Forensic Analysis · Industrials / Manufacturing / Defense · as of Sep 25, 2026
Illumina, Inc. (ILMN)
A forensic read on Illumina, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
C · Mixed — selective
Forensic grade
Safe
Financial health
12.6
Distress distance
Clean
Earnings quality
4
Forensic signals
43.9
P / E (ttm)
31.2%
ROE
$38.6B
Market cap
-0.7%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence, going concern, valuation). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Illumina, Inc. earns a C (Mixed — selective) forensic quality grade, and its balance-sheet distress test reads 12.6, placing it in the Safe zone. 4 forensic signals were flagged in its latest SEC filings, led by accruals ratio (% of noa).
What the filings flag
+13.7%
FY2024→FY2025
Accruals ratio (% of NOA).Net operating assets grew +13.7% relative to their own average in FY2025 — scaled by NOA itself, not by total assets, which is what the Forensic Screens card's own accrual row divides by. Accruals are building faster than is comfortable — part of profit is sitting in the balance sheet rather than turning to cash. The build is led by receivables up +16% against revenue -1%. A cash-flow measure on the same base disagrees: reported earnings ran behind operating cash by 9% of net operating assets, against an accruals ratio of 13.7%. The two are computed differently: the accruals ratio is the change in net operating assets over average net operating assets, while the cash-flow figure is net income less operating cash flow over that same average. Read them as two results, not one.
72d DSO
FY2024→FY2025
Receivables vs revenue.Days sales outstanding moved from 61 to 72 days FY2024→FY2025 (receivables +16% vs revenue -1%). Receivables are creeping up relative to sales. Across FY2023–FY2025 the day count ran 59 → 61 → 72 days, so the latest reading sits on top of a record that was flat or falling before it — one year's move, not a direction the business has been travelling in. Deferred revenue was roughly flat (+6%) over the same period, which doesn't corroborate a benign upfront-billing explanation for the receivables build. Both figures are measured on period-end balances rather than the beginning-plus-ending average, because averaging needs the balance a year before every reading — FY2024's opening balance is on file, but across the 3 fiscal years read here (FY2023–FY2025) the average yields only 2 day counts (1 step), too few to tell a climb from one year's move.
12.5%
FY2025
Return on invested capital.Return on invested capital is 12.5% in the latest fiscal year, against -9.9% in FY2023, having run between -13.8% and 12.5% across FY2023–FY2025 with no direction held. After-tax operating profit was ($845M) in FY2023 and $632M in FY2025, with operating income at -23.7% of revenue in FY2023, -19.1% in FY2024 and 18.6% in FY2025. The capital base behind it came down -41% across FY2023–FY2025, from $8.5B to $5.1B, so this is a return struck on a smaller base rather than a record of money put to work. FY2023's operating profit carried a $712M goodwill write-off, a $115M asset write-down and a $52M restructuring charge that alone took about 8.1 points off that year's return, so about 8.1 of the 22.4-point rise across FY2023–FY2025 is that charge leaving the base year rather than the capital earning more. FY2024's operating profit carried a $1.5B goodwill write-off and a $16M restructuring charge that alone took about 24.6 points off that year's return; FY2024 sits between the two ends of FY2023–FY2025, so the charge shapes the path between them without moving the change across it.
Key fundamentals
Latest Revenue$4.34B
Revenue Growth YoY-0.7%
Revenue CAGR (2yr)-1.8%
Net Margin19.6%
Free Cash Flow$931.0M
Return on Equity31.2%
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Illumina, Inc.'s actual 10-K/10-Q/8-K filings?
Data from SEC EDGAR public filings · metrics as of Sep 25, 2026. Forensic signals flag probability, not certainty.
$2.2B
FY2023–FY2024
Goodwill impairments.Took $2.2B of goodwill writedowns across 2 years (FY2023 ($712M), FY2024 ($1.5B)). Writedowns mean past acquisitions underperformed what was paid for them.
Illumina, Inc. (ILMN) Stock — Forensic Analysis, Red Flags & Rating | Stockonomy · Stockonomy