ILLUMINA INC (ILMN) Stock Fundamental Analysis
USA - NASDAQ:ILMN - US4523271090 - Common Stock
121.97 USD
+1.89 (+1.57%)
121.96 USD
-0.01 (-0.01%)
ILMN gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 58 industry peers in the Life Sciences Tools & Services industry. While ILMN has a great profitability rating, there are some minor concerns on its financial health. ILMN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make ILMN a good candidate for value investing.
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.
In multiple years ILMN reported negative net income over the last 5 years.
ILMN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ILMN has a better Return On Assets (11.38%) than 91.38% of its industry peers.
ILMN has a better Return On Equity (29.53%) than 96.55% of its industry peers.
With an excellent Return On Invested Capital value of 16.40%, ILMN belongs to the best of the industry, outperforming 91.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.38% | ||
| ROE | 29.53% | ||
| ROIC | 16.4% |
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
Looking at the Profit Margin, with a value of 16.39%, ILMN belongs to the top of the industry, outperforming 89.66% of the companies in the same industry.
The Operating Margin of ILMN (20.41%) is better than 86.21% of its industry peers.
ILMN's Operating Margin has declined in the last couple of years.
The Gross Margin of ILMN (66.74%) is better than 89.66% of its industry peers.
In the last couple of years the Gross Margin of ILMN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.41% | ||
| PM (TTM) | 16.39% | ||
| GM | 66.74% |
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.
ILMN has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, ILMN has more shares outstanding
Compared to 1 year ago, ILMN has a worse debt to assets ratio.
2.2 Solvency
ILMN has an Altman-Z score of 4.08. This indicates that ILMN is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.08, ILMN is doing good in the industry, outperforming 77.59% of the companies in the same industry.
ILMN has a debt to FCF ratio of 1.99. This is a very positive value and a sign of high solvency as it would only need 1.99 years to pay back of all of its debts.
ILMN has a better Debt to FCF ratio (1.99) than 87.93% of its industry peers.
ILMN has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.42, ILMN is in line with its industry, outperforming 41.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.99 | ||
| Altman-Z | 4.08 |
ROIC/WACC1.63
WACC10.09%
2.3 Liquidity
A Current Ratio of 1.43 indicates that ILMN should not have too much problems paying its short term obligations.
The Current ratio of ILMN (1.43) is worse than 77.59% of its industry peers.
A Quick Ratio of 1.12 indicates that ILMN should not have too much problems paying its short term obligations.
The Quick ratio of ILMN (1.12) is worse than 68.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.43 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 152.02% over the past year.
Measured over the past years, ILMN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -17.93% on average per year.
ILMN shows a decrease in Revenue. In the last year, the revenue decreased by -2.32%.
Measured over the past years, ILMN shows a small growth in Revenue. The Revenue has been growing by 4.29% on average per year.
EPS 1Y (TTM)152.02%
EPS 3Y-25.65%
EPS 5Y-17.93%
EPS Q2Q%17.54%
Revenue 1Y (TTM)-2.32%
Revenue growth 3Y-1.15%
Revenue growth 5Y4.29%
Sales Q2Q%0.37%
3.2 Future
The Earnings Per Share is expected to grow by 24.99% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.93% on average over the next years.
EPS Next Y93.48%
EPS Next 2Y43.68%
EPS Next 3Y33.01%
EPS Next 5Y24.99%
Revenue Next Year-1.07%
Revenue Next 2Y0.57%
Revenue Next 3Y2.22%
Revenue Next 5Y3.93%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
ILMN is valuated quite expensively with a Price/Earnings ratio of 27.97.
75.86% of the companies in the same industry are more expensive than ILMN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.51. ILMN is around the same levels.
The Price/Forward Earnings ratio is 24.12, which indicates a rather expensive current valuation of ILMN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ILMN indicates a somewhat cheap valuation: ILMN is cheaper than 79.31% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ILMN to the average of the S&P500 Index (34.98), we can say ILMN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.97 | ||
| Fwd PE | 24.12 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ILMN is valued cheaper than 86.21% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ILMN is valued cheaply inside the industry as 87.93% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.75 | ||
| EV/EBITDA | 16.47 |
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.
ILMN's earnings are expected to grow with 33.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y43.68%
EPS Next 3Y33.01%
5. Dividend
5.1 Amount
ILMN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
121.97
+1.89 (+1.57%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners102.96%
Inst Owner Change1.4%
Ins Owners0.18%
Ins Owner Change4.33%
Market Cap18.75B
Revenue(TTM)4.29B
Net Income(TTM)703.00M
Analysts72.86
Price Target114.15 (-6.41%)
Short Float %4.39%
Short Ratio3.77
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)13.9%
Min EPS beat(2)12.52%
Max EPS beat(2)15.27%
EPS beat(4)3
Avg EPS beat(4)5.34%
Min EPS beat(4)-7.76%
Max EPS beat(4)15.27%
EPS beat(8)6
Avg EPS beat(8)97.15%
EPS beat(12)10
Avg EPS beat(12)231.96%
EPS beat(16)13
Avg EPS beat(16)178.01%
Revenue beat(2)0
Avg Revenue beat(2)-0.74%
Min Revenue beat(2)-1.21%
Max Revenue beat(2)-0.28%
Revenue beat(4)0
Avg Revenue beat(4)-0.66%
Min Revenue beat(4)-1.21%
Max Revenue beat(4)-0.18%
Revenue beat(8)3
Avg Revenue beat(8)-0.29%
Revenue beat(12)4
Avg Revenue beat(12)-0.57%
Revenue beat(16)5
Avg Revenue beat(16)-0.78%
PT rev (1m)0.26%
PT rev (3m)-1.64%
EPS NQ rev (1m)4.22%
EPS NQ rev (3m)3.39%
EPS NY rev (1m)2.9%
EPS NY rev (3m)9.83%
Revenue NQ rev (1m)0.99%
Revenue NQ rev (3m)0.9%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)1.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.97 | ||
| Fwd PE | 24.12 | ||
| P/S | 4.37 | ||
| P/FCF | 18.75 | ||
| P/OCF | 16.71 | ||
| P/B | 7.87 | ||
| P/tB | 17.97 | ||
| EV/EBITDA | 16.47 |
EPS(TTM)4.36
EY3.57%
EPS(NY)5.06
Fwd EY4.15%
FCF(TTM)6.51
FCFY5.33%
OCF(TTM)7.3
OCFY5.99%
SpS27.9
BVpS15.49
TBVpS6.79
PEG (NY)0.3
PEG (5Y)N/A
Graham Number38.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.38% | ||
| ROE | 29.53% | ||
| ROCE | 20.76% | ||
| ROIC | 16.4% | ||
| ROICexc | 23.54% | ||
| ROICexgc | 43.23% | ||
| OM | 20.41% | ||
| PM (TTM) | 16.39% | ||
| GM | 66.74% | ||
| FCFM | 23.32% |
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
ROICexgc growth 3YN/A
ROICexgc 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-Score7
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 1.99 | ||
| Debt/EBITDA | 0.86 | ||
| Cap/Depr | 44.36% | ||
| Cap/Sales | 2.85% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.57% | ||
| Profit Quality | 142.25% | ||
| Current Ratio | 1.43 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 4.08 |
F-Score7
WACC10.09%
ROIC/WACC1.63
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)152.02%
EPS 3Y-25.65%
EPS 5Y-17.93%
EPS Q2Q%17.54%
EPS Next Y93.48%
EPS Next 2Y43.68%
EPS Next 3Y33.01%
EPS Next 5Y24.99%
Revenue 1Y (TTM)-2.32%
Revenue growth 3Y-1.15%
Revenue growth 5Y4.29%
Sales Q2Q%0.37%
Revenue Next Year-1.07%
Revenue Next 2Y0.57%
Revenue Next 3Y2.22%
Revenue Next 5Y3.93%
EBIT growth 1Y154.36%
EBIT growth 3YN/A
EBIT growth 5Y-7.67%
EBIT Next Year30.85%
EBIT Next 3Y15.15%
EBIT Next 5Y16.22%
FCF growth 1Y495.24%
FCF growth 3Y28.14%
FCF growth 5Y-3.38%
OCF growth 1Y179.8%
OCF growth 3Y15.37%
OCF growth 5Y-4.45%
ILLUMINA INC / ILMN FAQ
Can you provide the ChartMill fundamental rating for ILLUMINA INC?
ChartMill assigns a fundamental rating of 6 / 10 to ILMN.
What is the valuation status for ILMN stock?
ChartMill assigns a valuation rating of 7 / 10 to ILLUMINA INC (ILMN). This can be considered as Undervalued.
How profitable is ILLUMINA INC (ILMN) stock?
ILLUMINA INC (ILMN) has a profitability rating of 7 / 10.
How financially healthy is ILLUMINA INC?
The financial health rating of ILLUMINA INC (ILMN) is 5 / 10.
Can you provide the expected EPS growth for ILMN stock?
The Earnings per Share (EPS) of ILLUMINA INC (ILMN) is expected to grow by 93.48% in the next year.