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What: Shares of Illumina
So what: The whiff was so bad -- Illumina now sees third-quarter revenue of $235 million versus the average analyst estimate of $278 million -- that investors are being forced to seriously rework their growth assumptions. In fact, CEO Jay Flatley called the slump in new purchases "unprecedented," blaming it on slower upgrades, research-funding uncertainty, and simply a big drop in demand for its products.
Now what: Don't expect things to turnaround anytime soon. "We expect these conditions to continue through at least the fourth quarter, while the 2012-2013 U.S. budgets for National Institutes of Health and other related agencies are determined," Flatley said. Of course, with rivals like Affymetrix
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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of Illumina. Try any of our Foolish newsletter services free for 30 days.