Tempus AI (NASDAQ:TEM) Price Target Cut to $70.00 by Analysts at BTIG Research

Key Points

• BTIG Research lowered Tempus AI’s price target to $70 from $80 while maintaining a “buy” rating, implying about 49.6% upside from the stock’s $46.78 price.
• Analyst sentiment is mixed: nine analysts rate the stock a Buy, six Hold and two Sell, resulting in a consensus “Hold” rating and an average price target of $66.77.
• Tempus AI reported better-than-expected quarterly results, with an adjusted loss of $0.04 per share and revenue of $382.49 million, up 21.6% year over year; however, insiders have sold roughly $33.8 million of stock over the past 90 days.

Tempus AI (NASDAQ:TEM - Get Free Report) had its price target reduced by analysts at BTIG Research from $80.00 to $70.00 in a research report issued on Monday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. BTIG Research's target price would indicate a potential upside of 49.64% from the company's current price.

Other research analysts have also issued reports about the company. HC Wainwright decreased their price objective on Tempus AI from $64.00 to $56.00 and set a "buy" rating on the stock in a report on Monday. Lake Street Capital cut Tempus AI to a "hold" rating in a report on Monday, July 20th. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Tempus AI in a research report on Wednesday, June 17th. Stifel Nicolaus reduced 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 report on Monday. Finally, Jefferies Financial Group began coverage on Tempus AI in a report on Monday, April 13th. They issued an "underperform" rating and a $35.00 target price on the stock. Nine analysts have rated the stock with a Buy rating, six have given a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, Tempus AI currently has a consensus rating of "Hold" and a consensus price target of $66.77.

Tempus AI Stock Performance

Shares of TEM traded up $2.91 during midday trading on Monday, reaching $46.78. The stock had a trading volume of 3,460,338 shares, compared to its average volume of 5,875,114. 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 firm has a 50 day simple moving average of $51.40 and a 200-day simple moving average of $52.59. The firm has a market cap of $8.40 billion, a PE ratio of -32.47 and a beta of 3.58. Tempus AI has a one year low of $40.77 and a one year high of $104.32.

Tempus AI (NASDAQ:TEM - Get Free Report) last issued its earnings results on Thursday, July 30th. The company reported ($0.04) EPS for the quarter, topping the consensus estimate of ($0.14) by $0.10. Tempus AI had a negative return on equity of 50.28% and a negative net margin of 17.77%.The company had revenue of $382.49 million during the quarter, compared to the consensus estimate of $379.69 million. During the same period in the previous year, the company posted ($0.22) EPS. The firm's revenue for the quarter was up 21.6% compared to the same quarter last year. As a group, sell-side analysts anticipate that Tempus AI will post -1.35 EPS for the current year.

Insider Activity at Tempus AI

In other news, Director Jennifer A. Doudna sold 2,673 shares of Tempus AI stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $55.00, for a total transaction of $147,015.00. Following the sale, the director directly owned 25,942 shares of the company's stock, valued at approximately $1,426,810. This trade represents a 9.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Ryan Fukushima sold 33,284 shares of the company's stock in a transaction that occurred on Wednesday, July 8th. The shares were sold at an average price of $57.39, for a total value of $1,910,168.76. Following the completion of the transaction, the chief executive officer directly owned 167,763 shares of the company's stock, valued at $9,627,918.57. This represents a 16.56% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 699,793 shares of company stock worth $33,763,231 over the last 90 days. 24.26% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Tempus AI

A number of hedge funds have recently modified their holdings of TEM. Aberdeen Group plc raised its position in shares of Tempus AI by 64.2% during the fourth quarter. Aberdeen Group plc now owns 263,004 shares of the company's stock worth $15,530,000 after acquiring an additional 102,878 shares during the last quarter. Pictet Asset Management Holding SA increased its position in Tempus AI by 291.3% during the 4th quarter. Pictet Asset Management Holding SA now owns 48,488 shares of the company's stock valued at $2,948,000 after purchasing an additional 36,096 shares during the period. Bogart Wealth LLC lifted its position in shares of Tempus AI by 365,087.5% in the 4th quarter. Bogart Wealth LLC now owns 58,430 shares of the company's stock worth $3,450,000 after purchasing an additional 58,414 shares during the period. Eagle Health Investments LP acquired a new position in shares of Tempus AI in the 1st quarter worth approximately $11,588,000. Finally, Alethea Capital Management LLC bought a new stake in shares of Tempus AI in the 4th quarter valued at $1,863,000. Institutional investors and hedge funds 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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