Tempus AI Slumps 3% on $360M Volume as Market Activity Ranks 355th Amid Earnings Jitters

On August 1, 2025, Tempus AI (TEM) closed at a 3.00% decline, with a trading volume of $360 million, down 22.43% from the prior day, ranking 355th in market activity. The stock faces pressure amid mixed fundamentals ahead of its Q2 earnings report on August 8.

Tempus recently secured a $200 million partnership with AstraZeneca and Pathos to build a foundational oncology AI model using 300 petabytes of its multimodal data. The deal, expected to drive long-term revenue, will recognize income ratably over three years. This collaboration, combined with strategic acquisitions and FDA clearance for its ECG-Low EF tool, strengthens its position in AI-driven diagnostics and cardiology.

Hereditary testing remains a key growth driver, with the segment exceeding initial guidance after a 23% unit increase. New liquid biopsy assay xM for TRM and GenAI clinical assistant Tempus One, integrated into EHR systems, further diversify its offerings. However, first-quarter adjusted EBITDA loss of $16.2 million and rising R&D costs highlight ongoing profitability challenges.

Valuation concerns persist as TEM trades at a forward P/S ratio of 6.86, above the industry average of 5.80X. While its one-year median P/S of 8.00X suggests moderation from historical highs, investors must weigh near-term financial pressures against long-term AI and healthcare growth opportunities.

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