Illumina, Inc. (ILMN) vs Thermo Fisher Scientific Inc. (TMO)

Illumina, Inc. and Thermo Fisher Scientific Inc. are both Diagnostics & Research companies. Thermo Fisher Scientific Inc. is the larger, with a market value of $250.8B against $31.5B — 8.0× the size. Illumina, Inc. trades at the lower P/E: 35.6× against 35.8×. Thermo Fisher Scientific Inc. grew revenue faster over the last twelve months: 8.27% against 5.83%. Illumina, Inc. has the higher net margin (19.7% vs 14.9%) and the higher return on invested capital (16.7% vs 6.03%). Across the 22 metrics below, Illumina, Inc. leads on 16 and Thermo Fisher Scientific Inc. on 6.

Valuation

Metric ILMN TMO Diagnostics & Research median
P/E 35.62 35.78 34.52
P/S 6.98 5.31 4.24
P/B 10.07 4.59 3.42
Price to free cash flow 30.41 32.92 33.51
EV/EBITDA 26.35 24.58 23.44
EV/Sales 7.19 6.01 5.18
Earnings yield 2.81% 2.79% (1.50%)
Free cash flow yield 3.29% 3.04% 0.00%

Profitability

Metric ILMN TMO Diagnostics & Research median
Gross margin 67.87% 41.08% 48.32%
Operating margin 21.18% 17.89% (5.68%)
Net margin 19.72% 14.94% (4.10%)
Free cash flow margin 23.29% 16.13% 0.00%
Return on equity 32.39% 13.37% 0.00%
Return on assets 13.78% 6.51% (6.05%)
Return on invested capital 16.70% 6.03% 0.00%

Growth

Metric ILMN TMO Diagnostics & Research median
Revenue growth (TTM) 5.83% 8.27% 8.99%
EPS growth (last fiscal year) 170.87% 7.32% 20.36%
Revenue growth, 5-year CAGR 6.04% 6.70% 7.30%
Net income growth, 5-year CAGR 5.32% 1.01% 0.00%

Health

Metric ILMN TMO Diagnostics & Research median
Debt to equity 0.57 0.71 0.01
Current ratio 2.63 1.81 2.27
Net debt to EBITDA (0.13) 2.45 0.68

Dividend

Metric ILMN TMO Diagnostics & Research median
Dividend yield — 0.27% 0.67%
Payout ratio — 0.10 0.20

Size

Metric ILMN TMO Diagnostics & Research median
Market cap 31.45b 250.82b 2.22b

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