Why Tempus AI (TEM) Is Among Wednesday’s Top Gainers?

We recently published a list of Bitcoin Miners, Quantum Computing Lead Rally: A Look at Wednesday’s Top 10 Gainers. In this article, we are going to take a look at where Tempus AI, Inc (NASDAQ:TEM) stands among Wednesday’s top gainers that lead rally.

Wall Street’s main indices closed in the green territory on Wednesday, posting gains of more than 1 percent as investors cheered news of a tamed inflation rate for November.

The Dow Jones jumped by 1.65 percent, while the S&P 500 surged by 1.83 percent. Meanwhile, the Nasdaq Composite index soared 2.45 percent.

Ten companies mirrored the broader market optimism, led by the quantum computing and bitcoin mining sectors. Today, let’s take a look at what buoyed investor sentiment for each of the top gainers.

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

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Tempus AI, Inc (NASDAQ:TEM)

Tempus AI, Inc (NASDAQ:TEM), an American health technology company, saw its shares rise by 9.71 percent to end at $34.92 apiece on Wednesday as investors cheered the launch of its FDA-approved in vitro diagnostic device called xT CDx.

XT CDx is a 648-gene next-generation sequencing (NGS) test for solid tumor profiling that includes microsatellite instability status and companion diagnostic claims for colorectal cancer patients, said the Chicago-based company.

It uses DNA isolated from FFPE tumor tissue samples and DNA isolated from matched normal blood or saliva samples derived from patients diagnosed with solid malignant neoplasms in order to detect substitutions—such as single nucleotide variants (SNVs) and multi-nucleotide variants (MNVs)—and insertion/deletion alterations in 648 genes.

Additionally, xT CDx is approved as a companion diagnostic to identify patients with KRAS wild-type CRC who could be candidates for treatment with cetuximab (Erbitux); and patients with KRAS and NRAS wild-type CRC who may be candidates for treatment with panitumumab (Vectibix).

Tempus AI (NASDAQ:TEM) said the xT CDx is now available for orders within the US.

Overall, TEM ranks 9th on our list of Wednesday’s top gainers that lead rally. While we acknowledge the potential of TEM as a leading 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 as promising as 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.