Tempus AI (TEM) Stock Gets a $110 Price Target on Rising AI Adoption in Medicine

Tempus AI, Inc. (NASDAQ:TEM) is one of the AI Stocks Making Waves on Wall Street. On October 20, Canaccord Genuity analyst Kyle Mikson reiterated a Buy rating on the stock with a $110.00 price target.

The firm is bullish on the stock, considering how AI deployment at scale in clinical practice is likely to drive robust long-term revenue growth for Tempus AI.

The research note by the firm particularly highlighted Tempus AI’s acquisition strategy, including the Ambry deal, which it believes has the potential to accelerate growth by expanding testing capabilities and enhancing AI functionalities.

“Initiating TEM at BUY with $110 PT. TEM offers oncology testing for genomic profiling, data services and AI applications. In our opinion, the potential of AI deployment at scale in clinical practice could support strong long-term revenue growth for Tempus. TEM’s keen acquisition strategy (e.g., Ambry, etc.) could help accelerate growth by providing additional testing and enhancing its AI capabilities. Key assumptions in our DCF model for the company include a 10-year revenue CAGR of 22.8%, peak operating margin of 45.6% and a discount rate of 15.0%.”

Tempus AI, Inc. (NASDAQ:TEM) is a healthcare technology company that provides AI-enabled precision medicine solutions.

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