Gilead Sciences Valuation
Is GILD undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of GILD when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: GILD ($79.02) is trading below our estimate of fair value ($189.92)
Significantly Below Fair Value: GILD is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for GILD?
Other financial metrics that can be useful for relative valuation.
| What is GILD's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$97.25b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 4.1x |
| Enterprise Value/EBITDA | 9.6x |
| PEG Ratio | 2.3x |
Price to Earnings Ratio vs Peers
How does GILD's PE Ratio compare to its peers?
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 27x | ||
REGN Regeneron Pharmaceuticals | 22.4x | 9.2% | US$90.3b |
VRTX Vertex Pharmaceuticals | 26x | 10.4% | US$91.2b |
AMGN Amgen | 19x | 5.7% | US$145.2b |
ABBV AbbVie | 40.7x | 17.3% | US$261.2b |
GILD Gilead Sciences | 16.8x | 7.2% | US$97.3b |
Price-To-Earnings vs Peers: GILD is good value based on its Price-To-Earnings Ratio (16.8x) compared to the peer average (27x).
Price to Earnings Ratio vs Industry
How does GILD's PE Ratio compare vs other companies in the US Biotechs Industry?
Price-To-Earnings vs Industry: GILD is good value based on its Price-To-Earnings Ratio (16.8x) compared to the US Biotechs industry average (18.7x).
Price to Earnings Ratio vs Fair Ratio
What is GILD's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 16.8x |
| Fair PE Ratio | 27.5x |
Price-To-Earnings vs Fair Ratio: GILD is good value based on its Price-To-Earnings Ratio (16.8x) compared to the estimated Fair Price-To-Earnings Ratio (27.5x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | US$79.02 | US$90.39 +14.4% | 11.7% | US$116.00 | US$71.00 | n/a | 27 |
| Dec ’24 | US$77.65 | US$90.39 +16.4% | 11.7% | US$116.00 | US$71.00 | n/a | 27 |
| Nov ’24 | US$80.19 | US$90.95 +13.4% | 11.2% | US$116.00 | US$71.00 | n/a | 26 |
| Oct ’24 | US$74.94 | US$91.33 +21.9% | 10.8% | US$116.00 | US$71.00 | n/a | 26 |
| Sep ’24 | US$76.65 | US$91.75 +19.7% | 10.3% | US$116.00 | US$80.00 | n/a | 24 |
| Aug ’24 | US$75.68 | US$91.64 +21.1% | 10.1% | US$115.00 | US$77.00 | n/a | 25 |
| Jul ’24 | US$77.07 | US$92.60 +20.2% | 9.8% | US$115.00 | US$77.00 | n/a | 25 |
| Jun ’24 | US$76.21 | US$92.59 +21.5% | 9.8% | US$115.00 | US$77.00 | n/a | 25 |
| May ’24 | US$81.42 | US$92.56 +13.7% | 8.8% | US$115.00 | US$80.00 | n/a | 25 |
| Apr ’24 | US$82.97 | US$91.23 +10.0% | 9.7% | US$115.00 | US$77.00 | n/a | 22 |
| Mar ’24 | US$79.59 | US$92.17 +15.8% | 10.4% | US$115.00 | US$77.00 | n/a | 23 |
| Feb ’24 | US$84.00 | US$87.71 +4.4% | 12.4% | US$111.00 | US$63.00 | n/a | 24 |
| Jan ’24 | US$85.85 | US$84.79 -1.2% | 13.0% | US$105.00 | US$63.00 | n/a | 24 |
| Dec ’23 | US$87.90 | US$82.25 -6.4% | 12.2% | US$105.00 | US$63.00 | US$77.65 | 24 |
| Nov ’23 | US$79.34 | US$78.61 -0.9% | 12.9% | US$98.00 | US$63.00 | US$80.19 | 24 |
| Oct ’23 | US$61.69 | US$71.20 +15.4% | 11.1% | US$90.00 | US$56.00 | US$74.94 | 23 |
| Sep ’23 | US$64.95 | US$70.47 +8.5% | 11.3% | US$90.00 | US$56.00 | US$76.65 | 23 |
| Aug ’23 | US$59.60 | US$70.17 +17.7% | 11.3% | US$90.00 | US$56.00 | US$75.68 | 23 |
| Jul ’23 | US$62.36 | US$69.65 +11.7% | 11.3% | US$90.00 | US$56.00 | US$77.07 | 23 |
| Jun ’23 | US$64.77 | US$70.18 +8.4% | 11.2% | US$90.00 | US$56.00 | US$76.21 | 25 |
| May ’23 | US$59.34 | US$70.60 +19.0% | 11.3% | US$90.00 | US$56.00 | US$81.42 | 24 |
| Apr ’23 | US$59.67 | US$72.19 +21.0% | 11.4% | US$90.00 | US$56.00 | US$82.97 | 24 |
| Mar ’23 | US$60.26 | US$74.25 +23.2% | 10.5% | US$90.00 | US$62.00 | US$79.59 | 24 |
| Feb ’23 | US$68.47 | US$76.96 +12.4% | 11.5% | US$100.00 | US$63.00 | US$84.00 | 24 |
| Jan ’23 | US$72.61 | US$76.84 +5.8% | 11.6% | US$100.00 | US$63.00 | US$85.85 | 25 |
| Dec ’22 | US$68.93 | US$76.70 +11.3% | 11.9% | US$100.00 | US$63.00 | US$87.90 | 23 |
Analyst Forecast: Target price is less than 20% higher than the current share price.