Tempus AI (NASDAQ:TEM) Stock Price Up 3.1% - Here's Why

Shares of Tempus AI, Inc. (NASDAQ:TEM - Get Free Report) rose 3.1% on Tuesday . The company traded as high as $68.81 and last traded at $67.70. Approximately 3,230,482 shares were traded during trading, a decline of 54% from the average daily volume of 7,093,864 shares. The stock had previously closed at $65.65.

Wall Street Analyst Weigh In

Several research firms recently issued reports on TEM. JPMorgan Chase & Co. cut shares of Tempus AI from an "overweight" rating to a "neutral" rating and upped their price target for the company from $50.00 to $55.00 in a report on Tuesday, February 25th. Piper Sandler upped their target price on shares of Tempus AI from $55.00 to $70.00 and gave the company a "neutral" rating in a research note on Thursday, May 15th. Morgan Stanley lifted their price target on Tempus AI from $60.00 to $65.00 and gave the stock an "overweight" rating in a research note on Friday, May 9th. Needham & Company LLC restated a "buy" rating and set a $70.00 price objective on shares of Tempus AI in a research note on Wednesday, May 7th. Finally, BTIG Research assumed coverage on Tempus AI in a research report on Monday, April 21st. They issued a "buy" rating and a $60.00 target price for the company. Six research analysts have rated the stock with a hold rating and seven have issued a buy rating to the stock. According to data from MarketBeat, Tempus AI has an average rating of "Moderate Buy" and a consensus price target of $63.42.

Tempus AI Price 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 capitalization of $11.82 billion and a price-to-earnings ratio of -8.75. The business's 50 day simple moving average is $59.69 and its 200-day simple moving average is $52.92.

Tempus AI (NASDAQ:TEM - Get Free Report) last posted its earnings results on Tuesday, May 6th. The company reported ($0.24) EPS for the quarter, beating the consensus estimate of ($0.27) by $0.03. Tempus AI had a negative return on equity of 533.21% and a negative net margin of 88.27%. The firm had revenue of $255.74 million for the quarter, compared to analysts' expectations of $248.13 million. Tempus AI's quarterly revenue was up 75.4% on a year-over-year basis. Research analysts anticipate that Tempus AI, Inc. will post -6.15 earnings per share for the current year.

Insider Activity at Tempus AI

In other news, Director Wayne A.I. Frederick sold 3,000 shares of the firm's stock in a transaction on Monday, March 31st. The stock was sold at an average price of $45.54, for a total transaction of $136,620.00. Following the completion of the sale, the director now directly owns 26,514 shares of the company's stock, valued at $1,207,447.56. This trade represents a 10.16% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Eric P. Lefkofsky sold 250,000 shares of the company's stock in a transaction on Tuesday, June 17th. The shares were sold at an average price of $70.07, for a total value of $17,517,500.00. Following the sale, the chief executive officer now directly owns 9,357,283 shares of the company's stock, valued at approximately $655,664,819.81. This represents a 2.60% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 609,897 shares of company stock worth $41,397,783 in the last 90 days. Corporate insiders own 27.60% of the company's stock.

Hedge Funds Weigh In On Tempus AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its position in Tempus AI by 6,247.5% during the first quarter. Vanguard Group Inc. now owns 5,995,117 shares of the company's stock valued at $289,204,000 after buying an additional 5,900,668 shares during the period. ARK Investment Management LLC lifted its position in shares of Tempus AI by 132.1% in the fourth quarter. ARK Investment Management LLC now owns 5,519,644 shares of the company's stock worth $186,343,000 after purchasing an additional 3,141,487 shares in the last quarter. Nikko Asset Management Americas Inc. lifted its position in shares of Tempus AI by 166.0% in the fourth quarter. Nikko Asset Management Americas Inc. now owns 3,239,093 shares of the company's stock worth $109,352,000 after purchasing an additional 2,021,394 shares in the last quarter. Franklin Resources Inc. boosted its holdings in shares of Tempus AI by 240.5% during the fourth quarter. Franklin Resources Inc. now owns 2,762,173 shares of the company's stock worth $93,251,000 after purchasing an additional 1,950,862 shares during the period. Finally, JPMorgan Chase & Co. grew its position in Tempus AI by 86,947.2% during the fourth quarter. JPMorgan Chase & Co. now owns 1,653,896 shares of the company's stock valued at $55,836,000 after purchasing an additional 1,651,996 shares in the last quarter. 24.22% of the stock is currently owned by hedge funds and other institutional investors.

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.