GET DAILY SIGNALSTempus AI (TEM) Drops -28.7% Over 30 Days Amid Acquisition and Insider Selling
Key Takeaways
- Tempus AI shares fell approximately 28.7% over the past 30 days, dropping from $58.31 on June 29 to $41.55 on July 29, 2026.
- The steep decline was triggered by the announcement of a $1.5 billion all-stock acquisition of Personalis, which raised integration and dilution concerns among investors.
- Significant insider selling by senior executives, including the CEO and CFO, further eroded market confidence during the period.
- Over the broader quarter, TEM initially rallied on strong Q1 2026 results and a wave of high-profile pharma partnerships, before reversing sharply in July.
- Multiple analyst price target reductions and a new 52-week low of $41.46 added to the negative momentum heading into the company's upcoming Q2 earnings report on July 30.
Tempus AI (TEM) Company Overview and Market Position
Tempus AI, Inc. is a Chicago-based healthcare technology company that applies artificial intelligence to advance precision medicine. The company operates through two primary product lines: Genomics (Diagnostics), which provides next-generation sequencing and molecular pathology testing to physicians and academic medical centers, and Data and Applications, which licenses de-identified multimodal clinical and molecular datasets to pharmaceutical partners and provides AI-powered software tools including its Lens analytics platform. With one of the world's largest libraries of multimodal clinical data—reportedly exceeding 500 petabytes—TEM has established strategic collaborations with major pharmaceutical companies such as MRK, GILD, and BMY. The company generated $1.27 billion in revenue in 2025, representing approximately 83% year-over-year growth, and guided for $1.59–$1.60 billion in 2026 revenue with an expected move toward positive adjusted EBITDA. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Tempus AI (TEM) Stock Price Performance: Last 30 Days vs. Quarter
Over the last 30 days, TEM shares declined from a closing price of $58.31 on June 29, 2026, to $41.55 on July 29, 2026—a drop of approximately 28.7%. The selloff accelerated in the second half of July, with the stock falling from roughly $52.47 on July 17 to a new 52-week low of $41.46 on July 28. Looking at the quarterly picture, the stock has experienced a volatile round trip. TEM entered the quarter near $50 in late April, surged to above $61 in early July behind strong Q1 earnings and a series of partnership announcements, then gave back all those gains and more during the July downturn. On a quarter-to-date basis, the stock is down roughly 17%. From what I see, the technical picture aligns with broader sector weakness.
What Drove the 30-Day Decline in TEM Shares
The dominant catalyst behind the 30-day decline was the July 20 announcement that Tempus will acquire cancer test maker PSNL in a deal valued at approximately $1.5 billion, mostly structured as an all-stock transaction. Tempus shares dropped roughly 9% on the day of the announcement, as investors reacted to the dilutive nature of the deal, integration execution risk, and the relatively modest 5.6% premium offered to Personalis shareholders. Guggenheim analyst Subbu Nambi noted that skepticism about Tempus' potential upside weighed on both stocks following the announcement. Compounding the pressure, significant insider selling occurred throughout the period. CEO Ryan Fukushima sold 33,284 shares at an average price of $57.39 on July 8 under a pre-arranged Rule 10b5-1 trading plan, while CFO James Rogers and Director Jennifer Doudna also disclosed share sales in late June. Collectively, insiders sold approximately $23–$31 million worth of stock during the quarter, which amplified negative sentiment even though the sales were executed under planned trading programs. Additionally, several analyst price targets were revised lower, with one fair value estimate dropping from approximately $58 to $37.83, reflecting reduced long-term revenue growth assumptions and lower future P/E multiples. The stock's breach of both its 50-day and 200-day moving averages triggered further technical selling as the July decline deepened.
Quarterly Drivers and the Reversal in TEM Performance
The quarterly narrative reflects a tale of two distinct phases. During the first half of the quarter, TEM rallied strongly—climbing from approximately $50 in late April to above $61 by early July—fueled by better-than-expected Q1 2026 results reported on May 5. The company posted revenue of $348.1 million, up 36.1% year-over-year, and beat consensus EPS estimates. During this period, Tempus announced an impressive series of strategic developments: a multi-year collaboration with MRK to accelerate biomarker discovery, an expanded enterprise-wide agreement with GILD for its Lens platform, a partnership with BMY to optimize clinical trial designs using AI, and selection by Northwestern Medicine and NYU Langone Health for genomic testing and research collaborations. The launch of Tempus Preview, a rapid mutation prediction tool, and the ArteraAI Prostate Test further demonstrated product momentum. However, the second phase—dominated by the Personalis acquisition announcement, insider selling disclosures, broader tech sector weakness, and pre-earnings jitters ahead of the July 30 Q2 report—reversed the entire rally and pushed shares to new 52-week lows.
Key Factors to Watch Ahead of Earnings
The most immediate catalyst for TEM is the company's Q2 2026 earnings report, scheduled for July 30 after market close. Analysts expect revenue of approximately $380–$382 million and a loss of $0.12–$0.15 per share. Management's forward commentary on the Personalis integration timeline, MRD test reimbursement progress, and full-year 2026 guidance trajectory will be closely scrutinized. Beyond earnings, investors should monitor whether the company's oncology testing volume growth—which reached 28% in Q1—can sustain its momentum, and whether the Data and Applications segment continues to deliver 40%-plus growth. Macroeconomic factors including healthcare spending trends, trade policy impacts, and biotech funding conditions remain relevant external variables. The stock's ability to stabilize above recent lows and rebuild institutional confidence will likely depend on consistent execution against the company's profitability roadmap and successful integration of acquired assets. I'm watching this closely as the next few weeks unfold.
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Momentum Indicator for TEM turns positive, indicating new upward trend
TEM saw its Momentum Indicator move above the 0 level on October 27, 2026. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator turned positive. In 34 of the 36 cases, the stock moved higher in the following days. The odds of a move higher are at 90%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Moving Average Convergence Divergence (MACD) for TEM just turned positive on October 28, 2026. Looking at past instances where TEM's MACD turned positive, the stock continued to rise in 19 of 23 cases over the following month. The odds of a continued upward trend are 83%.
TEM moved above its 50-day moving average on November 06, 2026 date and that indicates a change from a downward trend to an upward trend.
The 10-day moving average for TEM crossed bullishly above the 50-day moving average on November 02, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 7 of 8 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 88%.
Following a +19.89% 3-day Advance, the price is estimated to grow further. Considering data from situations where TEM advanced for three days, in 117 of 132 cases, the price rose further within the following month. The odds of a continued upward trend are 89%.
Bearish Trend Analysis
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where TEM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 86%.
TEM broke above its upper Bollinger Band on November 09, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for TEM entered a downward trend on November 02, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 11 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: TEM's P/B Ratio (31.032) is slightly higher than the industry average of (4.477). TEM has a moderately low P/E Ratio (-52.812) as compared to the industry average of (13.414). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.133). Dividend Yield (0.000) settles around the average of (0.011) among similar stocks. P/S Ratio (8.696) is also within normal values, averaging (6.065).
The Tickeron Price Growth Rating for this company is 36 (best 1 - 100 worst), indicating steady price growth. TEM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 92 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 98 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. TEM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 97, placing this stock worse than average.
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