Tempus AI (NASDAQ:TEM) Trading Down 1.6% - Should You Sell?

Tempus AI, Inc. (NASDAQ:TEM - Get Free Report) dropped 1.6% during trading on Tuesday . The stock traded as low as $68.92 and last traded at $70.85. Approximately 3,358,029 shares traded hands during mid-day trading, a decline of 52% from the average daily volume of 7,004,383 shares. The stock had previously closed at $72.00.

Wall Street Analysts Forecast Growth

Several equities analysts have issued reports on TEM shares. Needham & Company LLC restated a "buy" rating and set a $70.00 target price on shares of Tempus AI in a research note on Wednesday, May 7th. William Blair reissued a "market perform" rating on shares of Tempus AI in a report on Tuesday, February 25th. Guggenheim restated a "buy" rating on shares of Tempus AI in a report on Tuesday, February 25th. Bank of America boosted their target price on shares of Tempus AI from $48.00 to $68.00 and gave the company a "neutral" rating in a research note on Tuesday, May 20th. Finally, JPMorgan Chase & Co. cut Tempus AI from an "overweight" rating to a "neutral" rating and increased their price target for the company from $50.00 to $55.00 in a report on Tuesday, February 25th. Six analysts have rated the stock with a hold rating and seven have given a buy rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $63.42.

Tempus AI Stock Performance

The company has a debt-to-equity ratio of 2.45, a quick ratio of 1.56 and a current ratio of 1.71. The stock has a market cap of $12.14 billion and a P/E ratio of -8.99. The business's 50-day moving average price is $57.12 and its 200-day moving average price is $52.50.

Tempus AI (NASDAQ:TEM - Get Free Report) last released its quarterly earnings results on Tuesday, May 6th. The company reported ($0.24) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.27) by $0.03. The business had revenue of $255.74 million during the quarter, compared to analyst estimates of $248.13 million. Tempus AI had a negative return on equity of 533.21% and a negative net margin of 88.27%. The company's quarterly revenue was up 75.4% compared to the same quarter last year. As a group, sell-side analysts expect that Tempus AI, Inc. will post -6.15 earnings per share for the current fiscal year.

Insider Activity at Tempus AI

In related news, CAO Ryan M. Bartolucci sold 6,073 shares of Tempus AI stock in a transaction on Tuesday, May 20th. The shares were sold at an average price of $63.23, for a total transaction of $383,995.79. Following the transaction, the chief accounting officer now owns 47,799 shares in the company, valued at approximately $3,022,330.77. The trade was a 11.27% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Wayne A.I. Frederick sold 3,000 shares of the stock in a transaction on Monday, March 31st. The stock was sold at an average price of $45.54, for a total value of $136,620.00. Following the completion of the sale, the director now owns 26,514 shares of the company's stock, valued at $1,207,447.56. The trade was a 10.16% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 308,580 shares of company stock worth $20,156,721. 27.60% of the stock is owned by company insiders.

Institutional Trading of Tempus AI

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Operose Advisors LLC bought a new position in Tempus AI in the 4th quarter worth approximately $25,000. Cherry Tree Wealth Management LLC bought a new position in shares of Tempus AI during the first quarter worth $31,000. University of Texas Texas AM Investment Management Co. bought a new position in shares of Tempus AI during the first quarter worth $33,000. Farther Finance Advisors LLC purchased a new position in Tempus AI during the fourth quarter valued at $34,000. Finally, Prestige Wealth Management Group LLC increased its holdings in Tempus AI by 910.4% in the 4th quarter. Prestige Wealth Management Group LLC now owns 1,071 shares of the company's stock valued at $36,000 after acquiring an additional 965 shares during the last quarter. Institutional investors own 24.22% of the company's stock.

Tempus AI Company Profile

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.