Tempus AI (NASDAQ:TEM) Downgraded by Wall Street Zen to “Sell”

Wall Street Zen cut shares of Tempus AI (NASDAQ:TEM) from a hold rating to a sell rating in a research note released on Saturday.

A number of other research analysts have also recently commented on the stock. Mizuho began coverage on shares of Tempus AI in a report on Thursday, February 19th. They issued an “outperform” rating and a $100.00 price target on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Tempus AI in a research report on Thursday, January 22nd. Morgan Stanley raised their target price on shares of Tempus AI from $80.00 to $85.00 and gave the stock an “overweight” rating in a research report on Monday, December 1st. BTIG Research decreased their price target on shares of Tempus AI from $105.00 to $90.00 and set a “buy” rating for the company in a research note on Wednesday. Finally, Robert W. Baird assumed coverage on Tempus AI in a research note on Tuesday, February 17th. They issued an “outperform” rating and a $59.00 price objective on the stock. Eight investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $79.31.

Tempus AI Price Performance

TEM opened at $53.25 on Friday. The business has a fifty day moving average of $61.34 and a 200 day moving average of $73.33. The stock has a market cap of $9.47 billion, a P/E ratio of -37.77 and a beta of 5.22. The company has a quick ratio of 3.12, a current ratio of 3.13 and a debt-to-equity ratio of 2.52. Tempus AI has a 52-week low of $36.22 and a 52-week high of $104.32.

Insider Activity at Tempus AI

In other news, CEO Ryan Fukushima sold 9,592 shares of Tempus AI stock in a transaction on Thursday, February 19th. The stock was sold at an average price of $59.05, for a total value of $566,407.60. Following the transaction, the chief executive officer directly owned 694,354 shares in the company, valued at approximately $41,001,603.70. This trade represents a 1.36% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, EVP Erik Phelps sold 9,464 shares of the business’s stock in a transaction on Thursday, February 19th. The stock was sold at an average price of $59.43, for a total value of $562,445.52. Following the completion of the transaction, the executive vice president directly owned 79,816 shares of the company’s stock, valued at approximately $4,743,464.88. The trade was a 10.60% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 596,035 shares of company stock valued at $37,505,125 over the last quarter. 26.27% of the stock is owned by insiders.

Hedge Funds Weigh In On Tempus AI

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its position in shares of Tempus AI by 8.7% during the fourth quarter. Vanguard Group Inc. now owns 10,258,621 shares of the company’s stock valued at $605,772,000 after buying an additional 817,014 shares during the last quarter. ARK Investment Management LLC raised its stake in shares of Tempus AI by 5.3% during the 4th quarter. ARK Investment Management LLC now owns 7,557,583 shares of the company’s stock worth $446,275,000 after acquiring an additional 381,816 shares in the last quarter. GC Wealth Management RIA LLC purchased a new stake in Tempus AI during the fourth quarter valued at approximately $399,267,000. Sumitomo Mitsui Trust Group Inc. lifted its position in Tempus AI by 1.2% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 3,504,823 shares of the company’s stock valued at $206,960,000 after acquiring an additional 41,728 shares during the last quarter. Finally, Amova Asset Management Americas Inc. boosted its stake in Tempus AI by 1.2% in the fourth quarter. Amova Asset Management Americas Inc. now owns 3,504,823 shares of the company’s stock valued at $206,960,000 after acquiring an additional 41,728 shares in the last quarter. Hedge funds and other institutional investors own 24.22% of the company’s stock.

Key Tempus AI News

Here are the key news stories impacting Tempus AI this week:

• Positive Sentiment: Beat-and-raise fundamentals — Tempus reported robust Q4 and full‑year 2025 results (strong revenue growth, narrower net loss, positive adjusted EBITDA progression) and issued 2026 guidance that targets revenue growth and a first full‑year adjusted EBITDA inflection, supporting a fundamental recovery case. Why Tempus AI (TEM) Is Down 7.5% After 2025 Results
• Positive Sentiment: Product & commercial catalysts — Launch of an HRD‑RNA oncology algorithm and a partnership with Median Technologies to expand lung cancer screening distribution broaden Tempus’s diagnostic pipeline and addressable market if adoption scales. Tempus AI Deepens Precision Oncology Role With New HRD And Lung Tools
• Positive Sentiment: Institutional support and rebound narrative — Several outlets highlight heavy institutional buying, improving unit economics and analyst upside scenarios, which could limit downside and set up a technical rebound if execution continues. Tempus AI Sold Off After a Beat—But the Rebound Case Is Building
• Neutral Sentiment: Investor event calendar — Management will present at the Morgan Stanley TMT conference (March 3); the fireside chat could provide additional color but is not a guaranteed catalyst. Tempus to Participate in the Morgan Stanley Technology, Media & Telecom Conference
• Neutral Sentiment: Valuation updates — Some fair‑value and price‑target revisions trimmed upside modestly; analysts still show a range of bullish and cautious views, leaving the story sensitive to near‑term execution. How The Tempus AI (TEM) Investment Story Is Evolving With New Data And Valuation Views
• Negative Sentiment: Analyst downgrades and price‑target cuts — Recent analyst actions (including a notable downgrade reported 2/27 and several target cuts in the prior 24 hours) have intensified selling pressure and weakened sentiment despite the beat. Tempus AI (NASDAQ:TEM) Shares Down 7.4% After Analyst Downgrade
• Negative Sentiment: ESOP shelf registration and dilution risk — Tempus filed a US$343.38M ESOP‑related shelf registration; potential future share issuance tied to employee plans can pressure the stock if investors fear dilution. Why Tempus AI (TEM) Is Down 7.5% After 2025 Results
• Negative Sentiment: Execution, debt and market risk — High leverage, a volatile post‑IPO trading history, elevated beta and lingering execution/valuation concerns make the stock susceptible to outsized moves on negative headlines. Is It Time To Reassess Tempus AI (TEM) After Recent Share Price Weakness?

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.