Citi flags uncertainty in life science sector as funding shifts and tariffs bite

Citi Research says North America's life science sector struggled in the first half of 2025 as new U.S. funding policies and global tariffs hit tools companies hardest

Brokerage views diagnostics companies as more stable, since they rely less on government or big pharma funding, making them safer investments

Contract Research Organizations (CROs) are seeing more cancellations and tariff risks - Citi

Upgrades Charles River Laboratories CRL.N to "buy" from "neutral," citing conservative earnings cuts and potential activist support

Downgrades Illumina ILMN.O to "sell" from "neutral," on risks from China, government funding, and more competition

Upgrades Hologic HOLX.O to "buy" from "neutral" due to takeover interest and gradual recovery in breast health

Shares of ILMN down 3%, HOLX up 0.6%, CRL up 2.9%

Including session's move, CRL has shed 12.7% and HOLX has lost 9.8% of its value; ILMN is down 26.4% this year