Gilead Sciences
Market Cap
US$82.0b
Last Updated
2021/04/11 22:04 UTC
Data Sources
Company Financials +
Executive Summary
Gilead Sciences, Inc., a research-based biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with mediocre balance sheet.
Similar Companies
Share Price & News
How has Gilead Sciences's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GILD is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: GILD's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-2.0%
GILD
-2.2%
US Biotechs
2.1%
US Market
1 Year Return
-11.4%
GILD
31.5%
US Biotechs
56.3%
US Market
Return vs Industry: GILD underperformed the US Biotechs industry which returned 31.5% over the past year.
Return vs Market: GILD underperformed the US Market which returned 56.3% over the past year.
Shareholder returns
| GILD | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.0% | -2.2% | 2.1% |
| 30 Day | 5.8% | -4.2% | 2.4% |
| 90 Day | 4.2% | -5.5% | 6.1% |
| 1 Year | -7.6%-11.4% | 33.6%31.5% | 59.1%56.3% |
| 3 Year | -3.1%-13.4% | 26.9%21.1% | 65.7%55.1% |
| 5 Year | -21.7%-33.8% | 40.2%29.9% | 122.3%97.6% |
Long-Term Price Volatility Vs. Market
How volatile is Gilead Sciences's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Gilead Sciences, Inc.'s (NASDAQ:GILD) Intrinsic Value Is Potentially 94% Above Its Share Price1 month ago | Simply Wall St
Gilead Sciences, Inc. (NASDAQ:GILD) Insiders Have Been Selling1 month ago | Simply Wall St
Gilead Sciences (NASDAQ:GILD) Seems To Use Debt Quite SensiblyValuation
Is Gilead Sciences undervalued compared to its fair value and its price relative to the market?
49.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GILD ($65.11) is trading below our estimate of fair value ($128.91)
Significantly Below Fair Value: GILD is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GILD is poor value based on its PE Ratio (665.4x) compared to the US Biotechs industry average (29.9x).
PE vs Market: GILD is poor value based on its PE Ratio (665.4x) compared to the US market (22.3x).
Price to Earnings Growth Ratio
PEG Ratio: GILD is poor value based on its PEG Ratio (30.4x)
Price to Book Ratio
PB vs Industry: GILD is overvalued based on its PB Ratio (4.5x) compared to the US Biotechs industry average (3.9x).
Future Growth
How is Gilead Sciences forecast to perform in the next 1 to 3 years based on estimates from 27 analysts?
21.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GILD's forecast earnings growth (21.9% per year) is above the savings rate (2%).
Earnings vs Market: GILD's earnings (21.9% per year) are forecast to grow faster than the US market (18.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GILD's revenue (1% per year) is forecast to grow slower than the US market (9.9% per year).
High Growth Revenue: GILD's revenue (1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GILD's Return on Equity is forecast to be high in 3 years time (22.2%)
Past Performance
How has Gilead Sciences performed over the past 5 years?
-45.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GILD has a large one-off loss of $8.8B impacting its December 31 2020 financial results.
Growing Profit Margin: GILD's current net profit margins (0.5%) are lower than last year (24%).
Past Earnings Growth Analysis
Earnings Trend: GILD's earnings have declined by 45.4% per year over the past 5 years.
Accelerating Growth: GILD's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GILD had negative earnings growth (-97.7%) over the past year, making it difficult to compare to the Biotechs industry average (-7.3%).
Return on Equity
High ROE: GILD's Return on Equity (0.5%) is considered low.
Financial Health
How is Gilead Sciences's financial position?
Financial Position Analysis
Short Term Liabilities: GILD's short term assets ($16.0B) exceed its short term liabilities ($11.4B).
Long Term Liabilities: GILD's short term assets ($16.0B) do not cover its long term liabilities ($38.8B).
Debt to Equity History and Analysis
Debt Level: GILD's debt to equity ratio (172.3%) is considered high.
Reducing Debt: GILD's debt to equity ratio has increased from 116.1% to 172.3% over the past 5 years.
Debt Coverage: GILD's debt is well covered by operating cash flow (26%).
Interest Coverage: GILD's interest payments on its debt are well covered by EBIT (11.4x coverage).
Balance Sheet
Dividend
What is Gilead Sciences's current dividend yield, its reliability and sustainability?
4.36%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GILD's dividend (4.36%) is higher than the bottom 25% of dividend payers in the US market (1.26%).
High Dividend: GILD's dividend (4.36%) is in the top 25% of dividend payers in the US market (3.5%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, GILD has been paying a dividend for less than 10 years.
Growing Dividend: GILD's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (2779.7%), GILD's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GILD's dividends in 3 years are forecast to be well covered by earnings (44.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.1yrs
Average management tenure
CEO
Dan O'Day (56 yo)
2.08yrs
Tenure
US$18,998,095
Compensation
Mr. Daniel P. O'Day, also known as Dan, serves as Member of Supervisory Board at Galapagos NV since October 22, 2019 . He served as Non-Independent Director at Galapagos NV since October 22, 2019 until Apr...
CEO Compensation Analysis
Compensation vs Market: Dan's total compensation ($USD19.00M) is above average for companies of similar size in the US market ($USD10.98M).
Compensation vs Earnings: Dan's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: GILD's management team is considered experienced (2.1 years average tenure).
Board Members
Experienced Board: GILD's board of directors are considered experienced (4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Gilead Sciences, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Gilead Sciences, Inc.
- Ticker: GILD
- Exchange: NasdaqGS
- Founded: 1987
- Industry: Biotechnology
- Sector: Pharmaceuticals & Biotech
- Market Cap: US$81.977b
- Shares outstanding: 1.26b
- Website: https://www.gilead.com
Number of Employees
Location
- Gilead Sciences, Inc.
- 333 Lakeside Drive
- Foster City
- California
- 94404
- United States
Listings
Biography
Gilead Sciences, Inc., a research-based biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. Th...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/11 22:04 |
| End of Day Share Price | 2021/04/09 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.