ILLUMINA INC (ILMN) Stock Fundamental Analysis
USA - NASDAQ:ILMN - US4523271090 - Common Stock
100.92 USD
+5.8 (+6.1%)
100.75 USD
-0.17 (-0.17%)
Taking everything into account, ILMN scores 5 out of 10 in our fundamental rating. ILMN was compared to 55 industry peers in the Life Sciences Tools & Services industry. ILMN has an excellent profitability rating, but there are some minor concerns on its financial health. ILMN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ILMN was profitable.
In the past year ILMN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: ILMN reported negative net income in multiple years.
Each year in the past 5 years ILMN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 20.67%, ILMN belongs to the top of the industry, outperforming 96.36% of the companies in the same industry.
ILMN has a better Return On Equity (55.71%) than 96.36% of its industry peers.
The Return On Invested Capital of ILMN (15.06%) is better than 89.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.67% | ||
| ROE | 55.71% | ||
| ROIC | 15.06% |
ROA(3y)-22.28%
ROA(5y)-10.63%
ROE(3y)-46.16%
ROE(5y)-23.48%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ILMN's Profit Margin of 29.37% is amongst the best of the industry. ILMN outperforms 98.18% of its industry peers.
Looking at the Operating Margin, with a value of 20.59%, ILMN belongs to the top of the industry, outperforming 87.27% of the companies in the same industry.
ILMN's Operating Margin has declined in the last couple of years.
ILMN has a Gross Margin of 66.55%. This is amongst the best in the industry. ILMN outperforms 92.73% of its industry peers.
ILMN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.59% | ||
| PM (TTM) | 29.37% | ||
| GM | 66.55% |
OM growth 3YN/A
OM growth 5Y-11.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.07%
GM growth 5Y-1.23%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ILMN is still creating some value.
Compared to 1 year ago, ILMN has about the same amount of shares outstanding.
ILMN has more shares outstanding than it did 5 years ago.
ILMN has a worse debt/assets ratio than last year.
2.2 Solvency
ILMN has an Altman-Z score of 3.64. This indicates that ILMN is financially healthy and has little risk of bankruptcy at the moment.
ILMN's Altman-Z score of 3.64 is fine compared to the rest of the industry. ILMN outperforms 74.55% of its industry peers.
The Debt to FCF ratio of ILMN is 1.93, which is an excellent value as it means it would take ILMN, only 1.93 years of fcf income to pay off all of its debts.
ILMN has a Debt to FCF ratio of 1.93. This is amongst the best in the industry. ILMN outperforms 85.45% of its industry peers.
A Debt/Equity ratio of 0.66 indicates that ILMN is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.66, ILMN is doing worse than 72.73% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for ILMN, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 1.93 | ||
| Altman-Z | 3.64 |
ROIC/WACC1.48
WACC10.18%
2.3 Liquidity
A Current Ratio of 1.81 indicates that ILMN should not have too much problems paying its short term obligations.
ILMN has a worse Current ratio (1.81) than 60.00% of its industry peers.
A Quick Ratio of 1.41 indicates that ILMN should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.41, ILMN is doing worse than 65.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 352.17% over the past year.
The earnings per share for ILMN have been decreasing by -17.93% on average. This is quite bad
ILMN shows a decrease in Revenue. In the last year, the revenue decreased by -3.27%.
The Revenue has been growing slightly by 4.29% on average over the past years.
EPS 1Y (TTM)352.17%
EPS 3Y-25.65%
EPS 5Y-17.93%
EPS Q2Q%230.56%
Revenue 1Y (TTM)-3.27%
Revenue growth 3Y-1.15%
Revenue growth 5Y4.29%
Sales Q2Q%-4.77%
3.2 Future
ILMN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.70% yearly.
The Revenue is expected to grow by 3.57% on average over the next years.
EPS Next Y88.16%
EPS Next 2Y42.23%
EPS Next 3Y31.99%
EPS Next 5Y23.7%
Revenue Next Year-1.41%
Revenue Next 2Y0.66%
Revenue Next 3Y2.26%
Revenue Next 5Y3.57%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 24.26 indicates a rather expensive valuation of ILMN.
ILMN's Price/Earnings ratio is a bit cheaper when compared to the industry. ILMN is cheaper than 76.36% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.27, ILMN is valued at the same level.
A Price/Forward Earnings ratio of 20.36 indicates a rather expensive valuation of ILMN.
78.18% of the companies in the same industry are more expensive than ILMN, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.77, ILMN is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.26 | ||
| Fwd PE | 20.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ILMN is valued cheaper than 87.27% of the companies in the same industry.
ILMN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ILMN is cheaper than 92.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.05 | ||
| EV/EBITDA | 13.9 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ILMN may justify a higher PE ratio.
A more expensive valuation may be justified as ILMN's earnings are expected to grow with 31.99% in the coming years.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y42.23%
EPS Next 3Y31.99%
5. Dividend
5.1 Amount
No dividends for ILMN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
100.92
+5.8 (+6.1%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners101.51%
Inst Owner Change-0.18%
Ins Owners0.17%
Ins Owner Change2.48%
Market Cap15.51B
Analysts72
Price Target114.55 (13.51%)
Short Float %4.9%
Short Ratio3.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.3%
Min EPS beat(2)1.33%
Max EPS beat(2)15.27%
EPS beat(4)3
Avg EPS beat(4)8.93%
Min EPS beat(4)-7.76%
Max EPS beat(4)26.88%
EPS beat(8)6
Avg EPS beat(8)115.88%
EPS beat(12)10
Avg EPS beat(12)231.91%
EPS beat(16)13
Avg EPS beat(16)178.79%
Revenue beat(2)0
Avg Revenue beat(2)-1.08%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)-0.95%
Revenue beat(4)0
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-1.91%
Max Revenue beat(4)-0.18%
Revenue beat(8)3
Avg Revenue beat(8)-0.63%
Revenue beat(12)4
Avg Revenue beat(12)-0.69%
Revenue beat(16)6
Avg Revenue beat(16)-0.56%
PT rev (1m)-1.3%
PT rev (3m)4.67%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)7.84%
EPS NY rev (1m)6.81%
EPS NY rev (3m)6.53%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.93%
Revenue NY rev (1m)0.72%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.26 | ||
| Fwd PE | 20.36 | ||
| P/S | 3.62 | ||
| P/FCF | 15.05 | ||
| P/OCF | 13.44 | ||
| P/B | 6.87 | ||
| P/tB | 17.1 | ||
| EV/EBITDA | 13.9 |
EPS(TTM)4.16
EY4.12%
EPS(NY)4.96
Fwd EY4.91%
FCF(TTM)6.71
FCFY6.65%
OCF(TTM)7.51
OCFY7.44%
SpS27.87
BVpS14.69
TBVpS5.9
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.67% | ||
| ROE | 55.71% | ||
| ROCE | 19.07% | ||
| ROIC | 15.06% | ||
| ROICexc | 20.07% | ||
| ROICexgc | 32.87% | ||
| OM | 20.59% | ||
| PM (TTM) | 29.37% | ||
| GM | 66.55% | ||
| FCFM | 24.07% |
ROA(3y)-22.28%
ROA(5y)-10.63%
ROE(3y)-46.16%
ROE(5y)-23.48%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-6.48%
ROICexc growth 3YN/A
ROICexc growth 5Y-9.28%
OM growth 3YN/A
OM growth 5Y-11.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.07%
GM growth 5Y-1.23%
F-Score6
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 1.93 | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | 44.24% | ||
| Cap/Sales | 2.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 99.48% | ||
| Profit Quality | 81.96% | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 3.64 |
F-Score6
WACC10.18%
ROIC/WACC1.48
Cap/Depr(3y)66.6%
Cap/Depr(5y)76.75%
Cap/Sales(3y)5.82%
Cap/Sales(5y)5.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)352.17%
EPS 3Y-25.65%
EPS 5Y-17.93%
EPS Q2Q%230.56%
EPS Next Y88.16%
EPS Next 2Y42.23%
EPS Next 3Y31.99%
EPS Next 5Y23.7%
Revenue 1Y (TTM)-3.27%
Revenue growth 3Y-1.15%
Revenue growth 5Y4.29%
Sales Q2Q%-4.77%
Revenue Next Year-1.41%
Revenue Next 2Y0.66%
Revenue Next 3Y2.26%
Revenue Next 5Y3.57%
EBIT growth 1Y265.98%
EBIT growth 3YN/A
EBIT growth 5Y-7.67%
EBIT Next Year30.52%
EBIT Next 3Y15.06%
EBIT Next 5Y14.59%
FCF growth 1Y560.27%
FCF growth 3Y28.14%
FCF growth 5Y-3.38%
OCF growth 1Y449.52%
OCF growth 3Y15.37%
OCF growth 5Y-4.45%