TD Cowen Upgrades Tempus AI Inc (TEM) Stock to Buy

Analysts see accelerated growth potential for Tempus' Insights and Genomics businesses.

Apr. 19, 2026 at 8:50pm

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An extreme close-up of complex medical diagnostic machinery, its metallic components and intricate circuitry conveying a sense of advanced technology and scientific precision, conceptually representing Tempus AI's innovative healthcare solutions.Tempus AI's advanced medical technology and AI-driven insights are driving its growth and expanding partnerships in the rapidly evolving healthcare industry.Chicago Today

TD Cowen has upgraded Tempus AI Inc (NASDAQ:TEM) to a Buy rating from Hold, citing the company's strong fundamentals and growth prospects. Tempus, a precision medicine company based in Chicago, has expanded its partnerships with SoftBank, Gilead, and Merck for AI-driven drug development programs. The firm expects Tempus' revenue to grow 25% to $1.59 billion in 2026, driven by its Insights and Genomics businesses.

Why it matters

Tempus' partnerships and AI-powered capabilities position it as a leader in the rapidly growing medical AI market, which is expected to reach $2.29 billion in Japan alone by 2034. The upgrade from TD Cowen reflects growing analyst confidence in Tempus' ability to capitalize on this opportunity.

The details

TD Cowen analyst Dan Brennan upgraded Tempus AI Inc (NASDAQ:TEM) to a Buy rating from Hold, though he lowered the price target to $65 from $70. Brennan cited Tempus' strong fundamentals, including its Insights business, which is well-positioned for accelerated growth and forecast beat in 2026. The firm also expects continued growth in Tempus' Genomics business. Tempus' revenue increased 83.4% to $1.3 billion in 2025, and the company is anticipating 2026 revenue to be $1.59 billion, implying a growth of 25%.

  • Tempus AI Inc (NASDAQ:TEM) was upgraded by TD Cowen on April 13, 2026.
  • Tempus' partnership with SoftBank was unveiled in June 2024.

The players

Tempus AI Inc

A precision medicine company based in Chicago, Illinois that offers services using data and artificial intelligence, primarily focused on cancer treatment but expanding into areas like cardiology and infectious diseases. Tempus AI was founded in 2015 by billionaire Eric Lefkofsky.

TD Cowen

An investment bank and financial services firm that provides research, trading, and investment banking services.

Dan Brennan

A TD Cowen analyst who upgraded Tempus AI Inc (NASDAQ:TEM) to a Buy rating.

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What they’re saying

“Tempus' Insights business is well-positioned for accelerated growth and forecast beat in 2026.”

— Dan Brennan, Analyst

“We expect continued growth in Tempus' Genomics business.”

— Dan Brennan, Analyst

The takeaway

Tempus AI's expanding partnerships and AI-powered capabilities position it as a leader in the rapidly growing medical AI market, which is expected to see significant growth in the coming years. The upgrade from TD Cowen reflects growing analyst confidence in Tempus' ability to capitalize on this opportunity.