Illumina (ILMN - Free Report) closed the most recent trading day at $307.89, moving +1.72% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.7%. At the same time, the Dow added 0.42%, and the tech-heavy Nasdaq gained 1.26%.
Prior to today's trading, shares of the genetic testing tools company had lost 9.46% over the past month. This has lagged the Medical sector's loss of 6.76% and the S&P 500's loss of 6.13% in that time.
Investors will be hoping for strength from ILMN as it approaches its next earnings release, which is expected to be January 29, 2019. The company is expected to report EPS of $1.35, down 6.25% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $860.57 million, up 10.61% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for ILMN. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.4% higher. ILMN is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, ILMN currently has a Forward P/E ratio of 47.36. This represents a premium compared to its industry's average Forward P/E of 22.64.
Investors should also note that ILMN has a PEG ratio of 2.02 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.45 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 58, putting it in the top 23% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.