Gilead Sciences
Market Cap
US$83.5b
Last Updated
2021/06/20 22:01 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
+ 1 more risk
Snowflake Analysis
Adequate balance sheet second-rate dividend payer.
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 +/- 3% a week.
Volatility Over Time: GILD's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-3.1%
GILD
-3.2%
US Biotechs
-1.9%
US Market
1 Year Return
-14.0%
GILD
18.9%
US Biotechs
38.2%
US Market
Return vs Industry: GILD underperformed the US Biotechs industry which returned 18.9% over the past year.
Return vs Market: GILD underperformed the US Market which returned 38.2% over the past year.
Shareholder returns
| GILD | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.1% | -3.2% | -1.9% |
| 30 Day | -3.1% | 2.9% | 1.0% |
| 90 Day | 1.6% | 0.3% | 3.8% |
| 1 Year | -10.2%-14.0% | 20.6%18.9% | 40.4%38.2% |
| 3 Year | 5.2%-6.3% | 9.2%4.7% | 57.5%47.8% |
| 5 Year | -1.7%-17.2% | 60.4%47.8% | 127.2%101.7% |
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
3 days ago | Simply Wall St
Would Shareholders Who Purchased Gilead Sciences' (NASDAQ:GILD) Stock Five Years Be Happy With The Share price Today?3 weeks ago | Simply Wall St
These 4 Measures Indicate That Gilead Sciences (NASDAQ:GILD) Is Using Debt Reasonably WellValuation
Is Gilead Sciences undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GILD ($66.61) is trading below our estimate of fair value ($139.35)
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 (277.8x) compared to the US Biotechs industry average (23.6x).
PE vs Market: GILD is poor value based on its PE Ratio (277.8x) compared to the US market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: GILD is poor value based on its PEG Ratio (30.2x)
Price to Book Ratio
PB vs Industry: GILD is overvalued based on its PB Ratio (4.4x) compared to the US Biotechs industry average (3.4x).
Future Growth
How is Gilead Sciences forecast to perform in the next 1 to 3 years based on estimates from 26 analysts?
9.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GILD's forecast earnings growth (9.2% per year) is above the savings rate (2%).
Earnings vs Market: GILD's earnings (9.2% per year) are forecast to grow slower than the US market (15.7% per year).
High Growth Earnings: GILD's earnings are forecast to grow, but not significantly.
Revenue vs Market: GILD's revenue (1.2% per year) is forecast to grow slower than the US market (9.5% per year).
High Growth Revenue: GILD's revenue (1.2% 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 (28%)
Past Performance
How has Gilead Sciences performed over the past 5 years?
-47.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GILD has a large one-off loss of $8.9B impacting its March 31 2021 financial results.
Growing Profit Margin: GILD's current net profit margins (1.2%) are lower than last year (21.8%).
Past Earnings Growth Analysis
Earnings Trend: GILD's earnings have declined by 47.9% 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 (-93.9%) over the past year, making it difficult to compare to the Biotechs industry average (-7.7%).
Return on Equity
High ROE: GILD's Return on Equity (1.4%) is considered low.
Financial Health
How is Gilead Sciences's financial position?
Financial Position Analysis
Short Term Liabilities: GILD's short term assets ($13.3B) exceed its short term liabilities ($9.7B).
Long Term Liabilities: GILD's short term assets ($13.3B) do not cover its long term liabilities ($38.8B).
Debt to Equity History and Analysis
Debt Level: GILD's debt to equity ratio (155.3%) is considered high.
Reducing Debt: GILD's debt to equity ratio has reduced from 156.9% to 155.3% over the past 5 years.
Debt Coverage: GILD's debt is well covered by operating cash flow (31.7%).
Interest Coverage: GILD's interest payments on its debt are well covered by EBIT (11.7x coverage).
Balance Sheet
Dividend
What is Gilead Sciences's current dividend yield, its reliability and sustainability?
4.26%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GILD's dividend (4.26%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: GILD's dividend (4.26%) is in the top 25% of dividend payers in the US market (3.49%)
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 (1147.1%), 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 (44.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.9yrs
Average management tenure
CEO
Dan O'Day (56 yo)
2.25yrs
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 ($USD11.31M).
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 not considered experienced ( 1.9 years average tenure), which suggests a new team.
Board Members
Experienced Board: GILD's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GILD insiders have only sold shares 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$83.541b
- Shares outstanding: 1.25b
- 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 | 2021/06/20 22:01 |
| End of Day Share Price | 2021/06/18 00:00 |
| Earnings | 2021/03/31 |
| 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.