Illumina, Inc. (ILMN) vs Natera, Inc. (NTRA)

Illumina, Inc. and Natera, Inc. are both Diagnostics & Research companies. Natera, Inc. is the larger, with a market value of $52.4B against $31.5B — 1.7× the size. Natera, Inc. has negative trailing earnings, so its P/E is not meaningful; Illumina, Inc. trades at 35.6×. Natera, Inc. grew revenue faster over the last twelve months: 37.4% against 5.83%. Illumina, Inc. has the higher net margin (19.7% vs −5.66%) and the higher return on invested capital (16.7% vs −8.35%). Across the 20 metrics below, Illumina, Inc. leads on 16 and Natera, Inc. on 4.

Valuation

Metric ILMN NTRA Diagnostics & Research median
P/E 35.62 n/m 34.52
P/S 6.98 18.12 4.24
P/B 10.07 28.19 3.42
Price to free cash flow 30.41 1,004.35 33.51
EV/EBITDA 26.35 n/m 23.44
EV/Sales 7.19 17.87 5.18
Earnings yield 2.81% (0.31%) (1.50%)
Free cash flow yield 3.29% 0.10% 0.00%

Profitability

Metric ILMN NTRA Diagnostics & Research median
Gross margin 67.87% 0.00% 48.32%
Operating margin 21.18% (8.95%) (5.68%)
Net margin 19.72% (5.66%) (4.10%)
Free cash flow margin 23.29% 1.80% 0.00%
Return on equity 32.39% (10.55%) 0.00%
Return on assets 13.78% (7.21%) (6.05%)
Return on invested capital 16.70% (8.35%) 0.00%

Growth

Metric ILMN NTRA Diagnostics & Research median
Revenue growth (TTM) 5.83% 37.43% 8.99%
EPS growth (last fiscal year) 170.87% 0.65% 20.36%
Revenue growth, 5-year CAGR 6.04% 42.61% 7.30%
Net income growth, 5-year CAGR 5.32% 0.00% 0.00%

Health

Metric ILMN NTRA Diagnostics & Research median
Debt to equity 0.57 0.04 0.01
Current ratio 2.63 2.81 2.27
Net debt to EBITDA (0.13) 3.74 0.68

Dividend

Metric ILMN NTRA Diagnostics & Research median
Dividend yield — — 0.67%
Payout ratio — — 0.20

Size

Metric ILMN NTRA Diagnostics & Research median
Market cap 31.45b 52.43b 2.22b

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