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Tempus AI, Inc. (TEM) Stock Analysis

Falling Knife setup

SellVALUE-TRAP 2/5Moderate Confidence

Healthcare · Health Information Services

Sell if holding. Engine safety override at $43.81: Quality below floor (3.2 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 2.8:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Elevated put/call ratio: 1.37; Below-average business quality.

Tempus AI is a healthcare AI company providing intelligent diagnostics and data analytics through its platform connecting 700+ data pipelines at 5,000+ healthcare institution sites across oncology, cardiology, and neuropsychiatry. Revenue comes from Diagnostics (oncology and... Read more

$43.81+38.7% A.UpsideScore 5.6/10#7 of 13 Health Information Services
QualityF-score4 / 9FCF yield-0.71%
Stop $41.84Target $60.48(analyst − 10%)A.R:R 2.8:1
Analyst target$67.20+53.4%15 analysts
$60.48our TP
$43.81price
$67.20mean
$35
$100

Sell if holding. Engine safety override at $43.81: Quality below floor (3.2 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 2.8:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Elevated put/call ratio: 1.37; Below-average business quality. Chart setup: Death cross, below all MAs, RSI 32, MACD bearish. Score 5.6/10, moderate confidence.

Passes 6/8 gates (favorable risk/reward ratio, clean insider activity, no SEC red flags, earnings proximity 81d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA). Suitability: moderate.

Recent Developments — Tempus AI, Inc.

Generated 2026-05-20T21:06:21Z.

Thesis

Rewards
No bull case signals
Risks
Quality below floor (3.2 < 4.0)
Value-trap signals (2/5): High leverage (D/E 2.1), Material insider selling (28 sells, 0.12% of cap)

Key Metrics

P/E (TTM)
P/E (Fwd)-323.4
Mkt Cap$7.9B
EV/EBITDA-46.3
Profit Mgn-22.2%
ROE-81.6%
Rev Growth36.1%
Beta
DividendNone
Rating analysts24

Quality Signals

Piotroski F4/9MoatNarrow

Options Flow

P/C1.37bearish
IV77%elevated

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

4 floor-breakers·1 ceiling hit

Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static

Macd
0.0
Obv
1.0
Ma Position
1.0
Volume
3.3
Rsi
3.5
Volume distribution (falling OBV)Below 200-MA, MA slope -2.4%/30d — confirmed downtrend

Volatile — 7.0% daily ATR makes tight stops impractical. Position-size conservatively.static

Volatility
0.0
Implied Vol
0.5
Short Interest
0.8
Debt Equity
1.8
Put Call
4.2
Days To Cover
5.5
High short interest justified: 27%High IV: 77%

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
0.8
Value Rank
2.3
Growth Rank
7.7

Unprofitable operations — net margin -22.2%. Quality floor flags this regardless of sector context.static

Roe
0.0
Roa
0.0
Operating Margin
0.0
Net Margin
0.0
Fcf Quality
0.0
Piotroski F
4.4
Moat
5.8
Gross Margin
8.7
Current Ratio
9.7
Cash-burning: FCF -4% of revenue
GatesMomentum 1.8<4.5Death cross (50MA < 200MA)A.R:R 2.8 ≥ 1.5Insider activity: OKNo SEC red flagsEARNINGS PROXIMITY 81d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARFalling KnifeSuitability: Moderate
RSI
32 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $43.13Resistance $57.87

Price Targets

$42
$60
A.Upside+38.1%
A.R:R2.8:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (3.2 < 4.0)
! Value-trap signals (2/5): High leverage (D/E 2.1), Material insider selling (28 sells, 0.12% of cap)
! Momentum score 1.8/10 — below 4.5 minimum

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-08-07 (81d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is TEM stock a buy right now?

Sell if holding. Engine safety override at $43.81: Quality below floor (3.2 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.6/10 and A.R:R 2.8:1 is above the 1.5:1 BUY gate. Specifically: High short interest: 27%; Elevated put/call ratio: 1.37; Below-average business quality. Chart setup: Death cross, below all MAs, RSI 32, MACD bearish. Prior stop was $41.84. Score 5.6/10, moderate confidence.

What is the TEM stock price target?

Take-profit target: $60.48 (+38.7% upside). Prior stop was $41.84. Stop-loss: $41.84.

What are the risks of investing in TEM?

Quality below floor (3.2 < 4.0); Value-trap signals (2/5): High leverage (D/E 2.1), Material insider selling (28 sells, 0.12% of cap).

Is TEM overvalued or undervalued?

Tempus AI, Inc. trades at a P/E of N/A (forward -323.4). TrendMatrix value score: 8.0/10. Verdict: Sell.

What do analysts say about TEM?

24 analysts cover TEM with a consensus score of 3.8/5. Average price target: $67.

What does Tempus AI, Inc. do?Tempus AI is a healthcare AI company providing intelligent diagnostics and data analytics through its platform...

Tempus AI is a healthcare AI company providing intelligent diagnostics and data analytics through its platform connecting 700+ data pipelines at 5,000+ healthcare institution sites across oncology, cardiology, and neuropsychiatry. Revenue comes from Diagnostics (oncology and hereditary testing at 74% of 2025 revenue) and Data & Applications lines.

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