In a market dominated by headlines about artificial intelligence (AI), cloud computing, and digital platforms, it is easy to overlook some of the most transformative developments in the life sciences. Cathie Wood, CEO of ARK Invest and known for her bold bets on disruptive innovation, has her sights set on Illumina (ILMN), a company that connects science and technology.
On July 22, Wood’s ARK’s Genomic Revolution ETF (ARKG) bought 31,265 shares of Illumina, amounting to nearly $2.98 million, bringing the total investment in the company to $32 million. It is the ETF’s 15th largest holding, comprising 2.8% of the overall portfolio.
Let’s find out if investors should follow Wood’s lead and buy Illumina stock here.
Valued at $16.6 billion, Illumina is a biotechnology company that specializes in genome sequencing, or the process of reading and analyzing DNA. It manufactures machines (sequencers), software, and chemical kits that are used to decode the genetic material (DNA) of humans, animals, plants, and bacteria. Illumina’s technology is used in hospitals and clinics, by cancer researchers, pharmaceutical companies, agricultural scientists, academics, and research institutions, among others. Some of its products include the NovaSeq X Series, iScan System, iSeq 100 System, Illumina DNA Prep, Illumina Stranded mRNA Prep, and many others.
Illumina’s stock price has dropped significantly since its 2021 highs, falling from above $500 to around the $100-$120 range by mid-2025. Much of this decline can be attributed to a series of self-inflicted wounds, most notably its controversial acquisition of cancer detection company Grail. However, with the Grail divestment in 2024 and a new CEO, Jacob Thaysen, in charge, Illumina appears to be refocusing on its core business of making genome sequencing cheaper, faster, and more accessible.
Wood is known for buying when volatility is high, particularly when she believes the market has overcorrected due to near-term concerns. Following the Grail divestment, leadership change, and a multi-quarter slump in revenue growth, investor sentiment is bearish on Illumina stock, explaining the nearly 20% drop year-to-date. However, Wood saw this as an opportunity to stock up on this rising genomic star.