Here’s Why Tempus AI, Inc (TEM) Is Among Monday’s Top Losers

We recently compiled a list of the 10 Firms Drop on Bearish Statements, Disappointing Earnings. In this article, we are going to take a look at where Tempus AI, Inc (NASDAQ:TEM) stands against the other stocks.

Ten companies—mostly under the quantum computing sector—kicked off the trading week leading declines amid not-so-optimistic statements from chief executives and disappointing earnings updates that have weighed in on investor sentiment.

Meanwhile, Wall Street’s main indices ended mixed, with the Dow Jones and S&P’s main index the only gainers, up 0.86 percent and 0.16 percent, respectively. Meanwhile, the Nasdaq Composite dropped by 0.38 percent.

To come up with Monday’s top losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

A healthcare professional wearing a health communications device discussing patient data with a colleague.

Tempus AI, Inc (NASDAQ:TEM)

Tempus AI, Inc (NASDAQ:TEM) fell by 13.81 percent on Monday to end at $32.34 each after fourth-quarter forecasts fell below Wall Street expectations.

In preliminary results released on Monday, the company said it expected revenues for the fourth quarter of the year to settle at $200 million, an increase of around 35 percent year-on-year. However, Wall Street analysts said they projected figures to settle at $205.7 million.

Tempus AI CEO Eric Lefkofsky said that genomics revenue is expected to rise by 30% in the fourth quarter, while data and services revenue is expected to be up 45%.

Tempus (NASDAQ:TEM) is an AI company focused on medicine and healthcare. In other news, it said that it was also developing its first whole-genome sequencing test.

Overall TEM ranks 4th on our list of Monday’s top losers. While we acknowledge the potential of TEM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TEM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.