TAK vs. TEM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at TAK and TEM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
TAK trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, TEM is a standard domestic listing.
| Symbol | TAK | TEM |
|---|---|---|
| Company Name | Takeda Pharmaceutical Company Limited | Tempus AI, Inc. |
| Country | Japan | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry | Pharmaceuticals | Life Sciences Tools & Services |
| Market Capitalization | 47.02 billion USD | 12.72 billion USD |
| Exchange | NYSE | NasdaqGS |
| Listing Date | January 5, 2010 | June 14, 2024 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of TAK and TEM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | TAK | TEM |
|---|---|---|
| 5-Day Price Return | -3.13% | -4.54% |
| 13-Week Price Return | 4.55% | 11.17% |
| 26-Week Price Return | 3.95% | 7.55% |
| 52-Week Price Return | 5.51% | 21.02% |
| Month-to-Date Return | 4.55% | 29.40% |
| Year-to-Date Return | 5.02% | 116.91% |
| 10-Day Avg. Volume | 4.59M | 12.96M |
| 3-Month Avg. Volume | 4.17M | 12.37M |
| 3-Month Volatility | 16.09% | 79.76% |
| Beta | 0.36 | 3.06 |
Profitability
Return on Equity (TTM)
TAK
1.48%
Pharmaceuticals Industry
- Max
- 38.59%
- Q3
- 19.84%
- Median
- 11.90%
- Q1
- 5.63%
- Min
- -9.96%
TAK’s Return on Equity of 1.48% is in the lower quartile for the Pharmaceuticals industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.
TEM
-107.12%
Life Sciences Tools & Services Industry
- Max
- 19.96%
- Q3
- 11.55%
- Median
- 6.22%
- Q1
- 3.86%
- Min
- -6.95%
TEM has a negative Return on Equity of -107.12%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
Net Profit Margin (TTM)
TAK
2.36%
Pharmaceuticals Industry
- Max
- 34.51%
- Q3
- 17.73%
- Median
- 12.12%
- Q1
- 5.99%
- Min
- -7.73%
Falling into the lower quartile for the Pharmaceuticals industry, TAK’s Net Profit Margin of 2.36% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
TEM
-20.98%
Life Sciences Tools & Services Industry
- Max
- 27.28%
- Q3
- 16.17%
- Median
- 7.24%
- Q1
- 3.00%
- Min
- -3.05%
TEM has a negative Net Profit Margin of -20.98%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
Operating Profit Margin (TTM)
TAK
7.48%
Pharmaceuticals Industry
- Max
- 41.53%
- Q3
- 23.00%
- Median
- 16.24%
- Q1
- 9.24%
- Min
- -6.94%
TAK’s Operating Profit Margin of 7.48% is in the lower quartile for the Pharmaceuticals industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
TEM
-24.66%
Life Sciences Tools & Services Industry
- Max
- 33.15%
- Q3
- 19.34%
- Median
- 13.02%
- Q1
- 8.05%
- Min
- -4.38%
TEM has a negative Operating Profit Margin of -24.66%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | TAK | TEM |
|---|---|---|
| Return on Equity (TTM) | 1.48% | -107.12% |
| Return on Assets (TTM) | 0.72% | -15.77% |
| Net Profit Margin (TTM) | 2.36% | -20.98% |
| Operating Profit Margin (TTM) | 7.48% | -24.66% |
| Gross Profit Margin (TTM) | 65.51% | 60.73% |
Financial Strength
Current Ratio (MRQ)
TAK
1.01
Pharmaceuticals Industry
- Max
- 4.49
- Q3
- 2.77
- Median
- 1.74
- Q1
- 1.26
- Min
- 0.11
TAK’s Current Ratio of 1.01 falls into the lower quartile for the Pharmaceuticals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
TEM
1.54
Life Sciences Tools & Services Industry
- Max
- 4.76
- Q3
- 2.77
- Median
- 1.85
- Q1
- 1.40
- Min
- 0.43
TEM’s Current Ratio of 1.54 aligns with the median group of the Life Sciences Tools & Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
TAK
0.65
Pharmaceuticals Industry
- Max
- 2.44
- Q3
- 1.07
- Median
- 0.42
- Q1
- 0.11
- Min
- 0.00
TAK’s Debt-to-Equity Ratio of 0.65 is typical for the Pharmaceuticals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
TEM
2.58
Life Sciences Tools & Services Industry
- Max
- 1.75
- Q3
- 0.83
- Median
- 0.41
- Q1
- 0.18
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.58, TEM operates with exceptionally high leverage compared to the Life Sciences Tools & Services industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio (TTM)
TAK
2.05
Pharmaceuticals Industry
- Max
- 103.95
- Q3
- 44.18
- Median
- 9.83
- Q1
- 2.82
- Min
- -42.71
In the lower quartile for the Pharmaceuticals industry, TAK’s Interest Coverage Ratio of 2.05 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
TEM
-14.08
Life Sciences Tools & Services Industry
- Max
- 29.61
- Q3
- 23.24
- Median
- 6.07
- Q1
- 2.18
- Min
- -14.08
TEM has a negative Interest Coverage Ratio of -14.08. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | TAK | TEM |
|---|---|---|
| Current Ratio (MRQ) | 1.01 | 1.54 |
| Quick Ratio (MRQ) | 0.52 | 1.34 |
| Debt-to-Equity Ratio (MRQ) | 0.65 | 2.58 |
| Interest Coverage Ratio (TTM) | 2.05 | -14.08 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
TAK
4.23%
Pharmaceuticals Industry
- Max
- 6.98%
- Q3
- 3.32%
- Median
- 2.13%
- Q1
- 0.14%
- Min
- 0.00%
With a Dividend Yield of 4.23%, TAK offers a more attractive income stream than most of its peers in the Pharmaceuticals industry, signaling a strong commitment to shareholder returns.
TEM
0.00%
Life Sciences Tools & Services Industry
- Max
- 1.80%
- Q3
- 0.78%
- Median
- 0.37%
- Q1
- 0.00%
- Min
- 0.00%
TEM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
TAK
138.69%
Pharmaceuticals Industry
- Max
- 165.20%
- Q3
- 90.59%
- Median
- 49.13%
- Q1
- 28.91%
- Min
- 0.00%
TAK’s Dividend Payout Ratio of 138.69% is in the upper quartile for the Pharmaceuticals industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
TEM
0.00%
Life Sciences Tools & Services Industry
- Max
- 156.00%
- Q3
- 65.73%
- Median
- 23.81%
- Q1
- 0.00%
- Min
- 0.00%
TEM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | TAK | TEM |
|---|---|---|
| Dividend Yield (TTM) | 4.23% | 0.00% |
| Dividend Payout Ratio (TTM) | 138.69% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
TAK
66.26
Pharmaceuticals Industry
- Max
- 42.51
- Q3
- 26.88
- Median
- 19.11
- Q1
- 15.12
- Min
- 0.00
At 66.26, TAK’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Pharmaceuticals industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
TEM
--
Life Sciences Tools & Services Industry
- Max
- 117.96
- Q3
- 65.59
- Median
- 37.26
- Q1
- 27.51
- Min
- 1.73
P/E Ratio data for TEM is currently unavailable.
Price-to-Sales Ratio (TTM)
TAK
1.56
Pharmaceuticals Industry
- Max
- 7.55
- Q3
- 4.54
- Median
- 2.11
- Q1
- 1.52
- Min
- 0.00
TAK’s P/S Ratio of 1.56 aligns with the market consensus for the Pharmaceuticals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
TEM
13.37
Life Sciences Tools & Services Industry
- Max
- 12.46
- Q3
- 6.70
- Median
- 4.24
- Q1
- 2.68
- Min
- 0.73
With a P/S Ratio of 13.37, TEM trades at a valuation that eclipses even the highest in the Life Sciences Tools & Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
TAK
1.01
Pharmaceuticals Industry
- Max
- 9.78
- Q3
- 4.96
- Median
- 2.23
- Q1
- 1.46
- Min
- 0.60
TAK’s P/B Ratio of 1.01 is in the lower quartile for the Pharmaceuticals industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
TEM
35.53
Life Sciences Tools & Services Industry
- Max
- 7.99
- Q3
- 4.69
- Median
- 3.30
- Q1
- 1.88
- Min
- 1.02
At 35.53, TEM’s P/B Ratio is at an extreme premium to the Life Sciences Tools & Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | TAK | TEM |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 66.26 | -- |
| Price-to-Sales Ratio (TTM) | 1.56 | 13.37 |
| Price-to-Book Ratio (MRQ) | 1.01 | 35.53 |
| Price-to-Free Cash Flow Ratio (TTM) | 10.08 | -- |