GILEAD SCIENCES INC (1GILD.MI) Stock Fundamental Analysis
Europe - BIT:1GILD - US3755581036 - Common Stock
98.16 EUR
+4.22 (+4.49%)
1GILD gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 75 industry peers in the Biotechnology industry. 1GILD gets an excellent profitability rating and is at the same time showing great financial health properties. 1GILD scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make 1GILD a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year 1GILD was profitable.
1GILD had a positive operating cash flow in the past year.
1GILD had positive earnings in each of the past 5 years.
Each year in the past 5 years 1GILD had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.33%, 1GILD belongs to the top of the industry, outperforming 89.19% of the companies in the same industry.
The Return On Equity of 1GILD (32.08%) is better than 93.24% of its industry peers.
The Return On Invested Capital of 1GILD (18.69%) is better than 94.59% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1GILD is in line with the industry average of 13.78%.
The last Return On Invested Capital (18.69%) for 1GILD is above the 3 year average (15.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.33% | ||
| ROE | 32.08% | ||
| ROIC | 18.69% |
ROA(3y)5.73%
ROA(5y)5.31%
ROE(3y)16.3%
ROE(5y)15.83%
ROIC(3y)15.57%
ROIC(5y)13.08%
1.3 Margins
1GILD's Profit Margin of 21.87% is amongst the best of the industry. 1GILD outperforms 89.19% of its industry peers.
In the last couple of years the Profit Margin of 1GILD has declined.
1GILD has a Operating Margin of 38.12%. This is amongst the best in the industry. 1GILD outperforms 91.89% of its industry peers.
1GILD's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 78.53%, 1GILD is in the better half of the industry, outperforming 70.27% of the companies in the same industry.
In the last couple of years the Gross Margin of 1GILD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.12% | ||
| PM (TTM) | 21.87% | ||
| GM | 78.53% |
OM growth 3Y1.21%
OM growth 5Y13.65%
PM growth 3Y-58.16%
PM growth 5Y-41.32%
GM growth 3Y1.06%
GM growth 5Y-0.23%
2. Health
2.1 Basic Checks
1GILD has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, 1GILD has about the same amount of shares outstanding.
1GILD has less shares outstanding than it did 5 years ago.
1GILD has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.90 indicates that 1GILD is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 3.90, 1GILD belongs to the best of the industry, outperforming 83.78% of the companies in the same industry.
The Debt to FCF ratio of 1GILD is 2.66, which is a good value as it means it would take 1GILD, 2.66 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1GILD (2.66) is better than 86.49% of its industry peers.
1GILD has a Debt/Equity ratio of 1.13. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of 1GILD (1.13) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 2.66 | ||
| Altman-Z | 3.9 |
ROIC/WACC2.02
WACC9.26%
2.3 Liquidity
A Current Ratio of 1.32 indicates that 1GILD should not have too much problems paying its short term obligations.
The Current ratio of 1GILD (1.32) is worse than 67.57% of its industry peers.
1GILD has a Quick Ratio of 1.15. This is a normal value and indicates that 1GILD is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.15, 1GILD is not doing good in the industry: 67.57% of the companies in the same industry are doing better.
The current and quick ratio evaluation for 1GILD is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
1GILD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 64.68%, which is quite impressive.
Measured over the past years, 1GILD shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.01% on average per year.
1GILD shows a small growth in Revenue. In the last year, the Revenue has grown by 3.81%.
The Revenue has been growing slightly by 5.08% on average over the past years.
EPS 1Y (TTM)64.68%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%0%
Revenue 1Y (TTM)3.81%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%1.84%
3.2 Future
The Earnings Per Share is expected to grow by 19.19% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.06% on average over the next years.
EPS Next Y79.18%
EPS Next 2Y37.95%
EPS Next 3Y27.34%
EPS Next 5Y19.19%
Revenue Next Year1.55%
Revenue Next 2Y2.78%
Revenue Next 3Y3.69%
Revenue Next 5Y4.06%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.83, the valuation of 1GILD can be described as correct.
Based on the Price/Earnings ratio, 1GILD is valued cheaply inside the industry as 87.84% of the companies are valued more expensively.
1GILD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.41.
With a Price/Forward Earnings ratio of 13.09, 1GILD is valued correctly.
Based on the Price/Forward Earnings ratio, 1GILD is valued cheaply inside the industry as 87.84% of the companies are valued more expensively.
1GILD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.83 | ||
| Fwd PE | 13.09 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1GILD indicates a rather cheap valuation: 1GILD is cheaper than 86.49% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1GILD indicates a rather cheap valuation: 1GILD is cheaper than 87.84% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.21 | ||
| EV/EBITDA | 11.77 |
4.3 Compensation for Growth
1GILD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1GILD has an outstanding profitability rating, which may justify a higher PE ratio.
1GILD's earnings are expected to grow with 27.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y37.95%
EPS Next 3Y27.34%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.80%, 1GILD has a reasonable but not impressive dividend return.
1GILD's Dividend Yield is rather good when compared to the industry average which is at 17.12. 1GILD pays more dividend than 93.24% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, 1GILD has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
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 62.75% of its income as dividend. This is not a sustainable payout ratio.
The dividend of 1GILD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP62.75%
EPS Next 2Y37.95%
EPS Next 3Y27.34%
BIT:1GILD (8/25/2025, 7:00:00 PM)
98.16
+4.22 (+4.49%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners89.93%
Inst Owner ChangeN/A
Ins Owners0.08%
Ins Owner ChangeN/A
Market Cap121.80B
Analysts81.11
Price Target109.19 (11.24%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
Yearly Dividend2.69
Dividend Growth(5Y)4.45%
DP62.75%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.01%
Min EPS beat(2)-0.59%
Max EPS beat(2)0.6%
EPS beat(4)3
Avg EPS beat(4)9.21%
Min EPS beat(4)-0.59%
Max EPS beat(4)27.44%
EPS beat(8)6
Avg EPS beat(8)10.79%
EPS beat(12)8
Avg EPS beat(12)9.42%
EPS beat(16)11
Avg EPS beat(16)7.57%
Revenue beat(2)0
Avg Revenue beat(2)-2.14%
Min Revenue beat(2)-3.96%
Max Revenue beat(2)-0.31%
Revenue beat(4)2
Avg Revenue beat(4)1.3%
Min Revenue beat(4)-3.96%
Max Revenue beat(4)5.61%
Revenue beat(8)5
Avg Revenue beat(8)1.24%
Revenue beat(12)8
Avg Revenue beat(12)2.54%
Revenue beat(16)12
Avg Revenue beat(16)3.8%
PT rev (1m)4.36%
PT rev (3m)4.56%
EPS NQ rev (1m)-1.07%
EPS NQ rev (3m)0.42%
EPS NY rev (1m)1.72%
EPS NY rev (3m)1.76%
Revenue NQ rev (1m)-0.41%
Revenue NQ rev (3m)0.4%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.83 | ||
| Fwd PE | 13.09 | ||
| P/S | 4.94 | ||
| P/FCF | 15.21 | ||
| P/OCF | 14.44 | ||
| P/B | 7.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.77 |
EPS(TTM)6.62
EY6.74%
EPS(NY)7.5
Fwd EY7.64%
FCF(TTM)6.46
FCFY6.58%
OCF(TTM)6.8
OCFY6.93%
SpS19.89
BVpS13.56
TBVpS-4.96
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.33% | ||
| ROE | 32.08% | ||
| ROCE | 24.71% | ||
| ROIC | 18.69% | ||
| ROICexc | 21.16% | ||
| ROICexgc | 66.9% | ||
| OM | 38.12% | ||
| PM (TTM) | 21.87% | ||
| GM | 78.53% | ||
| FCFM | 32.46% |
ROA(3y)5.73%
ROA(5y)5.31%
ROE(3y)16.3%
ROE(5y)15.83%
ROIC(3y)15.57%
ROIC(5y)13.08%
ROICexc(3y)18.96%
ROICexc(5y)15.63%
ROICexgc(3y)99.97%
ROICexgc(5y)86.01%
ROCE(3y)20.58%
ROCE(5y)17.3%
ROICexcg growth 3Y0.13%
ROICexcg growth 5Y21.72%
ROICexc growth 3Y13.71%
ROICexc growth 5Y12.55%
OM growth 3Y1.21%
OM growth 5Y13.65%
PM growth 3Y-58.16%
PM growth 5Y-41.32%
GM growth 3Y1.06%
GM growth 5Y-0.23%
F-Score8
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 2.66 | ||
| Debt/EBITDA | 1.61 | ||
| Cap/Depr | 18.01% | ||
| Cap/Sales | 1.73% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.64% | ||
| Profit Quality | 148.46% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.15 | ||
| Altman-Z | 3.9 |
F-Score8
WACC9.26%
ROIC/WACC2.02
Cap/Depr(3y)25.08%
Cap/Depr(5y)29.48%
Cap/Sales(3y)2.21%
Cap/Sales(5y)2.28%
Profit Quality(3y)819.86%
Profit Quality(5y)1749.07%
High Growth Momentum
Growth
EPS 1Y (TTM)64.68%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%0%
EPS Next Y79.18%
EPS Next 2Y37.95%
EPS Next 3Y27.34%
EPS Next 5Y19.19%
Revenue 1Y (TTM)3.81%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%1.84%
Revenue Next Year1.55%
Revenue Next 2Y2.78%
Revenue Next 3Y3.69%
Revenue Next 5Y4.06%
EBIT growth 1Y5.92%
EBIT growth 3Y2.97%
EBIT growth 5Y19.42%
EBIT Next Year73.23%
EBIT Next 3Y24.47%
EBIT Next 5Y19.07%
FCF growth 1Y4.96%
FCF growth 3Y-1.57%
FCF growth 5Y4.37%
OCF growth 1Y3.74%
OCF growth 3Y-1.66%
OCF growth 5Y3.44%