| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 7 | — | 17.8x | Bottom tier | |
Growth | 76 | 50.4% | 7.1% | Top tier | |
Quality | 32 | -18.2% | 4.5% | Bottom tier | |
Safety | 22 | — | 2.6x | Bottom tier | |
Capital Return | 0 | 0.00% | 2.12% | Bottom tier | |
Momentum | 40 | -39.2% | 2.9% | Around median | |
Sentiment | 36 | 9 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Tempus AI operates in AI-powered precision medicine and generates revenue from two main streams: diagnostics, including solid tumor tests, liquid biopsies, genetic testing, and minimal residual disease monitoring; and data and applications, where it licenses de-identified clinical and molecular data and helps pharmaceutical companies build models to improve research and development and trial design. In Q1 FY2026, diagnostics revenue was $261.1 million, while data and applications generated $87 million, and the data licensing and modeling business grew by more than 44%.
In Q2 FY2026, revenue was $382.5 million, exceeding analysts’ estimates of $379.7 million, and the company reported net income of $5.6 million and earnings per share of $0.03. Diagnostics revenue was $289.3 million, or approximately 75.6% of total revenue, after growing 20%, while the other stream represented approximately $93.2 million, with data and applications revenue growing 28%.
The profit reported in Q2 FY2026 represents an important turnaround compared with a net loss of $125.9 million in Q1 FY2026 and a loss of $245 million in FY2025. However, the annual profitability record remains unstable, as the latest available trailing twelve-month data show a net loss of $254.4 million, making the sustainability of the quarterly improvement a key factor in evaluating the stock.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $59.4, within a range of $50 to $70, with a consensus rating of “Buy”; the average is approximately 45.7% above the 52-week range low of $40.77, but approximately 43.1% below the high of $104.32. No usable price-to-earnings ratio is available due to annual losses, so the valuation depends heavily on the achievement of FY2026 revenue guidance and the sustainability of profitability after Q2, while the large gap between the consensus target and the 52-week high reflects the repricing risk of a highly volatile growth stock.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
Tempus AI generates its revenue from diagnostics and from data and applications. In Q1 FY2026, diagnostics recorded $261.1 million, while data and applications recorded $87 million. Products include solid tumor tests, liquid biopsies, genetic testing, and minimal residual disease monitoring, alongside licensing de-identified data and building models for pharmaceutical companies.
Revenue was $382.5 million, compared with analysts’ estimates of $379.7 million. The company reported net income of $5.6 million and earnings per share of $0.03, its first reported profit under generally accepted accounting principles. Diagnostics revenue was $289.3 million, growing 20%, while data and applications grew 28%.
The company raised its revenue guidance to a range of $1.595–$1.605 billion, representing annual growth of 25%. On the May 5, 2026 call, management had guided to a range of $1.59–$1.6 billion and adjusted earnings before interest, taxes, depreciation, and amortization of approximately $65 million. The expected improvement in the second half of FY2026 depends partly on a higher contribution from the higher-margin data business.
Management expects U.S. Food and Drug Administration approval of xT CDx to add approximately $400 million in incremental revenue by 2028. The company estimated the data and applications margin associated with this expansion at between 72% and 75%. As for the xF submission, there was no update as of May 5, 2026, and management did not expect it to affect pricing or average selling price during FY2026.
The main risks are continuing annual losses, the concentration of the vast majority of data licensing in oncology and therapy selection, and the dependence of minimal residual disease expansion on improved reimbursement. Diagnostics growth also slowed from approximately 35% in Q1 FY2026 to 20% in Q2, while data and applications growth fell from 40.5% to 28%. In addition, net insider sales over three months reached $58 million through August 25, 2026, although these sales may be prearranged and are not sufficient on their own to support a negative thesis.
