Why NASDAQ:GILD qualifies as a good dividend investing stock.

Last update: May 9, 2024

GILEAD SCIENCES INC (NASDAQ:GILD) was identified as a stock worth exploring by dividend investors by our stock screener. NASDAQ:GILD scores well on profitability, solvency and liquidity. At the same time it seems to pay a decent dividend. We'll explore this a bit deeper below.

Evaluating Dividend: NASDAQ:GILD

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. NASDAQ:GILD has been awarded a 7 for its dividend quality:

With a Yearly Dividend Yield of 4.71%, GILD is a good candidate for dividend investing.
GILD's Dividend Yield is rather good when compared to the industry average which is at 24.55. GILD pays more dividend than 98.80% of the companies in the same industry.
GILD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
GILD has paid a dividend for at least 10 years, which is a reliable track record.
GILD has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.

Assessing Health for NASDAQ:GILD

ChartMill utilizes a Health Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of liquidity and solvency ratios, both in absolute terms and in comparison to industry peers. NASDAQ:GILD has earned a 5 out of 10:

Looking at the Altman-Z score, with a value of 2.57, GILD is in the better half of the industry, outperforming 73.50% of the companies in the same industry.
GILD has a debt to FCF ratio of 3.37. This is a good value and a sign of high solvency as GILD would need 3.37 years to pay back of all of its debts.
GILD has a Debt to FCF ratio of 3.37. This is amongst the best in the industry. GILD outperforms 95.38% of its industry peers.

Understanding NASDAQ:GILD's Profitability

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NASDAQ:GILD has achieved a 7:

The Return On Assets of GILD (9.12%) is better than 96.75% of its industry peers.
GILD's Return On Equity of 24.81% is amongst the best of the industry. GILD outperforms 98.12% of its industry peers.
The Return On Invested Capital of GILD (12.62%) is better than 97.27% of its industry peers.
The Profit Margin of GILD (20.89%) is better than 97.78% of its industry peers.
The Operating Margin of GILD (29.51%) is better than 98.29% of its industry peers.
The Gross Margin of GILD (76.04%) is better than 85.98% of its industry peers.

Every day, new Best Dividend stocks can be found on ChartMill in our Best Dividend screener.

For an up to date full fundamental analysis you can check the fundamental report of GILD

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.