A Fresh Look at Tempus AI (TEM) Valuation Following New Whitehawk Therapeutics Partnership Announcement

Tempus AI (TEM) has just unveiled a multi-year partnership with Whitehawk Therapeutics, using its proprietary real-world dataset to drive biomarker-focused research. The new collaboration focuses on advancing targeted therapies for lung and gynecological cancers.

See our latest analysis for Tempus AI.

Tempus AI’s latest moves are turning industry heads, with a string of recent partnership wins and industry presentations highlighting its momentum in precision oncology. Riding a wave of investor enthusiasm, the company’s 90-day share price return soared 43.7% and its total shareholder return for the past year hit an impressive 80.3%, which signals robust confidence in the long-term growth story.

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But with Tempus AI trading above analyst price targets after a standout run, the question remains: is there still upside for investors, or is all that future promise already reflected in the stock’s price?

Most Popular Narrative: 13% Overvalued

Tempus AI finished the last session at $87.78, trading well above what the most closely watched analyst narrative identifies as a fair value of $77.55. As investors try to decipher whether momentum can continue, the underlying assumptions offer a broader perspective.

Significant volume growth and market share gains in both oncology and hereditary/genetic testing indicate that Tempus AI is leveraging its expanding data repository and technological differentiation to outperform competitors. This is positioning the company for durable top-line revenue growth.

Read the complete narrative.

Want to know why this premium price tag persists? The narrative’s forecast depends on a substantial revenue increase and a profit turnaround more commonly seen among industry leaders. There is a set of future margin assumptions and a bold earnings leap supporting this price target. Do you want to see the financial milestones these analysts expect Tempus AI to reach?

Result: Fair Value of $77.55 (OVERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent reimbursement delays or tougher competition in genomics and AI could quickly change analysts’ expectations for Tempus AI’s growth trajectory.

Find out about the key risks to this Tempus AI narrative.

Build Your Own Tempus AI Narrative

If you want to dig into the numbers and shape the Tempus AI story your own way, it is easy to get started. Creating your own narrative takes just a few minutes. Do it your way

A great starting point for your Tempus AI research is our analysis highlighting 1 key reward and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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