Baird Initiates Outperform on Tempus AI After Q3 Revenue Beat and Guidance Raise
Baird initiated an outperform rating on Tempus AI, citing its underpenetrated AI market and recent pullback as a buy opportunity. The company posted third-quarter revenue of $334.2 million (up 84.7% year over year), beat estimates by $5.53 million, and raised 2025 revenue guidance to $1.265 billion.
1. Baird Initiates Outperform Rating
Analysts at Baird initiated an outperform rating on Tempus AI, highlighting the company’s underpenetrated AI market position and deeming the recent stock pullback a compelling entry point for investors.
2. Third-Quarter Financial Results
Tempus AI reported third-quarter revenue of $334.2 million, an 84.7% year-over-year increase that topped estimates by $5.53 million, and delivered a loss of $0.11 per share, beating earnings forecasts by $0.07.
3. Full-Year 2025 Guidance Raise
Management raised its full-year 2025 revenue guidance to $1.265 billion, slightly above prior expectations of $1.26 billion, reflecting an anticipated 80% annual growth trajectory.