Morgan Stanley just boosted its view on Tempus AI $TEM ( ▲ 3.59% ) , slapping an overweight rating on the stock and lifting its price target to reflect what analysts say is faster-than-expected momentum in the company’s precision oncology business. The upgrade highlights Tempus’ growing footprint in hereditary cancer risk testing, a segment strengthened by its recent acquisition of Ambry Genetics.
Analysts also pointed to potential upside in Tempus’ data and services unit, where the company sells de-identified patient data to pharmaceutical firms for drug development and clinical research. Even though Tempus has been unprofitable since its 2024 IPO, Wall Street sentiment has been steadily warming.
Seventeen analysts now cover Tempus. Ten have buy ratings, up from six earlier this year, and the stock has more than doubled in 2025 as the company expands its cancer diagnostics and data offerings.