Illumina Stock Analysis (NASDAQ:ILMN)
Illumina Analysis Video
View Illumina stock analysis video. This is our ILMN analyst opinion covering the buy and sell arguments for ILMN stock.
Illumina, Inc. Stock Rating (3.7/5)
Our Illumina stock opinion is based on fundamentals of the company. This Illumina stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy ILMN stock?
- The TTM operating margin was good at 24.5% for Illumina.
- LTM Net margins were good at 19.3% for Illumina.
- The company has an operating cash flow which is 2.3 times the net income. We see this as a positive signal.
- Illumina's return on invested capital of 22% is good.
- Illumina has a good Return On Equity (ROE) of 21.7%.
- Illumina has a healthy FCF (Free Cash Flow) margin of 32.1%.
Should you sell ILMN stock?
- With a debt/equity ratio of 0.56, Illumina is highly leveraged in comparison to Medical peers.
- ILMN stock is trading at a PE ratio of 51.7, which is worse than the industry average multiple of 21.5.
- The company is trading at a price to sales multiple of 10.7, which is higher in comparison to the Medical-Biomed-Genetics industry average of 4.6, making ILMN stock expensive.