Illumina (ILMN) Stock Forecast & Price Target

Illumina has historically demonstrated resilient revenue growth, effectively offsetting pricing declines through increased demand for its sequencing technologies, which suggests strong market elasticity. The company's ambitious goal of achieving high single-digit revenue growth by 2027, backed by a solid roadmap of multiomic technologies and workflows, positions it well for future expansion. Additionally, despite potential challenges in the Chinese market, Illumina is expected to achieve significant earnings per share growth of approximately 14% in 2026, indicating a continued positive trajectory for the company's financial performance.

Illumina has lowered its 2025 non-GAAP diluted EPS guidance to $4.50, citing reduced earnings contributions from China and ongoing macroeconomic trends that pose a risk to revenue stability. The company's stock has declined approximately 40% since its Q4 2024 results, primarily due to concerns over potential operational limitations in China, which represents around 7% of its sales, alongside fears of competitive pressures and potential NIH funding cuts. Continued weakness in demand within the life science tools market, especially in China, may hinder Illumina's ability to achieve revenue or earnings growth comparable to its peers, causing its stock to trade at a relative discount.