TEM Stock Surges 9% on Boosted Price Target, Vaccine Trial Success

Tempus AI Inc's (TEM) shares surged 9% on Thursday after Wall Street boosted its price target to $80, implying a potential upside of about 31% from the stock's last closing price.

The optimism around TEM stems from its agreement to buy Personalis for $1.5 billion in May. The deal adds key technology that identifies unique markers in cancer cells, enabling Moderna and Merck to craft custom mRNA vaccines.

Tempus already worked with Personalis on cancer monitoring tests, but the full purchase would bring sequencing capability inside TEM and position it as a leading provider for the vaccine program.

The success of Moderna and Merck's late-stage study of their combined vaccine met its main goal, reducing the chance of melanoma returning or spreading after surgery.