Category Archives: Illumina

Illumina: In The Zone

Since our October 6, 2015 posting about Illumina Inc.  (ILMN), the stock has continued in an overall declining trend as outlined in the chart below.

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Illumina Downside Targets

The stock of Illumina Inc. (ILMN) is experiencing some major moves to the downside since peaking in July 2015.  After the high of $242, Illumina has declined -39%.  As a component of the Nasdaq 100 index, we think that ILMN is worth watching to see if it achieves any of the downside targets that are outlined by Edson Gould’s Speed Resistance Lines (SRL).

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Illumina Shines After Appearing on Watch List

In yesterday’s note, we outlined what appears to be the conclusion of Sanofi-Aventis’ (SNY) attempt to buy Genzyme (GENZ) in a $20 billion deal that was 7 months in the making. Genzyme was on our October 30, 2009 Nasdaq 100 Watch List before Sanofi-Aventis made the initial offered to buy Genzyme (GENZ) in July of 2010. At the time, the New Low team suggested that because so many of the companies on our Nasdaq 100 Watch List were in the drug sector, there was likely to be acquisitions or merger in the same industry. The alternative reaction is for individual investors to bid the price of the stocks higher.

On our December 19, 2009 Nasdaq 100 Watch List, Genzyme (GENZ) shared a place on the list with Illumina (ILMN) (article here). As mentioned yesterday, the price performance of Illumina (ILMN) since being on our December 19, 2009 Watch List has been amazing. Below is a comparison chart of Illumina (ILMN) and Genzyme (GENZ).



Illumina (ILMN) has managed to increase in value by over 3 times as much as Genzyme in the same period. Even the sweetened offer by Sanofi-Aventis, from $69 a share to $74, is not enough to put a dent in the gap between Illumina’s performance against Genzyme. In mid-January 2010 (article here), we pointed out the strength of Illumina’s reported earnings which pushed up the share of the company 15% in a single day. Purchase of ILMN in mid-January 2010 have overshadowed the rise of Genzyme in its path to acquisition.

For companies that appear on our Dividend or Nasdaq 100 lists, we believe it is only a matter of time before the market recognizes the value. In many instances, even a cursory overview of the company’s financial information using sources like Value Line, Morningstar and Mergent (assuming the worst case scenario) can provide a fair approximation of true worth.

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Illumina (ILMN) Shines a Light on Profitability

Today, Illumina Inc. (ILMN) was up 15.82% after announcing stronger than expected earnings. According to Yahoo!Quotes, ILMN "...engages in the development, manufacture, and marketing of integrated systems for the analysis of genetic variation and biological function." Apparently it was a total shock to investors and analysts alike that ILMN had the capacity to pull through with strong earnings.

ILMN was last on our Nasdaq 100 Watch List on December 19, 2009. Not long after ILMN hit our list did it catapult 43.69% in 26 days. It is hoped that followers of this website pay close attention to the companies that are on our Dividend Achiever and Nasdaq 100 Watch Lists. Each list has provided exceptional long term and short term opportunities when using fundamental and technical analysis combined. -Touc