Illumina (ILMN) Stock Forecast & Price Target

Illumina's clinical consumables revenue has shown a mid-single-digit year-over-year increase, indicating strong demand and momentum in the market. The introduction of the MiSeq i100 Plus has successfully attracted new-to-sequencing customers, further expanding the company's consumer base. Additionally, the company has raised its non-GAAP diluted EPS guidance to a range of $4.45-$4.55, reflecting improved financial expectations and favorable developments, including enhanced funding outlooks from China and the NIH.

Illumina is projecting a decline in constant currency revenue by 1.5-2.5% year-over-year for the third quarter of 2025, with expected revenue guidance of approximately $1.06 to $1.07 billion, indicating a 1% decline year-over-year at the midpoint. This decline is attributed to a notable 4-6% decrease in the revenue of sequencing instruments, contrasting with only modest growth of 1-3% in sequencing consumables, which reflects broader challenges in their core business segment. Additionally, shipments of the NovaSeq X have significantly decreased compared to both the first quarter of 2025 and the same period last year, further emphasizing the downturn in demand for Illumina's sequencing platforms.