Tempus AI (TEM) shares surged 15% on Thursday, extending a five-day rally to nearly 40% and trading near their highest close since November 2025.
CEO Eric Lefkofsky outlined revenue expectations at Morgan Stanley’s 24th Annual Global Healthcare Conference. He projected between $80 million and $100 million in Medicare reimbursement next year from the company’s solid tumor tissue scanning test, and between $250 million and $300 million from its liquid biopsy product, which is awaiting approval expected in the second half of 2027.
The stock has recovered 92% from its 52-week low of $41.55 on July 29, when Wall Street reacted negatively to the company’s $1.5 billion acquisition of cancer testing firm Personalis at $16.25 per share, mostly paid in Tempus stock.
Lefkofsky also emphasized data licensing as a key growth engine. The segment grew 36% last quarter and includes long-term deals worth more than $100 million each with AstraZeneca, Bristol Myers Squibb, GSK, Merck and BioNTech. Tempus holds a 50 million-patient database and reported second-quarter revenue of $382.5 million, with diagnostics making up 76% of total revenue and $200 million in new data and applications licenses.
Management expects full-year revenue of $1.59 billion to $1.6 billion, representing about 25% annual growth. The Personalis acquisition is expected to strengthen the molecular residual disease business and push test pricing above $1,000 per test over time.
Technical indicators show further upside potential. The daily chart formed a triple-bottom pattern near $41.47, a golden cross on September 3, and a bullish flag after breaking above resistance at $63.25 and $72.90. Analysts see the next key level at $100, while a drop below $72.90 would invalidate the bullish outlook.
Wall Street maintains a Moderate Buy rating on TEM with an average price target of $66.56, implying roughly 17% downside from current levels. The rating is based on 10 Buy and 7 Hold recommendations over the past three months. ARK Innovation ETF, where TEM is the third-largest position, rose 4.3% on the day.
The move is stock-specific and has no direct impact on cryptocurrency markets.
