ILMN Jumps Higher on Upbeat Guidance

In response, two analysts adjusted their price targets

Deputy Editor
Apr 6, 2021 at 10:36 AM
facebook twitter linkedin

The shares of Illumina Inc (NASDAQ:ILMN) are surging today, up 9.2% to trade at $420 at last check, after the company announced better-than-expected preliminary current-quarter and full-year guidance. In response, Cannacord Genuity raised its price target to $460 from $445, while BTIG cut its price objective to $520 from $570. 

Cooling off since its Feb. 12 record high of $555.77, the equity was last week trading below $390 for the first time since mid-January. Now, today's pop has ILMN eyeing its best day in nearly two months, though overhead pressure at the 40-day moving average could act as a ceiling. If these gains hold, the security could be on track to snap its two-week losing streak. 

Elsewhere, the brokerage bunch is leaning bearish. Of the 15 analysts in coverage, five carry a "strong buy" rating on Illumina stock, with seven a "hold" and three a "sell" or worse. Plus, the 12-month consensus price target of $402.75 coming into today is a 4% discount to current levels. 

Meanwhile, though short interest is down 14% during the last two reporting periods, it would still take three days to buy back these bearish bets at ILMN's average pace of trading. A further unwinding of these bearish bets could push the equity higher. 


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 



Special Offers from Schaeffer's Trading Partners