Tempus AI (TEM) Goldman Sachs 47th Annual Global Healthcare Conference 2026 summary

Business model and strategy

• Focuses on integrating molecular and clinical data to provide actionable insights for patient care, differentiating from traditional diagnostics companies.

• Built extensive connections with over 5,500 hospitals, enabling large-scale data collection and diagnostic insight delivery.

• Proprietary data ownership and distribution are seen as key moats, especially as AI and large language models become more central.

• Comprehensive approach spans inherited risk, therapy selection, monitoring, and rare disease, aiming to contextualize results with AI.

Diagnostics and pricing trends

• Diagnostics currently drive most revenue, but data and AI applications are expected to become more central over time.

• Average selling prices (ASPs) for sequencing have risen sharply, with some assays now priced at $7,500–$8,000, and this trend is expected to continue for 3–5 years.

• FDA approvals, such as for the xT CDx assay, increase revenue but do not significantly impact adoption, which is driven by connectivity and platform advantages.

• Whole genome sequencing is planned for the entire solid tumor portfolio, but regulatory approval processes will delay full rollout by 3–5 years.

Oncology, MRD, and hereditary testing

• Oncology offerings cover the full cancer care continuum, with strong growth in therapy selection due to comprehensive data integration.

• MRD strategy includes both tumor-informed and tumor-naive approaches, with a next-generation pan-cancer assay expected in market by 2027 and paid for in 2028.

• Partnership with Personalis for MRD tests is limited by reimbursement progress, but volumes are ramping up rapidly as more indications are approved.

• Hereditary cancer testing market is largely untapped, with millions eligible for testing but not yet ordered; recent acquisition of Ambry positions for growth.