Investors Buy Large Volume of Tempus AI Call Options (NASDAQ:TEM)

Tempus AI, Inc. (NASDAQ:TEM) was the target of some unusual options trading on Friday. Stock traders purchased 35,062 call options on the company. This represents an increase of 61% compared to the average volume of 21,735 call options.

Insider Activity

In other news, EVP Andrew Polovin sold 8,703 shares of the firm’s stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $44.07, for a total transaction of $383,541.21. Following the completion of the sale, the executive vice president owned 128,215 shares of the company’s stock, valued at approximately $5,650,435.05. This trade represents a 6.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Ryan M. Bartolucci sold 4,116 shares of the firm’s stock in a transaction that occurred on Tuesday, May 19th. The shares were sold at an average price of $44.07, for a total transaction of $181,392.12. Following the completion of the sale, the chief accounting officer directly owned 74,041 shares of the company’s stock, valued at approximately $3,262,986.87. This represents a 5.27% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 392,057 shares of company stock valued at $18,835,714. 24.26% of the stock is owned by company insiders.

Institutional Investors Weigh In On Tempus AI

A number of large investors have recently bought and sold shares of TEM. GC Wealth Management RIA LLC acquired a new stake in Tempus AI in the fourth quarter worth $399,267,000. Vanguard Group Inc. grew its holdings in Tempus AI by 22.1% in the third quarter. Vanguard Group Inc. now owns 9,441,607 shares of the company’s stock worth $762,032,000 after purchasing an additional 1,706,837 shares during the period. Voloridge Investment Management LLC grew its holdings in Tempus AI by 183.0% in the third quarter. Voloridge Investment Management LLC now owns 1,607,083 shares of the company’s stock worth $129,708,000 after purchasing an additional 1,039,176 shares during the period. BNP Paribas Financial Markets grew its holdings in shares of Tempus AI by 312.7% during the third quarter. BNP Paribas Financial Markets now owns 1,274,549 shares of the company’s stock valued at $102,869,000 after buying an additional 965,730 shares during the last quarter. Finally, AQR Capital Management LLC acquired a new position in shares of Tempus AI during the second quarter valued at about $54,020,000. 24.22% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of brokerages have issued reports on TEM. TD Cowen raised their price objective on shares of Tempus AI from $65.00 to $68.00 and gave the company a “buy” rating in a research note on Wednesday, May 6th. BTIG Research reduced their price objective on shares of Tempus AI from $90.00 to $80.00 and set a “buy” rating on the stock in a research note on Friday, May 8th. HC Wainwright reduced their price objective on shares of Tempus AI from $95.00 to $64.00 and set a “buy” rating on the stock in a research note on Monday, May 11th. Jefferies Financial Group started coverage on shares of Tempus AI in a research note on Monday, April 13th. They issued an “underperform” rating and a $35.00 price objective on the stock. Finally, Wall Street Zen cut shares of Tempus AI from a “hold” rating to a “sell” rating in a research report on Saturday, February 28th. Nine research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $68.64.

Tempus AI Trading Down 1.5%

Shares of TEM stock traded down $0.77 during trading hours on Friday, hitting $50.53. 7,486,668 shares of the company’s stock traded hands, compared to its average volume of 5,648,612. The stock’s 50 day simple moving average is $48.69 and its 200 day simple moving average is $58.25. The stock has a market cap of $9.07 billion, a PE ratio of -29.42 and a beta of 3.99. Tempus AI has a 12 month low of $41.73 and a 12 month high of $104.32. The company has a quick ratio of 3.15, a current ratio of 3.31 and a debt-to-equity ratio of 2.96.

Tempus AI (NASDAQ:TEM) last posted its quarterly earnings data on Tuesday, May 5th. The company reported ($0.13) earnings per share for the quarter, topping the consensus estimate of ($0.21) by $0.08. Tempus AI had a negative net margin of 22.20% and a negative return on equity of 53.83%. The company had revenue of $348.12 million during the quarter, compared to analysts’ expectations of $345.44 million. During the same period in the prior year, the company posted ($0.24) earnings per share. Tempus AI’s revenue for the quarter was up 36.1% compared to the same quarter last year. On average, sell-side analysts anticipate that Tempus AI will post -1.35 EPS for the current year.

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.