Tempus AI (TEM) stock is soaring 5.04% in Thursday's trading session, rebounding from a significant drop the previous day. The volatility in Tempus AI's stock price comes amid conflicting market sentiments, with a notable investment from ARK Invest counterbalancing recent negative pressure from a short seller report.

On Wednesday, Tempus AI's stock tumbled 19% following a scathing report from Spruce Point Capital Management. The short seller raised concerns about the company's management and accounting practices in a report titled "The Tempest Surrounding Tempus AI," which put significant downward pressure on the stock.

However, ARK Invest, led by renowned investor Cathie Wood, made a bold move by purchasing a substantial number of Tempus AI shares across its funds. The ARK Genomic Revolution ETF (ARKG) acquired 34,299 shares, while the flagship ARKK fund added 216,781 shares to its portfolio. This vote of confidence from a high-profile investment firm appears to be driving the current rebound in Tempus AI's stock price, despite the lingering concerns raised by the short seller report.