GILEAD SCIENCES INC (GILD)
US3755581036 - Common Stock
Taking everything into account, GILD scores 6 out of 10 in our fundamental rating. GILD was compared to 565 industry peers in the Biotechnology industry. While GILD has a great profitability rating, there are some minor concerns on its financial health. GILD has a bad growth rate and is valued cheaply. These ratings would make GILD suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year GILD was profitable.
GILD had a positive operating cash flow in the past year.
Each year in the past 5 years GILD has been profitable.
In the past 5 years GILD always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.23%, GILD belongs to the top of the industry, outperforming 92.69% of the companies in the same industry.
With an excellent Return On Equity value of 0.69%, GILD belongs to the best of the industry, outperforming 93.58% of the companies in the same industry.
GILD has a Return On Invested Capital of 20.34%. This is amongst the best in the industry. GILD outperforms 98.04% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GILD is in line with the industry average of 15.31%.
The 3 year average ROIC (15.05%) for GILD is below the current ROIC(20.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.23% | ||
| ROE | 0.69% | ||
| ROIC | 20.34% |
ROA(3y)8.52%
ROA(5y)6.89%
ROE(3y)25.33%
ROE(5y)20.11%
ROIC(3y)15.05%
ROIC(5y)11.55%
1.3 Margins
The Profit Margin of GILD (0.45%) is better than 93.05% of its industry peers.
GILD's Profit Margin has declined in the last couple of years.
GILD's Operating Margin of 38.38% is amongst the best of the industry. GILD outperforms 98.93% of its industry peers.
GILD's Operating Margin has been stable in the last couple of years.
GILD's Gross Margin of 77.80% is amongst the best of the industry. GILD outperforms 85.92% of its industry peers.
GILD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.38% | ||
| PM (TTM) | 0.45% | ||
| GM | 77.8% |
OM growth 3Y30.17%
OM growth 5Y-0.79%
PM growth 3Y247.42%
PM growth 5Y-3.26%
GM growth 3Y-1.53%
GM growth 5Y-0.07%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GILD is creating value.
The number of shares outstanding for GILD remains at a similar level compared to 1 year ago.
GILD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for GILD is higher compared to a year ago.
2.2 Solvency
There is no outstanding debt for GILD. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC2.05
WACC9.91%
2.3 Liquidity
GILD has a Current Ratio of 1.11. 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 Current ratio value of 1.11, GILD is not doing good in the industry: 86.27% of the companies in the same industry are doing better.
A Quick Ratio of 0.82 indicates that GILD may have some problems paying its short term obligations.
The Quick ratio of GILD (0.82) is worse than 88.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
The earnings per share for GILD have decreased strongly by -36.62% in the last year.
GILD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.09% yearly.
GILD shows a small growth in Revenue. In the last year, the Revenue has grown by 3.31%.
GILD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.15% yearly.
EPS 1Y (TTM)-36.62%
EPS 3Y-0.24%
EPS 5Y1.09%
EPS Q2Q%-11.79%
Revenue 1Y (TTM)3.31%
Revenue growth 3Y3.17%
Revenue growth 5Y4.15%
Sales Q2Q%7.01%
3.2 Future
Based on estimates for the next years, GILD will show a small growth in Earnings Per Share. The EPS will grow by 3.70% on average per year.
Based on estimates for the next years, GILD will show a small growth in Revenue. The Revenue will grow by 2.35% on average per year.
EPS Next Y-38.97%
EPS Next 2Y3.49%
EPS Next 3Y4.18%
EPS Next 5Y3.7%
Revenue Next Year3.71%
Revenue Next 2Y2.03%
Revenue Next 3Y2.46%
Revenue Next 5Y2.35%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
GILD is valuated rather expensively with a Price/Earnings ratio of 20.26.
95.90% of the companies in the same industry are more expensive than GILD, based on the Price/Earnings ratio.
GILD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.96.
A Price/Forward Earnings ratio of 11.90 indicates a reasonable valuation of GILD.
Based on the Price/Forward Earnings ratio, GILD is valued cheaply inside the industry as 97.33% of the companies are valued more expensively.
GILD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.26 | ||
| Fwd PE | 11.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GILD is valued cheaper than 98.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GILD is valued cheaper than 98.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.4 | ||
| EV/EBITDA | 7.78 |
4.3 Compensation for Growth
The excellent profitability rating of GILD may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)18.66
EPS Next 2Y3.49%
EPS Next 3Y4.18%
5. Dividend
5.1 Amount
GILD has a Yearly Dividend Yield of 3.34%.
GILD's Dividend Yield is rather good when compared to the industry average which is at 9.65. GILD pays more dividend than 99.11% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, GILD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
5.2 History
The dividend of GILD has a limited annual growth rate of 5.90%.
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)5.9%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
748.41% of the earnings are spent on dividend by GILD. This is not a sustainable payout ratio.
GILD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP748.41%
EPS Next 2Y3.49%
EPS Next 3Y4.18%
GILEAD SCIENCES INC
NASDAQ:GILD (11/21/2024, 8:00:01 PM)
After market: 89.76 0 (0%)89.76
+1.13 (+1.27%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap111.84B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.26 | ||
| Fwd PE | 11.9 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)18.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.23% | ||
| ROE | 0.69% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 38.38% | ||
| PM (TTM) | 0.45% | ||
| GM | 77.8% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-36.62%
EPS 3Y-0.24%
EPS 5Y
EPS Q2Q%
EPS Next Y-38.97%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)3.31%
Revenue growth 3Y3.17%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y