAMMA Investing LLC bought a new position in shares of Tempus AI during the 3rd quarter valued at about $28,000. Finally, Harvest Fund Management Co. Ltd purchased a new position in shares of Tempus AI during the third quarter valued at about $38,000. Institutional investors 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.

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