NOT FOR DISTRIBUTION
Header cover image

Market Cap

US$58.7b

Last Updated

2021/04/16 22:17 UTC

Data Sources

Company Financials +

Executive Summary

Illumina, Inc. provides sequencing and array-based solutions for genetic and genomic analysis. More Details


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Illumina's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ILMN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: ILMN's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

-1.1%

ILMN

2.2%

US Life Sciences

1.3%

US Market


1 Year Return

26.1%

ILMN

62.3%

US Life Sciences

53.9%

US Market

Return vs Industry: ILMN underperformed the US Life Sciences industry which returned 62.3% over the past year.

Return vs Market: ILMN underperformed the US Market which returned 53.9% over the past year.


Shareholder returns

ILMNIndustryMarket
7 Day-1.1%2.2%1.3%
30 Day-5.0%8.2%3.3%
90 Day6.0%2.9%8.9%
1 Year26.1%26.1%62.5%62.3%56.6%53.9%
3 Year63.1%63.1%116.7%115.4%64.4%53.6%
5 Year177.9%177.9%216.1%212.3%120.4%95.7%

Long-Term Price Volatility Vs. Market

How volatile is Illumina's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Illumina undervalued compared to its fair value and its price relative to the market?

89.41x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ILMN ($399) is trading above our estimate of fair value ($159.48)

Significantly Below Fair Value: ILMN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ILMN is poor value based on its PE Ratio (89.4x) compared to the US Life Sciences industry average (46.6x).

PE vs Market: ILMN is poor value based on its PE Ratio (89.4x) compared to the US market (22.5x).


Price to Earnings Growth Ratio

PEG Ratio: ILMN is poor value based on its PEG Ratio (3.8x)


Price to Book Ratio

PB vs Industry: ILMN is overvalued based on its PB Ratio (12.4x) compared to the US Life Sciences industry average (7.9x).


Future Growth

How is Illumina forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

23.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ILMN's forecast earnings growth (23.6% per year) is above the savings rate (2%).

Earnings vs Market: ILMN's earnings (23.6% per year) are forecast to grow faster than the US market (18.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ILMN's revenue (13% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: ILMN's revenue (13% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ILMN's Return on Equity is forecast to be low in 3 years time (18%).


Past Performance

How has Illumina performed over the past 5 years?

11.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ILMN has a large one-off gain of $187.0M impacting its January 3 2021 financial results.

Growing Profit Margin: ILMN's current net profit margins (20.3%) are lower than last year (28.2%).


Past Earnings Growth Analysis

Earnings Trend: ILMN's earnings have grown by 11.5% per year over the past 5 years.

Accelerating Growth: ILMN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ILMN had negative earnings growth (-34.3%) over the past year, making it difficult to compare to the Life Sciences industry average (7.4%).


Return on Equity

High ROE: ILMN's Return on Equity (14%) is considered low.


Financial Health

How is Illumina's financial position?


Financial Position Analysis

Short Term Liabilities: ILMN's short term assets ($4.5B) exceed its short term liabilities ($1.2B).

Long Term Liabilities: ILMN's short term assets ($4.5B) exceed its long term liabilities ($1.6B).


Debt to Equity History and Analysis

Debt Level: ILMN's debt to equity ratio (25.2%) is considered satisfactory.

Reducing Debt: ILMN's debt to equity ratio has reduced from 57.7% to 25.2% over the past 5 years.

Debt Coverage: ILMN's debt is well covered by operating cash flow (91.2%).

Interest Coverage: ILMN's interest payments on its debt are well covered by EBIT (80.6x coverage).


Balance Sheet


Dividend

What is Illumina current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ILMN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ILMN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ILMN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ILMN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ILMN's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Francis deSouza (49 yo)

4.75yrs

Tenure

US$1,521,949

Compensation

Mr. Francis A. deSouza has been the Chief Executive Officer of Illumina Inc. since July 5, 2016 and was its President since December 2013 until March 2021. Mr. deSouza served as President of Products & Ser...


CEO Compensation Analysis

Compensation vs Market: Francis's total compensation ($USD1.52M) is below average for companies of similar size in the US market ($USD11.14M).

Compensation vs Earnings: Francis's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ILMN's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: ILMN's board of directors are considered experienced (4.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ILMN insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Illumina, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Illumina, Inc.
  • Ticker: ILMN
  • Exchange: NasdaqGS
  • Founded: 1998
  • Industry: Life Sciences Tools and Services
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: US$58.653b
  • Shares outstanding: 145.90m
  • Website: https://www.illumina.com

Number of Employees


Location

  • Illumina, Inc.
  • 5200 Illumina Way
  • San Diego
  • California
  • 92122
  • United States

Listings


Biography

Illumina, Inc. provides sequencing and array-based solutions for genetic and genomic analysis. Its products and services serve customers in a range of markets enabling the adoption of genomic solutions in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/16 22:17
End of Day Share Price2021/04/16 00:00
Earnings2021/01/03
Annual Earnings2021/01/03


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.