UPDATE: Wedbush Downgrades Illumina to Neutral on Risk/Reward

Wedbush reduced its rating on Illumina

from Outperform to Neutral and reiterated its $52 price target. Wedbush noted, "We have spoken with several typical sequencing customers recently that are either putting off or second guessing HiSeq purchases because of the attractive price point of ILMN's own sequencing service. In addition, for the first time, we are hearing about instances of used HiSeq 2000's for sale on the secondary market at steep discounts. On a positive note, near-term project pipelines appear robust and, despite continued MiSeq teething pains, feedback remains largely positive to date, with plans for greater utilization by core labs in 2013." Illumina closed at $55.55 on Thursday.