Tempus AI (NASDAQ:TEM) Stock Sees Heavy Call Option Buying

Tempus AI, Inc. (NASDAQ:TEM) saw unusually large options trading activity on Monday. Traders acquired 34,007 call options on the company. This represents an increase of 11% compared to the average daily volume of 30,644 call options.

Wall Street Analysts Forecast Growth

TEM has been the subject of a number of research analyst reports. Robert W. Baird raised their price target on Tempus AI from $85.00 to $92.00 and gave the stock an “outperform” rating in a research note on Tuesday. Canaccord Genuity Group boosted their price objective on shares of Tempus AI from $80.00 to $95.00 and gave the company a “buy” rating in a research report on Monday, October 12th. Cantor Fitzgerald boosted their price objective on shares of Tempus AI from $80.00 to $92.00 and gave the company an “overweight” rating in a research report on Tuesday. Rothschild & Co Redburn assumed coverage on shares of Tempus AI in a report on Tuesday, September 8th. They issued a “neutral” rating and a $67.00 price objective for the company. Finally, Stifel Nicolaus dropped their target price on shares of Tempus AI from $60.00 to $50.00 and set a “hold” rating for the company in a research report on Monday, August 3rd. Eleven analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $79.37.

Tempus AI Stock Up 3.7%

Shares of TEM stock traded up $2.89 during midday trading on Tuesday, reaching $81.37. 1,484,652 shares of the stock were exchanged, compared to its average volume of 6,215,141. Tempus AI has a 1 year low of $40.77 and a 1 year high of $89.09. The company’s 50 day moving average is $70.80 and its two-hundred day moving average is $57.12. The company has a current ratio of 3.30, a quick ratio of 3.16 and a debt-to-equity ratio of 3.06. The firm has a market cap of $14.68 billion, a PE ratio of -56.57 and a beta of 3.54.

Tempus AI (NASDAQ:TEM) last released its earnings results on Monday, November 2nd. The company reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of ($0.09) by $0.16. Tempus AI had a negative return on equity of 50.28% and a negative net margin of 17.77%. The company had revenue of $411.54 million during the quarter, compared to analysts’ expectations of $409.39 million. During the same quarter last year, the business posted ($0.46) EPS. The firm’s revenue for the quarter was up 23.1% compared to the same quarter last year. On average, equities research analysts predict that Tempus AI will post -1.45 EPS for the current year.

Key Headlines Impacting Tempus AI

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

• Positive Sentiment: Q3 earnings beat expectations: Tempus reported adjusted earnings of $0.07 per share, versus the expected loss of $0.09, while revenue rose 23.1% year over year to $411.54 million, slightly exceeding estimates. The company’s net loss also narrowed from the prior-year period. Tempus AI Surges on Earnings Beat, But Can the Rally Last?
• Positive Sentiment: Growth businesses performed well: Data and Applications revenue increased 33%, with gross margins above 71%, helping support broader margin improvement. Management is targeting approximately $65 million in adjusted EBITDA for 2026, including a potentially stronger fourth quarter. Tempus AI Revenue Up 23%; Gains Cut Net Loss
• Positive Sentiment: Analyst price targets moved higher: HC Wainwright raised its target to $85 and maintained a Buy rating; Baird and Cantor Fitzgerald raised their targets to $92 with Outperform and Overweight ratings, respectively. Needham also lifted its target to $89 and retained a Buy rating. Tempus AI Analysts Boost Their Forecasts Following Strong Q3 Results
• Neutral Sentiment: 2026 guidance is broadly in line with expectations: Tempus projects approximately $1.60 billion to $1.605 billion in revenue, versus consensus near $1.6 billion. The outlook confirms continued growth but may not represent a major forecast upgrade.
• Negative Sentiment: Execution and profitability risks remain: Analysts flagged ongoing cash burn and limited upside implied by some 2026 estimates. UBS reiterated a Hold rating with an $80 target, citing weaker hereditary-testing performance despite solid oncology execution. Tempus: Solid Oncology Execution Offset by Weak Hereditary Testing
• Negative Sentiment: Personalis acquisition adds integration risk: Investors must assess whether Tempus can successfully integrate the proposed deal and generate expected strategic benefits without increasing execution or financial pressure. Integration Risks Loom Over Tempus AI’s Proposed Personalis Acquisition

Insider Buying and Selling

In other Tempus AI news, CEO Eric P. Lefkofsky sold 250,000 shares of the company’s stock in a transaction that occurred on Tuesday, October 27th. The stock was sold at an average price of $70.36, for a total transaction of $17,590,000.00. Following the completion of the transaction, the chief executive officer owned 50,000 shares of the company’s stock, valued at $3,518,000. This represents a 83.33% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Ryan M. Bartolucci sold 7,062 shares of the stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $75.00, for a total value of $529,650.00. Following the completion of the sale, the chief accounting officer owned 60,804 shares of the company’s stock, valued at approximately $4,560,300. This trade represents a 10.41% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 1,256,777 shares of company stock valued at $86,356,352 over the last ninety days. Corporate insiders own 24.26% 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 TEM. V Square Quantitative Management LLC purchased a new stake in shares of Tempus AI in the 3rd quarter worth about $27,000. EMC Capital Management purchased a new position in Tempus AI during the 2nd quarter valued at about $29,000. Whittier Trust Co. lifted its position in Tempus AI by 190.0% during the 1st quarter. Whittier Trust Co. now owns 870 shares of the company’s stock valued at $41,000 after acquiring an additional 570 shares during the period. Ulland Investment Advisors LLC bought a new stake in Tempus AI during the third quarter worth about $41,000. Finally, Heritage Family Offices LLP bought a new stake in Tempus AI during the third quarter worth about $45,000. Hedge funds and other institutional investors own 24.22% of the company’s stock.

About Tempus AI

Tempus AI, Inc is a healthcare technology company that uses artificial intelligence and data analytics to support precision medicine. The company combines clinical, molecular and imaging data to help physicians make more informed treatment decisions and to help researchers and biopharmaceutical companies develop therapies.

Its offerings include genomic testing and analysis, such as tissue- and blood-based tests, as well as software tools designed to assist with clinical decision-making, patient matching for clinical trials and the management of healthcare data.