Analyzing Hims & Hers Health (NYSE:HIMS) and Tempus AI (NASDAQ:TEM)

Hims & Hers Health (NYSE:HIMSGet Free Report) and Tempus AI (NASDAQ:TEMGet Free Report) are both medical companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.

Profitability

This table compares Hims & Hers Health and Tempus AI’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Hims & Hers Health 6.05% 24.67% 9.37%
Tempus AI -18.45% -73.21% -13.78%

Earnings & Valuation

This table compares Hims & Hers Health and Tempus AI”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Hims & Hers Health $1.48 billion 5.47 $126.04 million $0.54 65.65
Tempus AI $693.40 million 17.90 -$705.81 million ($1.19) -58.63

Hims & Hers Health has higher revenue and earnings than Tempus AI. Tempus AI is trading at a lower price-to-earnings ratio than Hims & Hers Health, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Hims & Hers Health has a beta of 2.37, meaning that its share price is 137% more volatile than the S&P 500. Comparatively, Tempus AI has a beta of 5.22, meaning that its share price is 422% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for Hims & Hers Health and Tempus AI, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Hims & Hers Health 3 10 3 1 2.12
Tempus AI 1 7 7 0 2.40

Hims & Hers Health presently has a consensus target price of $45.50, suggesting a potential upside of 28.34%. Tempus AI has a consensus target price of $84.00, suggesting a potential upside of 20.40%. Given Hims & Hers Health’s higher possible upside, equities research analysts clearly believe Hims & Hers Health is more favorable than Tempus AI.

Institutional and Insider Ownership

63.5% of Hims & Hers Health shares are held by institutional investors. Comparatively, 24.2% of Tempus AI shares are held by institutional investors. 13.7% of Hims & Hers Health shares are held by company insiders. Comparatively, 26.3% of Tempus AI shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Summary

Hims & Hers Health beats Tempus AI on 10 of the 15 factors compared between the two stocks.

About Hims & Hers Health

(Get Free Report)

Hims & Hers Health, Inc. operates a telehealth consultation platform. It connects consumers to healthcare professionals, enabling them to access medical care for mental health, sexual health, dermatology and primary care. The company was founded in 2017 and is headquartered in San Francisco, CA.

About Tempus AI

(Get Free Report)

Tempus AI Inc. is a technology company advancing precision medicine through the practical application of artificial intelligence principally in healthcare. The company provides AI-enabled precision medicine solutions to physicians to deliver personalized patient care and in parallel facilitates discovery, development and delivery of optimal therapeutics. Tempus AI Inc. is based in CHICAGO.

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