INDIA – 2023/12/16: In this photo illustration, the Illumina logo is seen displayed on a mobile phone screen. (Photo Illustration by Idrees Abbas/SOPA Images/LightRocket via Getty Images)
SOPA Images/LightRocket via Getty Images
Amid increased competition from China’s MGI Tech, Illumina’s stock (NASDAQ: ILMN) has dropped by 11% in a week. MGI Tech’s DNA sequencers are reportedly gaining market share, and despite a recent decline in its international sales due to U.S. sanctions, MGI Tech’s global market presence remains strong. Now, even with the recent fall in ILMN’s stock price, we believe there are better investment opportunities available.
IQVIA (NYSE: IQV) presents stronger revenue growth during critical periods, enhanced profitability, and a relatively lower valuation compared to Illumina (ILMN), indicating that investing in IQV may be a more beneficial choice.
- IQV’s quarterly revenue growth was 5.3%, while ILMN’s was -4.8%.
- Moreover, its revenue growth for the Last 12 Months stood at 3.6%, surpassing ILMN’s -3.3%.
- IQV’s 3-year average margin is more robust: 13.7% compared to ILMN’s 6.7%.
ILMN offers solutions for sequencing and array-based genomic analysis, facilitating research and clinical markets globally through direct sales across North America, Europe, Latin America, and Asia-Pacific. IQV supplies advanced analytics, technology, and clinical research services, which include cloud applications, project management, clinical trial assistance, virtual trials, and strategic planning for the life sciences sector worldwide.
Valuation & Performance Overview
Valuation & Performance Overview
Trefis
See more revenue details:
See more margin details:
But do these figures reveal the complete picture? Read Buy or Sell IQV Stock to determine if IQVIA’s advantage holds up under scrutiny or if Illumina still has tactical options available (see Buy or Sell ILMN Stock).
This is one perspective to evaluate stocks. Trefis High Quality Portfolio assesses much more and is crafted to mitigate stock-specific risks while providing upside exposure. It has comfortably outperformed its benchmark—a combination of the S&P 500, Russell, and S&P MidCap indexes—and has achieved returns exceeding 91% since its inception. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.
Historical Market Performance
Historical Market Performance
Trefis
Regardless of how impressive the figures may appear, investing in stocks is never a straightforward journey. There are risks to consider. Read the IQV Dip Buy Analysis and the ILMN Dip Buy Analysis to understand how these stocks have experienced declines and recoveries in the past.
Remember, investing in a single stock without comprehensive analysis can be risky. Consider the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (combination of the S&P 500, S&P mid-cap, and Russell 2000 benchmark indices) to produce strong returns for investors. Why is that? The quarterly rebalanced mix of large-, mid-, and small-cap RV Portfolio stocks provided a responsive way to make the most of upbeat market conditions while limiting losses when markets head south, as detailed in RV Portfolio performance metrics.
