Spotlight on Tempus AI: Analyzing the Surge in Options Activity

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Investors with a lot of money to spend have taken a bullish stance on Tempus AI TEM.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with TEM, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 25 uncommon options trades for Tempus AI.

This isn't normal.

The overall sentiment of these big-money traders is split between 64% bullish and 16%, bearish.

Out of all of the special options we uncovered, 8 are puts, for a total amount of $381,921, and 17 are calls, for a total amount of $1,059,960.

Expected Price Movements

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $50.0 to $85.0 for Tempus AI over the recent three months.

Insights into Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Tempus AI's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Tempus AI's substantial trades, within a strike price spectrum from $50.0 to $85.0 over the preceding 30 days.

Tempus AI 30-Day Option Volume & Interest Snapshot

Options Call Chart

Noteworthy Options Activity:

Symbol PUT/CALL Trade Type Sentiment Exp. Date Ask Bid Price Strike Price Total Trade Price Open Interest Volume
TEM CALL SWEEP BULLISH 02/21/25 $3.7 $3.3 $3.6 $79.00 $174.6K 5 512
TEM CALL TRADE BEARISH 03/21/25 $15.9 $15.0 $15.18 $60.00 $151.8K 2.5K 107
TEM PUT SWEEP BULLISH 02/21/25 $12.7 $12.5 $12.5 $85.00 $125.0K 7 447
TEM CALL TRADE NEUTRAL 02/14/25 $7.7 $6.7 $7.19 $67.00 $122.2K 599 269
TEM PUT SWEEP BULLISH 04/17/25 $5.0 $3.7 $3.7 $55.00 $77.7K 273 385

About Tempus AI

Tempus AI Inc is a technology company. It has built the Tempus Platform, which comprises both a technology platform to free healthcare data from silos and an operating system to make the resulting data useful. Its Intelligent Diagnostics use AI, including generative AI, to make laboratory tests more accurate, tailored, and personal.

Following our analysis of the options activities associated with Tempus AI, we pivot to a closer look at the company's own performance.

Tempus AI's Current Market Status

  • With a trading volume of 15,942,711, the price of TEM is up by 6.88%, reaching $73.06.
  • Current RSI values indicate that the stock is may be overbought.
  • Next earnings report is scheduled for 13 days from now.

What Analysts Are Saying About Tempus AI

3 market experts have recently issued ratings for this stock, with a consensus target price of $60.666666666666664.

Turn $1000 into $1270 in just 20 days?

20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * Reflecting concerns, an analyst from TD Cowen lowers its rating to Buy with a new price target of $74. * In a cautious move, an analyst from Needham downgraded its rating to Buy, setting a price target of $56. * An analyst from Loop Capital has decided to maintain their Buy rating on Tempus AI, which currently sits at a price target of $52.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Tempus AI with Benzinga Pro for real-time alerts.

Market News and Data brought to you by Benzinga APIs
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