Tempus AI: Cooldown Arrived (Rating Upgrade)

(6min)

Summary

  • Tempus AI is trading near yearly lows despite strong growth prospects, driven by the Ambry Genetics acquisition and robust organic growth.
  • The company has innovative AI diagnostic services, including new cancer tests and CMS-approved algorithms, positioning it for continued 25% annual growth.
  • TEM stock has a market cap of ~$7 billion and trades at 4.5x sales, offering compelling value and growth potential for investors.
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Artificial Intelligence in Healthcare, AI Health, digital healthcare provider, telemedicine, medical technology

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The recent market selloff has left Tempus AI, Inc. (NASDAQ:TEM) trading towards the yearly lows, despite recently soaring to over $90. The AI diagnostic company remains on a solid organic growth path, with a recent acquisition providing a

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Stone Fox Capital is an RIA from Oklahoma. Mark Holder is a CPA with degrees in Accounting and Finance. He is also Series 65 licensed and has 30 years of investing experience, including 15 years as a portfolio manager.

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in TEM over 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.

The information contained herein is for informational purposes only. Nothing in this article should be taken as a solicitation to purchase or sell securities. Before buying or selling any stock, you should do your own research and reach your own conclusion or consult a financial advisor. Investing includes risks, including loss of principal.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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