Tempus AI (NASDAQ:TEM) Price Target Cut to $80.00 by Analysts at BTIG Research

Key Points

• BTIG Research cut its price target on Tempus AI to $80 from $90 while keeping a buy rating, implying about 62.6% upside from the current share price.
• Other analysts have also turned more cautious, with several lowering targets; the stock now carries a Moderate Buy consensus and an average price target of $70.86.
• Tempus AI reported better-than-expected Q1 results, including EPS of -$0.13 versus estimates of -$0.21 and revenue of $348.1 million, up 36.1% year over year.

Tempus AI (NASDAQ:TEM - Get Free Report) had its price target dropped by research analysts at BTIG Research from $90.00 to $80.00 in a research note issued on Friday,Benzinga reports. The firm presently has a "buy" rating on the stock. BTIG Research's target price suggests a potential upside of 62.63% from the stock's current price.

Several other brokerages also recently issued reports on TEM. JPMorgan Chase & Co. lowered 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. Robert W. Baird began coverage on shares of Tempus AI in a research report on Tuesday, February 17th. They issued an "outperform" rating and a $59.00 price objective for the company. Guggenheim lowered their price objective on shares of Tempus AI from $95.00 to $60.00 and set a "buy" rating for the company in a research report on Monday, March 30th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Tempus AI in a research report on Thursday, January 22nd. Finally, Morgan Stanley lowered their price objective on shares of Tempus AI from $85.00 to $70.00 and set an "overweight" rating for the company in a research report on Tuesday, March 3rd. Nine investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $70.86.

Tempus AI Trading Down 0.6%

TEM traded down $0.28 on Friday, reaching $49.19. 8,929,378 shares of the company's stock were exchanged, compared to its average volume of 5,574,902. The company's 50 day moving average is $50.32 and its 200-day moving average is $62.37. The company has a market cap of $8.79 billion, a price-to-earnings ratio of -28.56 and a beta of 3.99. Tempus AI has a twelve month low of $41.73 and a twelve month high of $104.32. The company has a debt-to-equity ratio of 2.96, a quick ratio of 3.00 and a current ratio of 3.31.

Tempus AI (NASDAQ:TEM - Get Free Report) last posted its earnings results on Tuesday, May 5th. The company reported ($0.13) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.21) by $0.08. The firm had revenue of $348.12 million during the quarter, compared to the consensus estimate of $345.44 million. Tempus AI had a negative net margin of 22.20% and a negative return on equity of 53.83%. The company's revenue was up 36.1% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.24) EPS. Equities analysts predict that Tempus AI will post -1.39 earnings per share for the current year.

Insider Activity at Tempus AI

In other news, EVP Erik Phelps sold 9,464 shares of the stock in a transaction that occurred on Thursday, February 19th. The stock was sold at an average price of $59.43, for a total transaction of $562,445.52. Following the completion of the transaction, the executive vice president directly owned 79,816 shares in the company, valued at approximately $4,743,464.88. This represents a 10.60% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CEO Ryan Fukushima sold 9,592 shares of the stock in a transaction that occurred on Thursday, February 19th. The shares were sold at an average price of $59.05, for a total value of $566,407.60. Following the transaction, 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 ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 563,471 shares of company stock worth $29,837,342. 24.26% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Tempus AI

Several institutional investors and hedge funds have recently made changes to their positions in TEM. JPL Wealth Management LLC bought a new position in Tempus AI during the third quarter worth $26,000. Los Angeles Capital Management LLC bought a new position in Tempus AI during the fourth quarter worth $27,000. Harvest Fund Management Co. Ltd bought a new position in Tempus AI during the third quarter worth $38,000. Whittier Trust Co. lifted its stake in Tempus AI by 190.0% during the first quarter. Whittier Trust Co. now owns 870 shares of the company's stock worth $41,000 after purchasing an additional 570 shares during the last quarter. Finally, Lodestone Wealth Management LLC bought a new position in Tempus AI during the fourth quarter worth $42,000. 24.22% of the stock is currently owned by hedge funds and other institutional investors.

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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