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TEM (Tempus AI) 3-Year RORE % : 74.56% (As of Sep. 2024)


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What is Tempus AI 3-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Tempus AI's 3-Year RORE % for the quarter that ended in Sep. 2024 was 74.56%.

The industry rank for Tempus AI's 3-Year RORE % or its related term are showing as below:

TEM's 3-Year RORE % is ranked better than
87.75% of 612 companies
in the Healthcare Providers & Services industry
Industry Median: -0.2 vs TEM: 74.56

Tempus AI 3-Year RORE % Historical Data

The historical data trend for Tempus AI's 3-Year RORE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Tempus AI 3-Year RORE % Chart

Tempus AI Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
3-Year RORE %
- - - - 30.63

Tempus AI Quarterly Data
Dec19 Jun20 Sep20 Dec20 Jun21 Sep21 Dec21 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
3-Year RORE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.67 30.63 - - 74.56

Competitive Comparison of Tempus AI's 3-Year RORE %

For the Health Information Services subindustry, Tempus AI's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tempus AI's 3-Year RORE % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Tempus AI's 3-Year RORE % distribution charts can be found below:

* The bar in red indicates where Tempus AI's 3-Year RORE % falls into.



Tempus AI 3-Year RORE % Calculation

Tempus AI's 3-Year RORE % for the quarter that ended in Sep. 2024 is calculated as:

3-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 3-year -Cumulative Dividends per Share for 3-year )
=( -11.289--0.428 )/( -14.567-0 )
=-10.861/-14.567
=74.56 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Sep. 2024 and 3-year before.


Tempus AI  (NAS:TEM) 3-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Tempus AI 3-Year RORE % Related Terms

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Tempus AI Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
600 West Chicago Avenue, Suite 510, Chicago, IL, USA, 60654
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.