Prenetics Global (NASDAQ:PRE) and Illumina (NASDAQ:ILMN) Head to Head Analysis

Illumina (NASDAQ:ILMN) and Prenetics Global (NASDAQ:PRE) are both medical companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, valuation, earnings, analyst recommendations, risk, institutional ownership and dividends.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Illumina and Prenetics Global, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Illumina	2	11	8	0	2.29
Prenetics Global	0	0	1	0	3.00

Illumina currently has a consensus target price of $157.62, indicating a potential upside of 49.71%. Prenetics Global has a consensus target price of $9.00, indicating a potential upside of 54.64%. Given Prenetics Global’s stronger consensus rating and higher probable upside, analysts clearly believe Prenetics Global is more favorable than Illumina.

Profitability

This table compares Illumina and Prenetics Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Illumina	-28.71%	2.31%	1.31%
Prenetics Global	-282.96%	-10.76%	-8.79%

Valuation and Earnings

This table compares Illumina and Prenetics Global’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Illumina	$4.50 billion	3.72	-$1.16 billion	($8.15)	-12.92
Prenetics Global	$23.23 million	2.29	-$62.72 million	($4.45)	-1.31

Prenetics Global has lower revenue, but higher earnings than Illumina. Illumina is trading at a lower price-to-earnings ratio than Prenetics Global, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

89.4% of Illumina shares are owned by institutional investors. Comparatively, 25.0% of Prenetics Global shares are owned by institutional investors. 0.2% of Illumina shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Volatility and Risk

Illumina has a beta of 1.15, suggesting that its stock price is 15% more volatile than the S&P 500. Comparatively, Prenetics Global has a beta of -0.14, suggesting that its stock price is 114% less volatile than the S&P 500.

Summary

Illumina beats Prenetics Global on 9 of the 14 factors compared between the two stocks.

About Illumina

Illumina, Inc. offers sequencing- and array-based solutions for genetic and genomic analysis in the United States, Singapore, the United Kingdom, and internationally. It operates through Core Illumina and GRAIL segments. The company offers sequencing and array-based instruments and consumables, which include reagents, flow cells, and library preparation; whole-genome sequencing kits, which sequence entire genomes of various size and complexity; and targeted resequencing kits, which sequence exomes, specific genes, and RNA or other genomic regions of interest. It also provides whole-genome sequencing, genotyping, noninvasive prenatal testing, and product support services; and Galleri, a multi-cancer early detection test. In addition, the company is developing solutions to help accelerate cancer diagnoses, blood-based detection for minimal residual disease, and other post-diagnostic applications. The company serves genomic research centers, academic institutions, government laboratories, and hospitals, as well as pharmaceutical, biotechnology, commercial molecular diagnostic laboratories, and consumer genomics companies. It markets and distributes its products directly to customers, as well as through life-science distributors. Illumina, Inc. was incorporated in 1998 and is based in San Diego, California.

About Prenetics Global

Prenetics Global Limited, a genomics-driven health sciences company, engages in revolutionizing prevention, early detection, and treatment. It offers CircleDNA, a prevention arm that uses whole exome sequencing to offer comprehensive consumer DNA test. The company also, through its joint venture, Insighta, engages in pioneering multi-cancer early detection technologies. In addition, the company, through its equity interests in ACT Genomics Holdings Company Limited, is involved in genomic profiling of solid tumors through ACTOnco. Prenetics Global Limited was founded in 2007 and is based in Quarry Bay, Hong Kong.