Tempus AI: The Investment Opportunity Of A Decade, Strong Buy

Summary

• Tempus AI started off the year with a stellar rally, but then bounced back from its peak in early February. There's no way this stock will remain cheap for long.
• Tempus AI's financials have significantly improved. Q4FY24 saw record revenues driven by 35.8% YoY growth, with the Data & Services segment growing by 44.6% YoY.
• I see major growth catalysts ahead. Tempus AI recently launched its AI-enabled health app, Olivia, a product that will revolutionize healthcare.
• Management guides for $1.24 billion in 2025 revenues, a 79% YoY growth, bolstered by the Ambry Genetics acquisition and a rapidly growing TAM.
• Despite the deep selloff recently, I rank TEM a 'Strong Buy' with a target price of $62. There's now a great buy the dip opportunity.

Suriphon Singha

Authored by Jacques Georget

Recap

In December last year, we initiated coverage on Tempus AI (NASDAQ:TEM), a US-based health tech company specialized in Genomics and data-driven AI solutions for the healthcare industry. The article introduced readers to the business

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.