Tempus AI (NASDAQ:TEM) Stock Price Down 4.6% – Here’s Why

Tempus AI, Inc. (NASDAQ:TEM) dropped 4.6% on Wednesday . The company traded as low as $46.61 and last traded at $46.5740. Approximately 3,476,246 shares traded hands during mid-day trading, a decline of 36% from the average daily volume of 5,460,660 shares. The stock had previously closed at $48.83.

Analyst Ratings Changes

TEM has been the subject of several research reports. Canaccord Genuity Group reduced their price objective on shares of Tempus AI from $95.00 to $80.00 and set a “buy” rating for the company in a research report on Monday, December 22nd. Needham & Company LLC reissued a “buy” rating and set a $75.00 target price on shares of Tempus AI in a research note on Wednesday, March 11th. Wall Street Zen cut shares of Tempus AI from a “hold” rating to a “sell” rating in a report on Saturday, February 28th. JPMorgan Chase & Co. reduced their target price on shares of Tempus AI from $80.00 to $60.00 and set a “neutral” rating for the company in a report on Wednesday, February 25th. Finally, BTIG Research decreased their price target on shares of Tempus AI from $105.00 to $90.00 and set a “buy” rating on the stock in a research report on Wednesday, February 25th. Eight equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, Tempus AI has a consensus rating of “Moderate Buy” and an average target price of $78.62.

Tempus AI Price Performance

The stock has a 50 day moving average of $56.58 and a two-hundred day moving average of $70.33. The company has a debt-to-equity ratio of 2.52, a quick ratio of 3.00 and a current ratio of 3.13. The stock has a market cap of $8.36 billion, a PE ratio of -33.16 and a beta of 5.29.

Insider Buying and Selling

In other news, CEO Eric P. Lefkofsky sold 166,250 shares of Tempus AI stock in a transaction that occurred on Wednesday, January 28th. The shares were sold at an average price of $65.56, for a total value of $10,899,350.00. Following the transaction, the chief executive officer directly owned 8,941,533 shares of the company’s stock, valued at $586,206,903.48. This trade represents a 1.83% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Erik Phelps sold 9,464 shares of the business’s stock in a transaction that occurred on Thursday, February 19th. The shares were sold at an average price of $59.43, for a total transaction of $562,445.52. Following the sale, the executive vice president owned 79,816 shares in the company, valued at $4,743,464.88. This represents a 10.60% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 402,591 shares of company stock valued at $24,868,936. Company insiders own 26.27% of the company’s stock.

Institutional Trading of Tempus AI

Several large investors have recently added to or reduced their stakes in the company. Cranbrook Wealth Management LLC purchased a new stake in shares of Tempus AI in the third quarter valued at $25,000. JPL Wealth Management LLC purchased a new position in shares of Tempus AI during the third quarter valued at $26,000. Los Angeles Capital Management LLC acquired a new position in Tempus AI during the fourth quarter valued at $27,000. GAMMA Investing LLC acquired a new position in Tempus AI during the third quarter valued at $28,000. Finally, Allworth Financial LP lifted its stake in Tempus AI by 5,000.0% in the 2nd quarter. Allworth Financial LP now owns 459 shares of the company’s stock worth $29,000 after acquiring an additional 450 shares in the last quarter. 24.22% of the stock is owned by institutional investors and hedge funds.

About Tempus AI

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.