Stock Analysis on Net

Illumina Inc. (NASDAQ:ILMN)

$22.49

This company has been moved to the archive! The financial data has not been updated since November 5, 2021.

Price to Operating Profit (P/OP)
since 2005

Microsoft Excel

Paying user area


We accept:

Visa Mastercard American Express Maestro Discover JCB PayPal Google Pay
Visa Secure Mastercard Identity Check American Express SafeKey

Calculation

Illumina Inc., P/OP, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2017-01-01), 10-K (reporting date: 2016-01-03), 10-K (reporting date: 2014-12-28), 10-K (reporting date: 2013-12-29), 10-K (reporting date: 2012-12-30), 10-K (reporting date: 2012-01-01), 10-K (reporting date: 2011-01-02), 10-K (reporting date: 2010-01-03), 10-K (reporting date: 2008-12-28), 10-K (reporting date: 2007-12-30), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2006-01-01).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Illumina Inc. Annual Report.


Share price trends
The share price exhibits an overall increasing trend from 12.79 US$ in March 2006 to 494.24 US$ by February 2021. Notable increments occur between 2013 and 2015, where the price rises sharply from 48.73 US$ to 198.62 US$, and again between 2019 and 2021, with the price increasing from 292.2 US$ to 494.24 US$. Some fluctuations are evident in earlier years, such as the decrease from 69.4 US$ in 2011 to 48.73 US$ in 2013, but subsequent years show sustained growth.
Operating profit per share (OP per share) patterns
Operating profit per share shows volatility in the initial years, with negative and low positive values such as -0.26 US$ in 2006 and -2.71 US$ in 2008, followed by gradual improvement. From 2010 onward, the OP per share remains consistently positive, increasing from 1.04 US$ in 2010 to a peak of 6.7 US$ in 2020, although a decrease to 3.98 US$ is seen in 2021. This suggests improving operational profitability over most of the period, despite occasional declines.
Price-to-operating profit ratio (P/OP ratio) analysis
The P/OP ratio shows significant variation, reflecting changes in market valuation relative to operating profitability. It reaches extremely high levels, such as 162.89 in 2014 and 124.33 in 2021, indicating periods when the share price grew disproportionately compared to operating profits. Conversely, lower ratios around 30 to 55 in periods like 2010–2013 and 2015–2019 suggest a closer alignment between price and profitability. The missing ratio data in certain years limits continuous trend analysis.
Overall insights
The data suggests a company experiencing substantial growth in market valuation over 15 years, accompanied by a general improvement in operating profitability. The disconnect between share price increases and operating profit in certain years implies market optimism or expectations that outpace current profitability. The volatility in OP per share in early years transitioning to stability also indicates maturation of operational performance. The elevated P/OP ratios in recent years might warrant attention for potential overvaluation or expectations of future growth beyond current earnings.

Comparison to Competitors

Illumina Inc., P/OP, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2017-01-01), 10-K (reporting date: 2016-01-03), 10-K (reporting date: 2014-12-28), 10-K (reporting date: 2013-12-29), 10-K (reporting date: 2012-12-30), 10-K (reporting date: 2012-01-01), 10-K (reporting date: 2011-01-02), 10-K (reporting date: 2010-01-03), 10-K (reporting date: 2008-12-28), 10-K (reporting date: 2007-12-30), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2006-01-01).