Tempus AI (NASDAQ:TEM) Coverage Initiated at HC Wainwright

Key Points

• HC Wainwright has initiated coverage on Tempus AI (NASDAQ:TEM) with a "buy" rating and a price target of $90.00, indicating a potential upside of 18.64% from its previous close.
• Tempus AI recently reported quarterly earnings, achieving $314.64 million in revenue, surpassing analysts' expectations, with a year-over-year growth of 89.5%.
• Following insider sales, corporate insiders currently hold 26.27% of the company's stock, with significant transactions reported by both the CFO and CEO in the past month.

HC Wainwright initiated coverage on shares of Tempus AI (NASDAQ:TEM - Free Report) in a research note published on Tuesday, MarketBeat Ratings reports. The firm issued a buy rating and a $90.00 price target on the stock.

Other research analysts have also issued reports about the stock. Needham & Company LLC restated a "buy" rating and set a $70.00 target price on shares of Tempus AI in a research report on Friday, August 8th. BTIG Research upped their target price on shares of Tempus AI from $75.00 to $85.00 and gave the stock a "buy" rating in a research report on Wednesday, August 20th. Piper Sandler restated a "neutral" rating on shares of Tempus AI in a research report on Friday, August 8th. Guggenheim upped their target price on shares of Tempus AI from $65.00 to $75.00 and gave the stock a "buy" rating in a research report on Monday, June 30th. Finally, Morgan Stanley upped their target price on shares of Tempus AI from $65.00 to $68.00 and gave the stock an "overweight" rating in a research report on Tuesday, August 12th. Seven analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, Tempus AI currently has an average rating of "Moderate Buy" and a consensus price target of $69.50.

Tempus AI Stock Performance

Shares of Tempus AI stock traded down $2.05 on Tuesday, reaching $76.29. 6,988,835 shares of the stock were exchanged, compared to its average volume of 11,744,468. Tempus AI has a 1-year low of $31.36 and a 1-year high of $91.45. The company has a current ratio of 1.54, a quick ratio of 1.43 and a debt-to-equity ratio of 2.58. The business has a fifty day moving average price of $64.93 and a two-hundred day moving average price of $59.32. The firm has a market capitalization of $13.25 billion, a PE ratio of -64.11 and a beta of 5.08.

Tempus AI (NASDAQ:TEM - Get Free Report) last issued its quarterly earnings results on Friday, August 8th. The company reported ($0.22) earnings per share (EPS) for the quarter, topping 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 business had revenue of $314.64 million for the quarter, compared to analyst estimates of $296.84 million. During the same period in the previous year, the business posted ($6.86) earnings per share. The business's revenue was up 89.5% compared to the same quarter last year. Tempus AI has set its FY 2025 guidance at EPS. As a group, research analysts anticipate that Tempus AI will post -6.15 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Theodore Leonsis sold 205,847 shares of Tempus AI stock in a transaction that occurred on Wednesday, June 11th. The stock was sold at an average price of $67.66, for a total transaction of $13,927,608.02. Following the completion of the transaction, the director directly owned 15,511 shares in the company, valued at $1,049,474.26. The trade was a 92.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Eric P. Lefkofsky sold 332,500 shares of the company's stock in a transaction that occurred on Wednesday, August 27th. The shares were sold at an average price of $74.10, for a total transaction of $24,638,250.00. Following the transaction, the chief executive officer directly owned 9,207,533 shares in the company, valued at $682,278,195.30. The trade was a 3.49% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,108,951 shares of company stock worth $77,660,938. 26.27% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Tempus AI

Several institutional investors and hedge funds have recently modified their holdings of TEM. Pathway Capital Management LP purchased a new position in Tempus AI during the first quarter worth approximately $8,576,000. Wells Fargo & Company MN raised its stake in Tempus AI by 13.2% during the fourth quarter. Wells Fargo & Company MN now owns 2,384 shares of the company's stock worth $80,000 after purchasing an additional 278 shares during the period. SeaCrest Wealth Management LLC purchased a new position in Tempus AI during the first quarter worth approximately $535,000. Sumitomo Mitsui Trust Group Inc. raised its stake in Tempus AI by 31.4% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 4,255,477 shares of the company's stock worth $205,284,000 after purchasing an additional 1,016,384 shares during the period. Finally, Massachusetts Financial Services Co. MA raised its stake in Tempus AI by 92.6% during the first quarter. Massachusetts Financial Services Co. MA now owns 578,890 shares of the company's stock worth $27,926,000 after purchasing an additional 278,311 shares during the period. Hedge funds and other institutional investors own 24.22% of the company's stock.

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.