Thomas Edward Schoenherr, the CEO of diagnostics at Tempus AI, Inc. (NASDAQ:TEM), sold 17,314 shares of Class A Common Stock on August 18 and August 19, according to an SEC Form 4 filing.
Transaction summary
Transaction value based on SEC Form 4 weighted average sale price ($53.71); post-transaction value based on the August 19 market close ($61.25).
Key questions
What was the primary driver behind this share disposition?
The sales were conducted under a Rule 10b5-1 trading plan adopted on March 3 and included non-discretionary transactions required to cover statutory tax withholding obligations resulting from the vesting of restricted stock units.How does this move align with the company’s recent financial scale?
The roughly $930,000 transaction occurred within a company that reported trailing twelve-month revenue of $1.4 billion and a net income of -$254.4 million as of the most recent reporting period.What is the insider’s remaining exposure to the company’s valuation?
Schoenherr continues to hold 89,715 shares directly, representing a 0.05% ownership stake in the $10.7 billion healthcare technology firm.What has been the recent performance context for the stock?
The shares were priced at $53.71 for this transaction as the stock has generated a -16% total return over the 12 months ending August 19.
Company Overview
Company Snapshot
Tempus AI operates a closed-loop healthcare technology platform that integrates clinician workflows with laboratory diagnostic capabilities, analytics, and multimodal data repositories, generating revenue through its Tempus platform and Hub clinical application for next-generation sequencing (NGS) testing.
The company operates a software-as-a-service and diagnostic services business model, monetizing through platform subscriptions, clinical application licensing, and laboratory testing services delivered to healthcare providers and medical institutions.
Tempus AI primarily serves physicians, healthcare providers, and clinical laboratories seeking advanced diagnostic capabilities and data-driven clinical decision support tools for oncology and precision medicine applications.
Tempus AI is a healthcare technology company with a $10.7 billion market capitalization and 3,800 employees headquartered in Chicago. The company has established a vertically integrated platform that combines clinical software, diagnostic analytics, and laboratory services to address the precision medicine market, though it remains unprofitable on a TTM basis, with negative net income of $254.4 million, as it invests in platform expansion and market penetration.
