Illumina Inc. shares reached a 52-week high of $207.10 on Thursday, extending gains after the genomics company announced a $300 million note offering to refinance existing debt.
The company entered an underwriting agreement with J.P. Morgan Securities LLC and Citigroup Global Markets Inc. for the issuance of 4.950% notes due in 2029. Proceeds from the offering will be used to repay its 4.650% notes due in 2026, according to a regulatory filing.
Shares of Illumina were trading at $162.64 at midday, up 27% year-to-date and representing a 108.22% increase over the past 12 months. The company reported a gross profit margin of 68%, reflecting strong operational efficiency.
Analysts at Freedom Broker downgraded Illumina to Hold from Buy while raising their price target to $185 from $155, citing strong quarterly results. Canaccord’s Kyle Mikson lifted his target to $205, maintaining a Hold rating after Illumina’s sequencer sales exceeded expectations. Stifel raised its target to $225 with a Buy rating, highlighting robust demand for the NovaSeq X systems, while Guggenheim increased its target to $226, also maintaining a Buy rating following a revenue and earnings beat against consensus estimates.
InvestingPro data also noted management has been actively repurchasing shares, signaling confidence in the company’s outlook.
