5 Best Mid-Cap AI Stocks to Buy According to Analysts

4. Tempus AI Inc (NASDAQ:TEM)

Potential Upside: 37.8%

On May 29, Tempus AI Inc (NASDAQ:TEM) announced that it had received FDA approval for a tumor-only indication for its xT CDx sequencing platform. This makes the company the only laboratory to have both tumor-only and tumor-normal comprehensive genomic profiling approvals. This also builds on the company’s solid foundation in leveraging artificial intelligence. The firm sits on over 500 petabytes of data from over 45 million patients.

Tempus AI’s technology now has the ability to identify when a patient receiving a standard drug is expected to do poorly. This will not only help drug companies design smarter clinical trials but also help doctors take better treatment decisions as early as possible. The company’s stock has lost one-fifth of its value in a month, which is understandable, given that most analysts lowered their price targets in May. However, with the success of its sequencing platform, further revisions could come in the short-term, prompting a rally in the stock, which is already up 8% in the last five trading days.

Tempus AI Inc. (NASDAQ:TEM) is a healthcare technology company that uses artificial intelligence to advance precision medicine. It achieves this through its massive libraries of clinical and genomic data. Pharmaceutical companies use their products to improve drug discovery processes while physicians use them to personalize treatments for their patients. The firm is based in Chicago, United States.