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GILD

Gilead Sciences NasdaqGS:GILD Stock Report

Last Price

US$65.01

Market Cap

US$81.5b

7D

2.8%

1Y

-2.0%

Updated

25 May, 2022

Data

Company Financials +
GILD fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance3/6
Financial Health3/6
Dividends4/6

GILD Stock Overview

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally.

Gilead Sciences Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Gilead Sciences
Historical stock prices
Current Share PriceUS$65.01
52 Week HighUS$74.12
52 Week LowUS$57.19
Beta0.39
1 Month Change3.77%
3 Month Change7.26%
1 Year Change-2.02%
3 Year Change2.59%
5 Year Change0.19%
Change since IPO10,173.19%

Recent News & Updates

May 02

Top Stocks To Help Prepare For A Recession - We Recommend Gilead Sciences

We think a serious recession is more likely than not, with the signs of crisis and dislocation already showing themselves. In big focus are rates, and the house view is that they'll have to rise more than the market expects to deal with supply shortages. Disposable income could get meaningfully chopped as inflation is also supply side and harder to tackle, and much leverage has been introduced to the economy. It's time to get defensive, thinking of beaten-down stocks with a margin of safety and products that won't decline much during a recession. Our main pick is Gilead, but we also propose Imperial Brands and TeamViewer.

Apr 29
Gilead Sciences (NASDAQ:GILD) Seems To Use Debt Quite Sensibly

Gilead Sciences (NASDAQ:GILD) Seems To Use Debt Quite Sensibly

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

GILDUS BiotechsUS Market
7D2.8%0.4%1.0%
1Y-2.0%-22.1%-15.1%

Return vs Industry: GILD exceeded the US Biotechs industry which returned -22.1% over the past year.

Return vs Market: GILD exceeded the US Market which returned -13.2% over the past year.

Price Volatility

Is GILD's price volatile compared to industry and market?
GILD volatility
GILD Average Weekly Movement3.0%
Biotechs Industry Average Movement12.4%
Market Average Movement7.8%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market2.9%

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.

About the Company

FoundedEmployeesCEOWebsite
198714,400Dan O'Dayhttps://www.gilead.com

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. The company provides Biktarvy, Genvoya, Descovy, Odefsey, Truvada, Complera/ Eviplera, Stribild, and Atripla products for the treatment of HIV/AIDS; Veklury, an injection for intravenous use, for the treatment of coronavirus disease 2019; and Epclusa, Harvoni, Vosevi, Vemlidy, and Viread for the treatment of liver diseases. It also offers Yescarta, Tecartus, Trodelvy, and Zydelig products for the treatment of hematology, oncology, and cell therapy patients.

Gilead Sciences Fundamentals Summary

How do Gilead Sciences's earnings and revenue compare to its market cap?
GILD fundamental statistics
Market CapUS$81.54b
Earnings (TTM)US$4.52b
Revenue (TTM)US$27.47b

18.1x

P/E Ratio

3.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GILD income statement (TTM)
RevenueUS$27.47b
Cost of RevenueUS$5.59b
Gross ProfitUS$21.88b
Other ExpensesUS$17.37b
EarningsUS$4.52b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)3.60
Gross Margin79.66%
Net Profit Margin16.43%
Debt/Equity Ratio131.6%

How did GILD perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

80%

Payout Ratio

Does GILD pay a reliable dividends?

See GILD dividend history and benchmarks
When do you need to buy GILD by to receive an upcoming dividend?
Gilead Sciences dividend dates
Ex Dividend DateJun 14 2022
Dividend Pay DateJun 29 2022
Days until Ex dividend19 days
Days until Dividend pay date34 days

Does GILD pay a reliable dividends?

See GILD dividend history and benchmarks

Valuation

Is Gilead Sciences undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: GILD ($65.01) is trading below our estimate of fair value ($136.01)

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 Price-To-Earnings Ratio (18.1x) compared to the US Biotechs industry average (15.7x).

PE vs Market: GILD is poor value based on its Price-To-Earnings Ratio (18.1x) compared to the US market (14.9x).


Price to Earnings Growth Ratio

PEG Ratio: GILD is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: GILD is overvalued based on its Price-To-Book Ratio (4.1x) compared to the US Biotechs industry average (1.4x).


Future Growth

How is Gilead Sciences forecast to perform in the next 1 to 3 years based on estimates from 26 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GILD's forecast earnings growth (8.4% per year) is above the savings rate (1.9%).

Earnings vs Market: GILD's earnings (8.4% per year) are forecast to grow slower than the US market (12.1% per year).

High Growth Earnings: GILD's earnings are forecast to grow, but not significantly.

Revenue vs Market: GILD's revenue (0.9% per year) is forecast to grow slower than the US market (7.7% per year).

High Growth Revenue: GILD's revenue (0.9% 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 (28.6%)


Past Performance

How has Gilead Sciences performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-22.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GILD has a large one-off loss of $4.3B impacting its March 31 2022 financial results.

Growing Profit Margin: GILD's current net profit margins (16.4%) are higher than last year (1.2%).


Past Earnings Growth Analysis

Earnings Trend: GILD's earnings have declined by 22.6% per year over the past 5 years.

Accelerating Growth: GILD's earnings growth over the past year (1400%) exceeds its 5-year average (-22.6% per year).

Earnings vs Industry: GILD earnings growth over the past year (1400%) exceeded the Biotechs industry 96.9%.


Return on Equity

High ROE: Whilst GILD's Return on Equity (22.55%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Gilead Sciences's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: GILD's short term assets ($12.6B) exceed its short term liabilities ($8.6B).

Long Term Liabilities: GILD's short term assets ($12.6B) do not cover its long term liabilities ($34.6B).


Debt to Equity History and Analysis

Debt Level: GILD's net debt to equity ratio (101.4%) is considered high.

Reducing Debt: GILD's debt to equity ratio has increased from 125.7% to 131.6% over the past 5 years.

Debt Coverage: GILD's debt is well covered by operating cash flow (40.5%).

Interest Coverage: GILD's interest payments on its debt are well covered by EBIT (11.3x coverage).


Balance Sheet


Dividend

What is Gilead Sciences's current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.49%

Current Dividend Yield

Upcoming Dividend Payment

TodayMay 26 2022Ex Dividend DateJun 14 2022Dividend Pay DateJun 29 202215 days from Ex DividendBuy in the next 19 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: GILD's dividend (4.49%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: GILD's dividend (4.49%) is in the top 25% of dividend payers in the US market (4.06%)


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 7 years.


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (79.5%), GILD's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (36.8%), GILD's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Dan O'Day (57 yo)

3.17yrs

Tenure

US$19,229,466

Compensation

Mr. Daniel P. O'Day, also known as Dan, serves as Non-Executive Non-Independent Director for Galapagos NV. He served as Member of Supervisory Board at Galapagos NV since October 22, 2019 until April 2022....


CEO Compensation Analysis

Compensation vs Market: Dan's total compensation ($USD19.23M) is above average for companies of similar size in the US market ($USD13.26M).

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 (2.8 years average tenure).


Board Members

Experienced Board: GILD's board of directors are considered experienced (4.3 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Gilead Sciences, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Gilead Sciences, Inc.
  • Ticker: GILD
  • Exchange: NasdaqGS
  • Founded: 1987
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$81.543b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/25 00:00
End of Day Share Price2022/05/25 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.