Illumina (NASDAQ:ILMN) has grown significantly over the past few months on huge demand for its products and services in the genetic analysis space. And although its share price has dipped since the FTC announced that it will challenge ILMN’s acquisition of Grail, the stock is expected to regain its rally soon given the company's numerous strategic alliances. Read on for details.A leading provider of sequencing- and array-based solutions for genetic analysis, Illumina, Inc. (ILMN) has gained 20.6% over the past six years. It hit an all-time high of $555.77 on February 12, 2021, driven by favorable financial results announced on February 11.
However, the stock plunged thereafter, and is currently trading 28.4% below the high, because the Federal Trade Commission (FTC) said that it would challenge the company's takeover of liquid biopsy company Grail. The FTC believes the acquisition will diminish innovation in the United States in multi-cancer early detection tests.
ILMN issued a notice on March 30, 2021 that it will oppose FTC’s decision and pursue its right to proceed with the transaction. Furthermore, the company has several strategic alliances and also enjoys long-term standing relationships with clients. So, it could be wise to invest in the stock now.