GILEAD SCIENCES INC (1GILD.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1GILD • US3755581036
117.06 EUR
+4.62 (+4.11%)
Last: Jan 29, 2026, 07:00 PM
We assign a fundamental rating of 6 out of 10 to 1GILD. 1GILD was compared to 85 industry peers in the Biotechnology industry. 1GILD has an excellent profitability rating, but there are some minor concerns on its financial health. 1GILD is valued quite cheap, while showing a decent growth score. This is a good combination! Finally 1GILD also has an excellent dividend rating. With these ratings, 1GILD could be worth investigating further for value and dividend investing!.
1. Profitability
1.1 Basic Checks
- 1GILD had positive earnings in the past year.
- 1GILD had a positive operating cash flow in the past year.
- Each year in the past 5 years 1GILD has been profitable.
- Each year in the past 5 years 1GILD had a positive operating cash flow.
1.2 Ratios
- 1GILD's Return On Assets of 13.86% is amongst the best of the industry. 1GILD outperforms 87.06% of its industry peers.
- With an excellent Return On Equity value of 37.80%, 1GILD belongs to the best of the industry, outperforming 96.47% of the companies in the same industry.
- The Return On Invested Capital of 1GILD (18.54%) is better than 96.47% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for 1GILD is above the industry average of 11.71%.
- The 3 year average ROIC (16.22%) for 1GILD is below the current ROIC(18.54%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.86% | ||
| ROE | 37.8% | ||
| ROIC | 18.54% |
ROA(3y)5.73%
ROA(5y)5.31%
ROE(3y)16.3%
ROE(5y)15.83%
ROIC(3y)16.22%
ROIC(5y)15.08%
1.3 Margins
- 1GILD has a better Profit Margin (27.88%) than 84.71% of its industry peers.
- 1GILD's Profit Margin has declined in the last couple of years.
- 1GILD has a better Operating Margin (38.96%) than 94.12% of its industry peers.
- In the last couple of years the Operating Margin of 1GILD has grown nicely.
- With a decent Gross Margin value of 78.72%, 1GILD is doing good in the industry, outperforming 65.88% of the companies in the same industry.
- 1GILD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.96% | ||
| PM (TTM) | 27.88% | ||
| GM | 78.72% |
OM growth 3Y0.61%
OM growth 5Y7.43%
PM growth 3Y-58.16%
PM growth 5Y-41.32%
GM growth 3Y1.06%
GM growth 5Y-0.95%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1GILD is creating value.
- 1GILD has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for 1GILD has been reduced compared to 5 years ago.
- The debt/assets ratio for 1GILD is higher compared to a year ago.
2.2 Solvency
- 1GILD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC2.22
WACC8.35%
2.3 Liquidity
- A Current Ratio of 1.53 indicates that 1GILD should not have too much problems paying its short term obligations.
- 1GILD's Current ratio of 1.53 is on the low side compared to the rest of the industry. 1GILD is outperformed by 61.18% of its industry peers.
- 1GILD has a Quick Ratio of 1.17. This is a normal value and indicates that 1GILD is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of 1GILD (1.17) is worse than 63.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 84.88% over the past year.
- 1GILD shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.01% yearly.
- 1GILD shows a small growth in Revenue. In the last year, the Revenue has grown by 2.78%.
- 1GILD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.08% yearly.
EPS 1Y (TTM)84.88%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%22.28%
Revenue 1Y (TTM)2.78%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%2.97%
3.2 Future
- The Earnings Per Share is expected to grow by 19.55% on average over the next years. This is quite good.
- The Revenue is expected to grow by 4.01% on average over the next years.
EPS Next Y80.6%
EPS Next 2Y38.7%
EPS Next 3Y27.13%
EPS Next 5Y19.55%
Revenue Next Year3.16%
Revenue Next 2Y3.13%
Revenue Next 3Y3.74%
Revenue Next 5Y4.01%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 17.11, the valuation of 1GILD can be described as rather expensive.
- 1GILD's Price/Earnings ratio is rather cheap when compared to the industry. 1GILD is cheaper than 88.24% of the companies in the same industry.
- 1GILD is valuated rather cheaply when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 15.80, 1GILD is valued correctly.
- Based on the Price/Forward Earnings ratio, 1GILD is valued cheaper than 88.24% of the companies in the same industry.
- 1GILD's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.11 | ||
| Fwd PE | 15.8 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1GILD is valued cheaply inside the industry as 85.88% of the companies are valued more expensively.
- 1GILD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. 1GILD is cheaper than 89.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.26 | ||
| EV/EBITDA | 11.66 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of 1GILD may justify a higher PE ratio.
- 1GILD's earnings are expected to grow with 27.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y38.7%
EPS Next 3Y27.13%
5. Dividend
5.1 Amount
- 1GILD has a Yearly Dividend Yield of 2.51%. Purely for dividend investing, there may be better candidates out there.
- 1GILD's Dividend Yield is rather good when compared to the industry average which is at 0.70. 1GILD pays more dividend than 94.12% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, 1GILD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
- The dividend of 1GILD has a limited annual growth rate of 4.45%.
Dividend Growth(5Y)4.45%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 1GILD pays out 12.00% of its income as dividend. This is a sustainable payout ratio.
- The dividend of 1GILD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP12%
EPS Next 2Y38.7%
EPS Next 3Y27.13%
GILEAD SCIENCES INC / 1GILD.MI FAQ
What is the ChartMill fundamental rating of GILEAD SCIENCES INC (1GILD.MI) stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1GILD.MI.
What is the valuation status for 1GILD stock?
ChartMill assigns a valuation rating of 8 / 10 to GILEAD SCIENCES INC (1GILD.MI). This can be considered as Undervalued.
Can you provide the profitability details for GILEAD SCIENCES INC?
GILEAD SCIENCES INC (1GILD.MI) has a profitability rating of 8 / 10.
What are the PE and PB ratios of GILEAD SCIENCES INC (1GILD.MI) stock?
The Price/Earnings (PE) ratio for GILEAD SCIENCES INC (1GILD.MI) is 17.11 and the Price/Book (PB) ratio is 8.1.
What is the financial health of GILEAD SCIENCES INC (1GILD.MI) stock?
The financial health rating of GILEAD SCIENCES INC (1GILD.MI) is 5 / 10.