Tempus AI (TEM) stock plummeted 5.05% in intraday trading on Thursday, as investors reacted to news of a significant share disposal by a notable stakeholder. The sharp decline comes amid revelations that Enterprise Development (Hong Kong), a unit of Enterprise Development (HKG:1808), had sold a substantial portion of its Tempus AI holdings.

According to a Hong Kong bourse filing on Wednesday, Enterprise Development (Hong Kong) offloaded 62,000 shares of Tempus AI between January 31 and May 12. The shares were sold for a total of over $4 million, at an average price of $65.13 per share. This large-scale disposal appears to have shaken investor confidence, potentially triggering the sell-off observed in Thursday's trading session.

Despite the significant sale, Enterprise Development (Hong Kong) still maintains a position in Tempus AI, retaining 45,000 shares as of Wednesday. The company stated that proceeds from the share disposal would be used for general working capital and further investment in listed securities. However, the market's negative reaction suggests that investors may be interpreting this move as a lack of confidence in Tempus AI's future prospects, contributing to the stock's sharp decline.