Gilead Sciences (GILD) presents a compelling bullish case with a $160.15 billion market cap, trailing P/E of 17.55, forward P/E of 15.22, and EPS of $7.35. Revenue reached $29.74 billion TTM with 4.4% quarterly growth, while earnings surged 54.8% year-over-year, supported by a 31% profit margin and 0.332 beta indicating lower volatility than the broader market.
Key catalysts include Gilead's leadership in HIV and hepatitis antivirals such as Harvoni and Sovaldi, ongoing pipeline expansion in oncology and inflammation, and strong earnings momentum that has driven analyst consensus to a $157.83 target price with 6 Strong Buy and 18 Buy ratings. Recent quarterly revenue growth and high institutional ownership (92.2%) signal continued momentum into 2026.
Risks center on patent expirations for key drugs, potential regulatory scrutiny on drug pricing, and competition from generics or rivals like AbbVie. These are mitigated by Gilead's robust R&D spend, diversified portfolio across antivirals, and consistent dividend yield of 2.5% that supports shareholder returns even amid macro headwinds. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.
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Gilead Sciences, Inc. is an American biopharmaceutical company headquartered in Foster City, California, that focuses on researching and developing antiviral drugs used in the treatment of HIV, hepatitis B, hepatitis C, and influenza, including Harvoni and Sovaldi.
Fundamental Snapshot
Revenue
29.736B
EBITDA
14.738B
Gross Profit
23.601B
Operating Margin
39.3%
Profit Margin
31.0%
ROE
43.4%
Book Value
$18.93
Beta
0.332
52-Wk High
$156.4
52-Wk Low
$102.48
Avg Volume
6.0526M
PEG Ratio
2.144
Frequently Asked Questions
What is Gilead Sciences' core business model?
Gilead Sciences develops and commercializes antiviral drugs primarily for HIV, hepatitis B/C, and influenza. Its model centers on high-margin branded pharmaceuticals with a 31% profit margin, generating $29.74 billion in TTM revenue from products like Harvoni and Sovaldi.
Where does Gilead derive most of its revenue?
Revenue primarily comes from HIV and hepatitis treatments, contributing the bulk of the $29.74 billion TTM total. The company also earns from influenza antivirals, with 4.4% quarterly revenue growth and a 2.5% dividend yield returning value to shareholders.
What are Gilead's main competitive advantages?
Gilead holds strong intellectual property in antivirals, a 17.55 trailing P/E that reflects efficient operations, and 92.2% institutional ownership. Its pipeline in oncology and low 0.332 beta provide resilience compared to peers, backed by $14.74 billion EBITDA.
What are the key risks for GILD investors?
Major risks include patent cliffs on blockbuster drugs, regulatory pricing pressures, and generic competition. These are offset by a diversified pipeline, 54.8% quarterly earnings growth, and a conservative balance sheet with shares outstanding at 1.24 billion.
What is the growth outlook for Gilead Sciences?
Analysts project continued expansion with a $157.83 target price and forward P/E of 15.22. Growth drivers include new indications for existing drugs and pipeline advancements, supported by 0.044 quarterly revenue growth and upcoming dividend date of June 29, 2026.
