GILEAD SCIENCES INC (GILD) Fundamental Analysis & Valuation

NASDAQ:GILD • US3755581036

Current stock price

134.25 USD
-2.63 (-1.92%)
At close:
134.14 USD
-0.11 (-0.08%)
After Hours:

This GILD fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. GILD Profitability Analysis

1.1 Basic Checks

  • GILD had positive earnings in the past year.
  • In the past year GILD had a positive cash flow from operations.
  • In the past 5 years GILD has always been profitable.
  • In the past 5 years GILD always reported a positive cash flow from operatings.
GILD Yearly Net Income VS EBIT VS OCF VS FCFGILD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

1.2 Ratios

  • GILD has a better Return On Assets (14.42%) than 95.18% of its industry peers.
  • With an excellent Return On Equity value of 37.49%, GILD belongs to the best of the industry, outperforming 98.07% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 19.49%, GILD belongs to the top of the industry, outperforming 97.30% of the companies in the same industry.
  • GILD had an Average Return On Invested Capital over the past 3 years of 17.55%. This is in line with the industry average of 18.95%.
  • The last Return On Invested Capital (19.49%) for GILD is above the 3 year average (17.55%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 14.42%
ROE 37.49%
ROIC 19.49%
ROA(3y)8.12%
ROA(5y)8.16%
ROE(3y)21.59%
ROE(5y)23.19%
ROIC(3y)17.55%
ROIC(5y)16.76%
GILD Yearly ROA, ROE, ROICGILD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60

1.3 Margins

  • Looking at the Profit Margin, with a value of 28.90%, GILD belongs to the top of the industry, outperforming 94.61% of the companies in the same industry.
  • In the last couple of years the Profit Margin of GILD has grown nicely.
  • GILD has a better Operating Margin (39.98%) than 98.07% of its industry peers.
  • In the last couple of years the Operating Margin of GILD has remained more or less at the same level.
  • The Gross Margin of GILD (78.83%) is better than 84.39% of its industry peers.
  • In the last couple of years the Gross Margin of GILD has remained more or less at the same level.
Industry RankSector Rank
OM 39.98%
PM (TTM) 28.9%
GM 78.83%
OM growth 3Y-1.4%
OM growth 5Y-0.11%
PM growth 3Y19.75%
PM growth 5Y125.27%
GM growth 3Y-0.18%
GM growth 5Y-0.66%
GILD Yearly Profit, Operating, Gross MarginsGILD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. GILD Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), GILD is creating value.
  • The number of shares outstanding for GILD has been reduced compared to 1 year ago.
  • GILD has less shares outstanding than it did 5 years ago.
  • GILD has a better debt/assets ratio than last year.
GILD Yearly Shares OutstandingGILD Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
GILD Yearly Total Debt VS Total AssetsGILD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20B 40B 60B

2.2 Solvency

  • GILD has an Altman-Z score of 4.42. This indicates that GILD is financially healthy and has little risk of bankruptcy at the moment.
  • GILD has a Altman-Z score of 4.42. This is in the better half of the industry: GILD outperforms 73.22% of its industry peers.
  • GILD has a debt to FCF ratio of 2.64. This is a good value and a sign of high solvency as GILD would need 2.64 years to pay back of all of its debts.
  • GILD has a Debt to FCF ratio of 2.64. This is amongst the best in the industry. GILD outperforms 92.87% of its industry peers.
  • A Debt/Equity ratio of 0.97 indicates that GILD is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.97, GILD is not doing good in the industry: 74.95% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.97
Debt/FCF 2.64
Altman-Z 4.42
ROIC/WACC2.16
WACC9.03%
GILD Yearly LT Debt VS Equity VS FCFGILD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

2.3 Liquidity

  • A Current Ratio of 1.55 indicates that GILD should not have too much problems paying its short term obligations.
  • GILD has a worse Current ratio (1.55) than 81.50% of its industry peers.
  • GILD has a Quick Ratio of 1.40. This is a normal value and indicates that GILD is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Quick ratio value of 1.40, GILD is not doing good in the industry: 81.89% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 1.55
Quick Ratio 1.4
GILD Yearly Current Assets VS Current LiabilitesGILD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. GILD Growth Analysis

3.1 Past

  • GILD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 76.79%, which is quite impressive.
  • The Earnings Per Share has been growing slightly by 2.83% on average over the past years.
  • GILD shows a small growth in Revenue. In the last year, the Revenue has grown by 2.40%.
  • GILD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.58% yearly.
EPS 1Y (TTM)76.79%
EPS 3Y3.88%
EPS 5Y2.83%
EPS Q2Q%-2.11%
Revenue 1Y (TTM)2.4%
Revenue growth 3Y2.57%
Revenue growth 5Y3.58%
Sales Q2Q%4.7%

3.2 Future

  • The Earnings Per Share is expected to grow by 10.10% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 5.49% on average over the next years.
EPS Next Y8.46%
EPS Next 2Y9.79%
EPS Next 3Y9.45%
EPS Next 5Y10.1%
Revenue Next Year3.47%
Revenue Next 2Y4.7%
Revenue Next 3Y4.89%
Revenue Next 5Y5.49%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
GILD Yearly Revenue VS EstimatesGILD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B
GILD Yearly EPS VS EstimatesGILD Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2 4 6 8 10

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6

4. GILD Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 16.47, GILD is valued correctly.
  • Based on the Price/Earnings ratio, GILD is valued cheaply inside the industry as 94.41% of the companies are valued more expensively.
  • When comparing the Price/Earnings ratio of GILD to the average of the S&P500 Index (24.88), we can say GILD is valued slightly cheaper.
  • Based on the Price/Forward Earnings ratio of 15.19, the valuation of GILD can be described as correct.
  • GILD's Price/Forward Earnings ratio is rather cheap when compared to the industry. GILD is cheaper than 95.57% of the companies in the same industry.
  • GILD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.19, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 16.47
Fwd PE 15.19
GILD Price Earnings VS Forward Price EarningsGILD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • 94.99% of the companies in the same industry are more expensive than GILD, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of GILD indicates a rather cheap valuation: GILD is cheaper than 95.76% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 17.63
EV/EBITDA 12.67
GILD Per share dataGILD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15 20

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GILD does not grow enough to justify the current Price/Earnings ratio.
  • GILD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.95
PEG (5Y)5.83
EPS Next 2Y9.79%
EPS Next 3Y9.45%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. GILD Dividend Analysis

5.1 Amount

  • GILD has a Yearly Dividend Yield of 2.32%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 1.30, GILD pays a better dividend. On top of this GILD pays more dividend than 98.46% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.90, GILD pays a bit more dividend than the S&P500 average.
Industry RankSector Rank
Dividend Yield 2.32%

5.2 History

  • The dividend of GILD has a limited annual growth rate of 3.30%.
  • GILD has been paying a dividend for at least 10 years, so it has a reliable track record.
  • GILD has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)3.3%
Div Incr Years9
Div Non Decr Years9
GILD Yearly Dividends per shareGILD Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • GILD pays out 47.04% of its income as dividend. This is a bit on the high side, but may be sustainable.
  • The dividend of GILD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP47.04%
EPS Next 2Y9.79%
EPS Next 3Y9.45%
GILD Yearly Income VS Free CF VS DividendGILD Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B
GILD Dividend Payout.GILD Dividend Payout, showing the Payout Ratio.GILD Dividend Payout.PayoutRetained Earnings

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GILD Fundamentals: All Metrics, Ratios and Statistics

GILEAD SCIENCES INC

NASDAQ:GILD (3/27/2026, 8:22:04 PM)

After market: 134.14 -0.11 (-0.08%)

134.25

-2.63 (-1.92%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)02-10
Earnings (Next)04-22
Inst Owners92.51%
Inst Owner Change0.57%
Ins Owners0.08%
Ins Owner Change1.55%
Market Cap166.66B
Revenue(TTM)29.44B
Net Income(TTM)8.51B
Analysts81.05
Price Target159.01 (18.44%)
Short Float %1.49%
Short Ratio2.5
Dividend
Industry RankSector Rank
Dividend Yield 2.32%
Yearly Dividend3.22
Dividend Growth(5Y)3.3%
DP47.04%
Div Incr Years9
Div Non Decr Years9
Ex-Date03-13
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.2%
Min EPS beat(2)0.73%
Max EPS beat(2)13.68%
EPS beat(4)3
Avg EPS beat(4)3.61%
Min EPS beat(4)-0.59%
Max EPS beat(4)13.68%
EPS beat(8)7
Avg EPS beat(8)10.97%
EPS beat(12)8
Avg EPS beat(12)7.27%
EPS beat(16)12
Avg EPS beat(16)9.04%
Revenue beat(2)2
Avg Revenue beat(2)1.64%
Min Revenue beat(2)0.98%
Max Revenue beat(2)2.29%
Revenue beat(4)2
Avg Revenue beat(4)-0.25%
Min Revenue beat(4)-3.96%
Max Revenue beat(4)2.29%
Revenue beat(8)6
Avg Revenue beat(8)1.67%
Revenue beat(12)8
Avg Revenue beat(12)0.99%
Revenue beat(16)12
Avg Revenue beat(16)2.6%
PT rev (1m)11.73%
PT rev (3m)17.47%
EPS NQ rev (1m)-7.9%
EPS NQ rev (3m)-6.07%
EPS NY rev (1m)-0.9%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)-1.09%
Revenue NQ rev (3m)-1.78%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.47%
Valuation
Industry RankSector Rank
PE 16.47
Fwd PE 15.19
P/S 5.66
P/FCF 17.63
P/OCF 16.64
P/B 7.34
P/tB N/A
EV/EBITDA 12.67
EPS(TTM)8.15
EY6.07%
EPS(NY)8.84
Fwd EY6.58%
FCF(TTM)7.62
FCFY5.67%
OCF(TTM)8.07
OCFY6.01%
SpS23.72
BVpS18.29
TBVpS-2.09
PEG (NY)1.95
PEG (5Y)5.83
Graham Number57.91
Profitability
Industry RankSector Rank
ROA 14.42%
ROE 37.49%
ROCE 24.94%
ROIC 19.49%
ROICexc 25.18%
ROICexgc 81.81%
OM 39.98%
PM (TTM) 28.9%
GM 78.83%
FCFM 32.11%
ROA(3y)8.12%
ROA(5y)8.16%
ROE(3y)21.59%
ROE(5y)23.19%
ROIC(3y)17.55%
ROIC(5y)16.76%
ROICexc(3y)21.91%
ROICexc(5y)20.22%
ROICexgc(3y)88.7%
ROICexgc(5y)94.18%
ROCE(3y)22.46%
ROCE(5y)21.44%
ROICexgc growth 3Y-8.45%
ROICexgc growth 5Y-2.47%
ROICexc growth 3Y8.85%
ROICexc growth 5Y10%
OM growth 3Y-1.4%
OM growth 5Y-0.11%
PM growth 3Y19.75%
PM growth 5Y125.27%
GM growth 3Y-0.18%
GM growth 5Y-0.66%
F-Score8
Asset Turnover0.5
Health
Industry RankSector Rank
Debt/Equity 0.97
Debt/FCF 2.64
Debt/EBITDA 1.52
Cap/Depr 20.4%
Cap/Sales 1.91%
Interest Coverage 11.36
Cash Conversion 68.94%
Profit Quality 111.11%
Current Ratio 1.55
Quick Ratio 1.4
Altman-Z 4.42
F-Score8
WACC9.03%
ROIC/WACC2.16
Cap/Depr(3y)20.34%
Cap/Depr(5y)24.78%
Cap/Sales(3y)1.96%
Cap/Sales(5y)2.14%
Profit Quality(3y)796.33%
Profit Quality(5y)548.85%
High Growth Momentum
Growth
EPS 1Y (TTM)76.79%
EPS 3Y3.88%
EPS 5Y2.83%
EPS Q2Q%-2.11%
EPS Next Y8.46%
EPS Next 2Y9.79%
EPS Next 3Y9.45%
EPS Next 5Y10.1%
Revenue 1Y (TTM)2.4%
Revenue growth 3Y2.57%
Revenue growth 5Y3.58%
Sales Q2Q%4.7%
Revenue Next Year3.47%
Revenue Next 2Y4.7%
Revenue Next 3Y4.89%
Revenue Next 5Y5.49%
EBIT growth 1Y8.73%
EBIT growth 3Y1.14%
EBIT growth 5Y3.47%
EBIT Next Year18.57%
EBIT Next 3Y11.36%
EBIT Next 5Y10.85%
FCF growth 1Y-8.25%
FCF growth 3Y4.25%
FCF growth 5Y4.69%
OCF growth 1Y-7.48%
OCF growth 3Y3.36%
OCF growth 5Y4.17%

GILEAD SCIENCES INC / GILD Fundamental Analysis FAQ

What is the ChartMill fundamental rating of GILEAD SCIENCES INC (GILD) stock?

ChartMill assigns a fundamental rating of 7 / 10 to GILD.


What is the valuation status for GILD stock?

ChartMill assigns a valuation rating of 6 / 10 to GILEAD SCIENCES INC (GILD). This can be considered as Fairly Valued.


How profitable is GILEAD SCIENCES INC (GILD) stock?

GILEAD SCIENCES INC (GILD) has a profitability rating of 9 / 10.


What is the valuation of GILEAD SCIENCES INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for GILEAD SCIENCES INC (GILD) is 16.47 and the Price/Book (PB) ratio is 7.34.


How sustainable is the dividend of GILEAD SCIENCES INC (GILD) stock?

The dividend rating of GILEAD SCIENCES INC (GILD) is 7 / 10 and the dividend payout ratio is 47.04%.