Tempus AI (NASDAQ: TEM) is an interesting AI story that operates a platform and library for diagnosis and drug discovery. The platform aids physicians by enabling personalized care for hard-to-treat illnesses and pharmaceutical companies like AstraZeneca (NASDAQ: AZN), with advances in medicine impossible without computerized assistance. The company’s results are a testament to its utility, growing at a high double-digit pace in 2025, and could be the catalyst for a substantial and sustained rally.
The Q1 2025 results reveal losses but also improving operational quality and cash flow. Among the critical details is the CFO's forecast for adjusted EBITDA profits by the end of the year. The profit forecast is tepid, about $5 million, but it is the first drop in a stream of profits that will aid shareholder value gains over the long term.
