Analyst Ryan MacDonald of Needham maintained a Buy rating on Tempus AI, Inc. Class A (TEM – Research Report), retaining the price target of $70.00.
Ryan MacDonald has given his Buy rating due to a combination of factors, primarily centered around Tempus AI, Inc.’s recent strategic agreement. The company has entered into a significant $200 million partnership with AstraZeneca and Pathos AI to develop a groundbreaking multimodal foundation model in oncology. This collaboration is not only a first for Tempus but also positions the company to enhance its data and other revenue streams starting from the second quarter of 2025.
Moreover, this agreement is expected to be margin accretive, providing financial benefits that will positively impact Tempus’s fiscal year 2025. The innovative nature of this partnership could also pave the way for Tempus to establish new relationships or expand existing ones with other major pharmaceutical companies. These factors contribute to a positive long-term outlook for Tempus’s data opportunities, reinforcing the Buy rating.
In another report released on April 21, BTIG also maintained a Buy rating on the stock with a $60.00 price target.
Based on the recent corporate insider activity of 89 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of TEM in relation to earlier this year.