Tempus AI (NASDAQ:TEM) Stock Price Up 2.7% - Here's Why

Tempus AI, Inc. (NASDAQ:TEM - Get Free Report)'s stock price shot up 2.7% during mid-day trading on Friday . The company traded as high as $56.35 and last traded at $55.90. 5,162,895 shares were traded during mid-day trading, a decline of 22% from the average session volume of 6,643,466 shares. The stock had previously closed at $54.43.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on TEM. Piper Sandler boosted their price objective on 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 boosted their price objective on Tempus AI from $60.00 to $65.00 and gave the company an "overweight" rating in a research note on Friday, May 9th. Guggenheim reaffirmed a "buy" rating on shares of Tempus AI in a research report on Tuesday, February 25th. Wolfe Research downgraded Tempus AI from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, February 26th. Finally, Needham & Company LLC reaffirmed a "buy" rating and set a $70.00 price target on shares of Tempus AI in a research note on Wednesday, May 7th. Six equities research 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, 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 current ratio of 2.69, a quick ratio of 2.55 and a debt-to-equity ratio of 8.17. The business has a fifty day simple moving average of $52.07 and a 200 day simple moving average of $51.90. The stock has a market capitalization of $9.40 billion and a P/E ratio of -7.00.

Tempus AI (NASDAQ:TEM - Get Free Report) last released its 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 the consensus estimate of $248.13 million. The firm's revenue was up 75.4% compared to the same quarter last year. On average, analysts expect that Tempus AI, Inc. will post -6.15 earnings per share for the current year.

Insider Activity

In related news, EVP Andrew Polovin sold 17,552 shares of the company's stock in a transaction that occurred on Tuesday, May 20th. The stock was sold at an average price of $63.43, for a total value of $1,113,323.36. Following the transaction, the executive vice president now owns 138,877 shares in the company, valued at approximately $8,808,968.11. This represents a 11.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director David R. Epstein sold 990 shares of the company's stock in a transaction that occurred on Monday, March 17th. The shares were sold at an average price of $46.83, for a total value of $46,361.70. Following the completion of the transaction, the director now owns 26,284 shares in the company, valued at approximately $1,230,879.72. The trade was a 3.63% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 723,042 shares of company stock valued at $37,642,690 over the last three months. Corporate insiders own 27.60% of the company's stock.

Hedge Funds Weigh In On Tempus AI

Several institutional investors have recently bought and sold shares of TEM. ARK Investment Management LLC lifted its position in shares of Tempus AI by 35.9% during the first quarter. ARK Investment Management LLC now owns 7,501,399 shares of the company's stock worth $361,867,000 after acquiring an additional 1,981,755 shares in the last quarter. Vanguard Group Inc. lifted its position in shares of Tempus AI by 6,247.5% during the first quarter. Vanguard Group Inc. now owns 5,995,117 shares of the company's stock worth $289,204,000 after acquiring an additional 5,900,668 shares in the last quarter. Nikko Asset Management Americas Inc. lifted its position in shares of Tempus AI by 31.5% during the first quarter. Nikko Asset Management Americas Inc. now owns 4,260,553 shares of the company's stock worth $205,401,000 after acquiring an additional 1,021,460 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. lifted its position in shares of 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 acquiring an additional 1,016,384 shares in the last quarter. Finally, Franklin Resources Inc. lifted its position 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 acquiring an additional 1,950,862 shares in the last quarter. 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.