Gilead Sciences, Inc.

XTRA:GIS Stock Report

Market Cap: €105.4b

Gilead Sciences Valuation

Is GIS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of GIS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GIS (€85.06) is trading below our estimate of fair value (€226.17)

Significantly Below Fair Value: GIS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GIS?

Key metric: As GIS is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for GIS. This is calculated by dividing GIS's market cap by their current revenue.
What is GIS's PS Ratio?
PS Ratio4x
SalesUS$28.30b
Market CapUS$110.46b

Price to Sales Ratio vs Peers

How does GIS's PS Ratio compare to its peers?

The above table shows the PS ratio for GIS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average7x
MOR MorphoSys
10.2xn/a€2.6b
BIO3 Biotest
1.6x6.0%€1.4b
MRK Merck KGaA
2.9x4.2%€60.1b
FYB Formycon
13.5x33.4%€821.0m
GIS Gilead Sciences
4x2.4%€110.5b

Price-To-Sales vs Peers: GIS is good value based on its Price-To-Sales Ratio (4x) compared to the peer average (7x).

Price to Sales Ratio vs Industry

How does GIS's PS Ratio compare vs other companies in the DE Biotechs Industry?

6 CompaniesPrice / SalesEstimated GrowthMarket Cap
CNW co.don
0.7xn/aUS$6.97m
V9Z Aceragen
0.4xn/aUS$3.12m
PA8 Paion
0.2x30.2%US$2.78m
V9Z Aceragen
0.3x-161.8%US$2.18m
GIS 4.0xIndustry Avg. 8.0xNo. of Companies6PS0612182430+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: GIS is good value based on its Price-To-Sales Ratio (4x) compared to the European Biotechs industry average (7.9x).

Price to Sales Ratio vs Fair Ratio

What is GIS's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GIS PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio4x
Fair PS Ratio6x

Price-To-Sales vs Fair Ratio: GIS is good value based on its Price-To-Sales Ratio (4x) compared to the estimated Fair Price-To-Sales Ratio (6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst GIS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€85.06
€91.48
+7.5%
12.9%€117.98€65.12n/a28
Nov ’25€82.38
€81.31
-1.3%
13.9%€113.74€63.80n/a28
Oct ’25€75.12
€75.83
+0.9%
14.1%€108.02€62.18n/a27
Sep ’25€71.29
€75.06
+5.3%
14.1%€107.06€61.63n/a27
Aug ’25€71.00
€76.00
+7.0%
15.1%€109.67€61.75n/a27
Jul ’25€64.31
€77.42
+20.4%
14.2%€111.04€62.52n/a26
Jun ’25€58.33
€76.23
+30.7%
14.0%€107.85€61.76n/a26
May ’25€61.08
€78.28
+28.2%
13.0%€109.43€64.54n/a27
Apr ’25€68.00
€79.40
+16.8%
12.6%€111.14€63.38n/a26
Mar ’25€66.78
€81.29
+21.7%
12.5%€111.95€63.84n/a27
Feb ’25€71.84
€82.88
+15.4%
11.9%€106.86€63.56n/a27
Jan ’25€73.30
€81.66
+11.4%
11.9%€105.07€62.50n/a27
Dec ’24€70.64
€83.36
+18.0%
11.7%€106.98€65.48n/a27
Nov ’24€75.54
€85.69
+13.4%
11.2%€109.30€66.90€82.3826
Oct ’24€71.36
€85.52
+19.8%
10.8%€108.62€66.48€75.1226
Sep ’24€71.00
€84.10
+18.4%
10.3%€106.33€73.33€71.2924
Aug ’24€68.62
€82.84
+20.7%
10.1%€103.96€69.61€71.0025
Jul ’24€70.22
€85.53
+21.8%
9.8%€106.21€71.12€64.3125
Jun ’24€71.22
€86.31
+21.2%
9.8%€107.20€71.78€58.3325
May ’24€73.82
€84.00
+13.8%
8.8%€104.36€72.60€61.0825
Apr ’24€75.31
€85.95
+14.1%
9.7%€108.34€72.54€68.0022
Mar ’24€74.64
€86.19
+15.5%
10.4%€107.54€72.00€66.7823
Feb ’24€76.19
€80.86
+6.1%
12.4%€102.33€58.08€71.8424
Jan ’24€79.51
€79.86
+0.4%
13.0%€98.89€59.33€73.3024
Dec ’23€84.16
€78.14
-7.2%
12.2%€99.75€59.85€70.6424
Nov ’23€80.46
€79.59
-1.1%
12.9%€99.22€63.78€75.5424

Analyst Forecast: Target price is less than 20% higher than the current share price.

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