S&P 500 may face selling pressure as systematic funds reach full exposure
Ryan Fukushima, the Chief Operating Officer of Tempus AI , Inc. (NASDAQ:TEM), recently sold a portion of his holdings in the company. According to a Form 4 filing with the Securities and Exchange Commission, Fukushima sold a total of 2,868 shares of Class A Common Stock on February 19, 2025. The shares were sold at prices ranging from $81.83 to $82.36, generating a total of $234,814. The sale comes as TEM’s stock has experienced a 14% decline over the past week, though it maintains an impressive 127% gain year-to-date, according to InvestingPro data.
The transactions were conducted to cover statutory tax withholding obligations related to the vesting of restricted stock units, as mandated by the company’s equity incentive plans. This means the sales were not discretionary but required to meet tax obligations. While the company operates with moderate debt levels and maintains strong liquidity with a current ratio of 2.69, InvestingPro analysis indicates the stock is currently trading above its Fair Value.
Following these transactions, Fukushima holds 944,460 shares directly. Additionally, he has indirect holdings of 131,893 shares through the Ryan Fukushima Irrevocable Family Trust and 150,000 shares by his spouse. Investors should note that Tempus AI is scheduled to report earnings in 3 days, with analysts maintaining a neutral stance on the stock. Get more detailed insights and 11 additional ProTips for TEM with an InvestingPro subscription.
In other recent news, Tempus AI has made significant strides with its recent acquisition of Ambry Genetics, enhancing its product offerings and market entry potential. The acquisition, valued at $375 million in cash and $225 million in shares, brings a profitable germline testing laboratory with over $300 million in revenue to Tempus AI’s portfolio. Analysts at TD Cowen have responded positively to this development, upgrading Tempus AI’s stock to a Buy rating and raising the price target to $74. The acquisition is seen as a strategic move that could lead to positive free cash flow and margin expansion, despite Ambry’s slower growth rate.
Additionally, Tempus AI has launched olivia, an AI-enabled personal health concierge app, aimed at centralizing and making actionable patients’ health data. This app integrates data from over 1,000 health systems and various health devices, offering features like AI-generated smart profiles and summaries of physician appointments. The market has reacted favorably to the launch, with shares surging 19%, reflecting investor optimism about the app’s potential to transform patient engagement with their health data.
Tempus AI has also entered a multi-year agreement with Genialis to validate new RNA-based biomarker algorithms, leveraging Tempus’s multimodal dataset across different cancer types. This collaboration aims to advance precision medicine by utilizing AI and data for more effective cancer treatments. These developments indicate Tempus AI’s ongoing efforts to enhance patient care and outcomes through strategic expansions and technological innovations.
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