Illumina (NASDAQ:ILMN) Stock Price Down 7.5% on Disappointing Earnings

Illumina, Inc. (NASDAQ:ILMN)’s share price fell 7.5% during trading on Friday after the company announced weaker than expected quarterly earnings. The stock traded as low as $108.81 and last traded at $113.54. 1,736,947 shares traded hands during mid-day trading, a decline of 4% from the average session volume of 1,813,307 shares. The stock had previously closed at $122.80.

The life sciences company reported $0.86 EPS for the quarter, missing the consensus estimate of $0.92 by ($0.06). Illumina had a negative net margin of 36.10% and a positive return on equity of 7.29%.

Wall Street Analysts Forecast Growth

A number of research analysts recently weighed in on the company. JPMorgan Chase & Co. upped their price target on Illumina from $125.00 to $140.00 and gave the stock a “neutral” rating in a research note on Tuesday, November 5th. Citigroup cut shares of Illumina from a “buy” rating to a “neutral” rating and dropped their target price for the company from $190.00 to $165.00 in a research note on Wednesday, December 11th. UBS Group boosted their price target on shares of Illumina from $133.00 to $145.00 and gave the company a “neutral” rating in a research report on Tuesday, November 5th. Morgan Stanley reduced their target price on Illumina from $156.00 to $150.00 and set an “equal weight” rating for the company in a report on Monday, January 13th. Finally, Stephens raised their price target on shares of Illumina from $170.00 to $184.00 and gave the company an “overweight” rating in a report on Tuesday, November 12th. Nine equities research analysts have rated the stock with a hold rating, ten have assigned a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $162.89.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Zacks Investment Management purchased a new stake in Illumina in the third quarter worth about $2,924,000. Freemont Management S.A. purchased a new position in shares of Illumina in the third quarter worth $1,565,000. Assenagon Asset Management S.A. boosted its stake in Illumina by 5.8% during the fourth quarter. Assenagon Asset Management S.A. now owns 42,748 shares of the life sciences company’s stock valued at $5,712,000 after buying an additional 2,338 shares during the last quarter. CCLA Investment Management increased its stake in Illumina by 20.5% during the fourth quarter. CCLA Investment Management now owns 535,050 shares of the life sciences company’s stock worth $71,493,000 after acquiring an additional 91,122 shares during the last quarter. Finally, China Universal Asset Management Co. Ltd. grew its holdings in Illumina by 65.5% during the 3rd quarter. China Universal Asset Management Co. Ltd. now owns 32,806 shares of the life sciences company’s stock valued at $4,278,000 after purchasing an additional 12,986 shares during the last quarter. Hedge funds and other institutional investors own 89.42% of the company’s stock.

Illumina Stock Performance

The company has a quick ratio of 1.85, a current ratio of 2.43 and a debt-to-equity ratio of 0.94. The firm has a market cap of $17.78 billion, a PE ratio of -11.26 and a beta of 1.10. The business has a 50 day simple moving average of $137.37 and a two-hundred day simple moving average of $135.34.

About Illumina

Illumina, Inc offers sequencing- and array-based solutions for genetic and genomic analysis in the United States, Singapore, the United Kingdom, and internationally. It operates through Core Illumina and GRAIL segments. The company offers sequencing and array-based instruments and consumables, which include reagents, flow cells, and library preparation; whole-genome sequencing kits, which sequence entire genomes of various size and complexity; and targeted resequencing kits, which sequence exomes, specific genes, and RNA or other genomic regions of interest.