Illumina, Inc. (ILMN) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-124.1%

-$54.84

vs $227.73 price

Levered DCF

$87.15

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

7.4

Safe zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	24.54×	-17.37×	-18.41×	-7.01×	72.86×	80.13×	46.76×	51.86×
P/B	7.65×	8.95×	3.72×	4.68×	5.17×	11.19×	10.16×	11.14×
P/S	4.81×	4.86×	4.75×	6.73×	12.27×	16.22×	13.23×	12.86×
EV / EBITDA	15.09×	-31.36×	-37.16×	-8.27×	47.52×	48.2×	34.4×	38.67×
Gross margin	66.7%	65.4%	60.9%	64.8%	69.7%	68.0%	69.6%	69.0%
Operating margin	19.9%	-19.1%	-23.7%	-91.2%	-2.7%	17.9%	27.8%	26.5%
Net margin	19.6%	-28.0%	-25.8%	-96.1%	16.8%	20.3%	28.3%	24.8%
Current ratio	2.08×	1.78×	1.66×	1.28×	2.48×	3.6×	6.69×	2.49×
Debt / equity	0.94×	1.1×	0.39×	0.54×	0.24×	0.41×	0.41×	0.52×
Interest coverage	8.55×	-8.33×	-13.88×	-160.73×	-2.02×	11.84×	18.94×	15.49×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	31.2%	-51.5%	-20.2%	-66.7%	7.1%	14.0%	21.7%	21.5%
Return on invested capital	12.0%	-15.6%	-12.4%	-38.7%	-0.7%	6.4%	13.0%	12.3%
Return on assets	12.8%	-19.4%	-11.5%	-35.9%	5.0%	8.6%	13.7%	11.9%
Free cash flow yield	4.5%	3.3%	1.3%	0.3%	0.6%	1.7%	1.8%	2.0%
Earnings yield	4.1%	-5.8%	-5.4%	-14.3%	1.4%	1.2%	2.1%	1.9%
Enterprise value	$22B	$22.7B	$22.6B	$32.4B	$56.8B	$52.6B	$46.7B	$43.7B
Net debt / EBITDA	0.78×	-2.06×	-2×	-0.39×	1.09×	0.09×	-0.12×	0.75×
Cash conversion cycle (days)	154	141	132	117	80	118	130	128