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ILMN Stock Set to Gain From Expansion of TruSight Oncology Portfolio

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Illumina, Inc. (ILMN - Free Report) is expanding its TruSight Oncology portfolio with a new version of its flagship cancer research assay, currently under development. The TruSight Oncology 500 v2 (TSO 500 v2) to enable comprehensive genomic profiling (CGP) of tumors will be presented at the annual meeting of the Association of Molecular Pathology in Vancouver, British Columbia, on Nov. 21.

One of the customers having early access to TSO 500 v2 emphasized the relevance of the assay’s new features to clinical research laboratories and positively affected time to results, quality of results and the processing of challenging tissue samples. The global release of the new assay is expected in mid-2025.

Predicting ILMN Stock Movement Following the News

After the announcement yesterday, ILMN shares climbed 3.3%, finishing at $135. Illumina's oncology portfolio has evolved over time to fit customers' diverse needs for versatility and scalability. The TSO portfolio encompasses research-use-only (TSO 500 products) and in-vitro diagnostic (TSO Comprehensive) solutions across a range of low, mid and high-throughput instrumentation. We expect the latest development to positively boost market sentiment toward ILMN stock.

Illumina currently has a market capitalization of $20.74 billion. The company’s earnings in 2024 are expected to surge nearly 343% compared to the industry’s 17.8% growth. In the trailing four quarters, it delivered an earnings beat of 432.76%, on average,

Key Features of Illumina’s Latest Solution

TSO 500 v2 assesses hundreds of genes across all variant classes and immuno-oncology biomarkers in a single assay from one sample to facilitate therapy selection research. It features faster turnaround time, reduced hands-on time, sensitive variant calling and improved coverage of difficult genomic regions.

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The assay includes the gold-standard Myriad Genomic Instability Score to determine homologous recombination deficiency status for all samples. The new kit configurations have 50% less packaging and 70% fewer tubes and boast improved usability. TSO 500 v2 also has integrated and automated data analysis, from sequencers to insights, supported with DRAGEN secondary analysis and Illumina Connected Insights or Velsera's Clinical Genomics Workspace. Other features of the assay include broad platform compatibility and automation methods that are available with flexible batch sizes.

Industry Prospects Favoring Illumina

Per a Research report, the global tumor profiling market was valued at $11 billion in 2023 and is expected to witness a compound annual rate of 10.3% by 2030. The rising number of cancer cases and precision oncology, tailoring therapies to a tumor's unique genetic makeup, relies heavily on tumor profiling. Technological advancements are making tumor profiling faster, more accurate and more affordable.

More Updates From Illumina

In the same release, the company announced that its TSO Comprehensive kits are now available to ship. In August 2024, Illumina achieved the FDA’s approval for the TSO Comprehensive test and its first two companion diagnostic indications. The single test interrogates more than 500 genes to profile a patient's solid tumor, helping increase the likelihood of identifying an immuno-oncology biomarker or clinically actionable biomarkers that enable targeted therapy options or clinical trial enrollment.

ILMN Stock Price Performance

In the past year, ILMN shares have rallied 38.5% against the industry’s decline of 0.9%.

ILMN’s Zacks Rank and Key Picks

Illumina currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are Penumbra (PEN - Free Report) , Haemonetics (HAE - Free Report) and Globus Medical (GMED - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Penumbra’s shares have risen 0.7% in the past year. Estimates for the company’s 2024 earnings per share have jumped 8.1% to $2.79 in the past 30 days. PEN’s earnings beat estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 10.54%. In the last reported quarter, it posted an earnings surprise of 23.19%.

Estimates for Haemonetics’ fiscal 2025 earnings per share have jumped 0.4% to $4.59 in the past 30 days. Shares of the company have rallied 2.3% in the past year compared with the industry’s growth of 22.8%. HAE’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 2.82%. In the last reported quarter, it delivered an earnings surprise of 2.75%.

Estimates for Globus Medical’s 2024 earnings per share have increased 0.4% to $2.95 in the past 30 days. Shares of the company have surged 83.6% in the past year compared to the industry’s 15.4% growth. GMED’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 17.65%. In the last reported quarter, it delivered an earnings surprise of 27.69%.

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