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TEMPUS AI INC (TEM) Stock Fundamental Analysis

USA - NASDAQ:TEM - US88023B1035 - Common Stock

78.48 USD
+1.15 (+1.49%)
Last: 9/26/2025, 8:00:00 PM
78.4021 USD
-0.08 (-0.1%)
After Hours: 9/26/2025, 8:00:00 PM
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to TEM. TEM was compared to 56 industry peers in the Life Sciences Tools & Services industry. The financial health of TEM is average, but there are quite some concerns on its profitability. TEM is valued quite expensive, but it does show an excellent growth.


Dividend Valuation Growth Profitability Health

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2

1. Profitability

1.1 Basic Checks

In the past year TEM has reported negative net income.
In the past year TEM has reported a negative cash flow from operations.
TEM had negative earnings in each of the past 5 years.
In the past 5 years TEM always reported negative operating cash flow.
TEM Yearly Net Income VS EBIT VS OCF VS FCFTEM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 -200M -400M -600M

1.2 Ratios

With a Return On Assets value of -12.29%, TEM perfoms like the industry average, outperforming 42.11% of the companies in the same industry.
Looking at the Return On Equity, with a value of -64.52%, TEM is doing worse than 73.68% of the companies in the same industry.
Industry RankSector Rank
ROA -12.29%
ROE -64.52%
ROIC N/A
ROA(3y)-60.21%
ROA(5y)-54.09%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
TEM Yearly ROA, ROE, ROICTEM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 0 -500 -1K

1.3 Margins

TEM has a better Gross Margin (60.73%) than 80.70% of its industry peers.
In the last couple of years the Gross Margin of TEM has grown nicely.
The Profit Margin and Operating Margin are not available for TEM so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 60.73%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y19.22%
GM growth 5Y16.28%
TEM Yearly Profit, Operating, Gross MarginsTEM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 0 50 -50 -100 -150 -200

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4

2. Health

2.1 Basic Checks

TEM does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, TEM has less shares outstanding
The number of shares outstanding for TEM has been reduced compared to 5 years ago.
The debt/assets ratio for TEM has been reduced compared to a year ago.
TEM Yearly Shares OutstandingTEM Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 50M 100M 150M
TEM Yearly Total Debt VS Total AssetsTEM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

2.2 Solvency

An Altman-Z score of 4.54 indicates that TEM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.54, TEM belongs to the top of the industry, outperforming 80.70% of the companies in the same industry.
A Debt/Equity ratio of 2.58 is on the high side and indicates that TEM has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.58, TEM is doing worse than 87.72% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 2.58
Debt/FCF N/A
Altman-Z 4.54
ROIC/WACCN/A
WACC10.41%
TEM Yearly LT Debt VS Equity VS FCFTEM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 0 200M -200M 400M

2.3 Liquidity

A Current Ratio of 1.54 indicates that TEM should not have too much problems paying its short term obligations.
The Current ratio of TEM (1.54) is worse than 75.44% of its industry peers.
TEM has a Quick Ratio of 1.43. This is a normal value and indicates that TEM is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.43, TEM is doing worse than 63.16% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.54
Quick Ratio 1.43
TEM Yearly Current Assets VS Current LiabilitesTEM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 200M 400M 600M

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7

3. Growth

3.1 Past

TEM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 85.61%, which is quite impressive.
The Revenue has grown by 59.84% in the past year. This is a very strong growth!
TEM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 62.05% yearly.
EPS 1Y (TTM)85.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%65.08%
Revenue 1Y (TTM)59.84%
Revenue growth 3Y39.06%
Revenue growth 5Y62.05%
Sales Q2Q%89.57%

3.2 Future

Based on estimates for the next years, TEM will show a very strong growth in Earnings Per Share. The EPS will grow by 29.06% on average per year.
The Revenue is expected to grow by 40.18% on average over the next years. This is a very strong growth
EPS Next Y70.68%
EPS Next 2Y40.88%
EPS Next 3Y29.06%
EPS Next 5YN/A
Revenue Next Year80.87%
Revenue Next 2Y49.6%
Revenue Next 3Y40.18%
Revenue Next 5YN/A

3.3 Evolution

The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
TEM Yearly Revenue VS EstimatesTEM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 2025 2026 2027 500M 1B 1.5B
TEM Yearly EPS VS EstimatesTEM Yearly EPS VS EstimatesYearly EPS VS Estimates 2024 2025 2026 2027 0 -1 -2 -3

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1

4. Valuation

4.1 Price/Earnings Ratio

TEM reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for TEM. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A
TEM Price Earnings VS Forward Price EarningsTEM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 -500 -1K -1.5K -2K

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
TEM Per share dataTEM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 2 -2 4

4.3 Compensation for Growth

A more expensive valuation may be justified as TEM's earnings are expected to grow with 29.06% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y40.88%
EPS Next 3Y29.06%

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0

5. Dividend

5.1 Amount

No dividends for TEM!.
Industry RankSector Rank
Dividend Yield N/A

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TEMPUS AI INC

NASDAQ:TEM (9/26/2025, 8:00:00 PM)

After market: 78.4021 -0.08 (-0.1%)

78.48

+1.15 (+1.49%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)08-08 2025-08-08/bmo
Earnings (Next)11-03 2025-11-03
Inst Owners44.01%
Inst Owner Change40.65%
Ins Owners7.73%
Ins Owner Change-0.83%
Market Cap13.63B
Analysts77.78
Price Target74.88 (-4.59%)
Short Float %24.86%
Short Ratio2.45
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.58%
Min EPS beat(2)10.18%
Max EPS beat(2)16.99%
EPS beat(4)4
Avg EPS beat(4)14.69%
Min EPS beat(4)10.18%
Max EPS beat(4)20.15%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.49%
Min Revenue beat(2)2.05%
Max Revenue beat(2)4.94%
Revenue beat(4)2
Avg Revenue beat(4)1.15%
Min Revenue beat(4)-2.18%
Max Revenue beat(4)4.94%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.31%
PT rev (3m)10.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.05%
EPS NY rev (1m)2.88%
EPS NY rev (3m)-0.44%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)0.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.03%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 14.32
P/FCF N/A
P/OCF N/A
P/B 44.04
P/tB N/A
EV/EBITDA N/A
EPS(TTM)-0.89
EYN/A
EPS(NY)-0.04
Fwd EYN/A
FCF(TTM)-0.42
FCFYN/A
OCF(TTM)-0.3
OCFYN/A
SpS5.48
BVpS1.78
TBVpS-2.32
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -12.29%
ROE -64.52%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 60.73%
FCFM N/A
ROA(3y)-60.21%
ROA(5y)-54.09%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y19.22%
GM growth 5Y16.28%
F-Score4
Asset Turnover0.59
Health
Industry RankSector Rank
Debt/Equity 2.58
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 31.05%
Cap/Sales 2.19%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.54
Quick Ratio 1.43
Altman-Z 4.54
F-Score4
WACC10.41%
ROIC/WACCN/A
Cap/Depr(3y)74.55%
Cap/Depr(5y)66.22%
Cap/Sales(3y)5.14%
Cap/Sales(5y)5.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)85.61%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%65.08%
EPS Next Y70.68%
EPS Next 2Y40.88%
EPS Next 3Y29.06%
EPS Next 5YN/A
Revenue 1Y (TTM)59.84%
Revenue growth 3Y39.06%
Revenue growth 5Y62.05%
Sales Q2Q%89.57%
Revenue Next Year80.87%
Revenue Next 2Y49.6%
Revenue Next 3Y40.18%
Revenue Next 5YN/A
EBIT growth 1Y65.67%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year102.3%
EBIT Next 3Y42.48%
EBIT Next 5YN/A
FCF growth 1Y15.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y11.8%
OCF growth 3YN/A
OCF growth 5YN/A