Illumina Inc. shares tanked 26% in morning trade Tuesday after the company estimated third-quarter revenue would come in below expectations, based on a preliminary financial analysis. Illumina estimated revenue would increase to $607 million from $550 million, missing the company's revenue guidance of $625 million to $630 million and the FactSet consensus of $618.1 million. Illumina, which focuses on DNA sequencing and array-based technologies, attributed the shortfall to a "larger than anticipated year-over-year decline in high throughput sequencing instruments," a 26% decline, and said it expected fourth-quarter revenue to be flat to slightly up sequentially. The company is scheduled to report earnings after the close on Nov. 1. Illumina shares dropped 2.0% over the last three months, compared with a 0.5% rise in the S&P 500 .
Copyright © 2016 MarketWatch, Inc.
Continue Reading Below