GILEAD SCIENCES INC (GIS.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:GIS - US3755581036 - Common Stock
106.36 EUR
+0.9 (+0.85%)
Taking everything into account, GIS scores 6 out of 10 in our fundamental rating. GIS was compared to 86 industry peers in the Biotechnology industry. GIS has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on GIS. GIS also has an excellent dividend rating. These ratings would make GIS suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year GIS was profitable.
- GIS had a positive operating cash flow in the past year.
- GIS had positive earnings in each of the past 5 years.
- In the past 5 years GIS always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of GIS (13.86%) is better than 89.53% of its industry peers.
- With an excellent Return On Equity value of 37.80%, GIS belongs to the best of the industry, outperforming 96.51% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 18.54%, GIS belongs to the best of the industry, outperforming 97.67% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for GIS is above the industry average of 11.58%.
- The 3 year average ROIC (16.22%) for GIS 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
- GIS has a Profit Margin of 27.88%. This is amongst the best in the industry. GIS outperforms 87.21% of its industry peers.
- GIS's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 38.96%, GIS belongs to the top of the industry, outperforming 96.51% of the companies in the same industry.
- In the last couple of years the Operating Margin of GIS has grown nicely.
- GIS's Gross Margin of 78.72% is fine compared to the rest of the industry. GIS outperforms 70.93% of its industry peers.
- In the last couple of years the Gross Margin of GIS has remained more or less at the same level.
| 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
- GIS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- GIS has about the same amout of shares outstanding than it did 1 year ago.
- GIS has less shares outstanding than it did 5 years ago.
- GIS has a worse debt/assets ratio than last year.
2.2 Solvency
- There is no outstanding debt for GIS. 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/WACC2.23
WACC8.3%
2.3 Liquidity
- A Current Ratio of 1.53 indicates that GIS should not have too much problems paying its short term obligations.
- GIS has a Current ratio of 1.53. This is in the lower half of the industry: GIS underperforms 60.47% of its industry peers.
- A Quick Ratio of 1.17 indicates that GIS should not have too much problems paying its short term obligations.
- With a Quick ratio value of 1.17, GIS is not doing good in the industry: 61.63% of the companies in the same industry are doing better.
| 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.
- GIS shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.01% yearly.
- Looking at the last year, GIS shows a small growth in Revenue. The Revenue has grown by 2.78% in the last year.
- The Revenue has been growing slightly by 5.08% on average over the past years.
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
- Based on estimates for the next years, GIS will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.03% on average per year.
- The Revenue is expected to grow by 3.76% on average over the next years.
EPS Next Y80.49%
EPS Next 2Y39.19%
EPS Next 3Y27.36%
EPS Next 5Y19.03%
Revenue Next Year3.2%
Revenue Next 2Y3.32%
Revenue Next 3Y3.79%
Revenue Next 5Y3.76%
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
- With a Price/Earnings ratio of 15.24, GIS is valued correctly.
- GIS's Price/Earnings ratio is rather cheap when compared to the industry. GIS is cheaper than 89.53% of the companies in the same industry.
- GIS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.94.
- A Price/Forward Earnings ratio of 13.97 indicates a correct valuation of GIS.
- Based on the Price/Forward Earnings ratio, GIS is valued cheaper than 93.02% of the companies in the same industry.
- GIS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.24 | ||
| Fwd PE | 13.97 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, GIS is valued cheaply inside the industry as 86.05% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of GIS indicates a rather cheap valuation: GIS is cheaper than 88.37% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.26 | ||
| EV/EBITDA | 10.31 |
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 GIS may justify a higher PE ratio.
- A more expensive valuation may be justified as GIS's earnings are expected to grow with 27.36% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y39.19%
EPS Next 3Y27.36%
5. Dividend
5.1 Amount
- GIS has a Yearly Dividend Yield of 2.61%. Purely for dividend investing, there may be better candidates out there.
- GIS's Dividend Yield is rather good when compared to the industry average which is at 0.75. GIS pays more dividend than 93.02% of the companies in the same industry.
- GIS's Dividend Yield is a higher than the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.61% |
5.2 History
- The dividend of GIS has a limited annual growth rate of 4.45%.
Dividend Growth(5Y)4.45%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- GIS pays out 12.00% of its income as dividend. This is a sustainable payout ratio.
- The dividend of GIS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP12%
EPS Next 2Y39.19%
EPS Next 3Y27.36%
FRA:GIS (1/20/2026, 7:00:00 PM)
106.36
+0.9 (+0.85%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)02-09 2026-02-09/amc
Inst Owners91.58%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap131.96B
Revenue(TTM)29.09B
Net Income(TTM)8.11B
Analysts81.08
Price Target115.48 (8.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.61% |
Yearly Dividend2.71
Dividend Growth(5Y)4.45%
DP12%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.14%
Min EPS beat(2)0.6%
Max EPS beat(2)13.68%
EPS beat(4)3
Avg EPS beat(4)5.77%
Min EPS beat(4)-0.59%
Max EPS beat(4)13.68%
EPS beat(8)6
Avg EPS beat(8)10.36%
EPS beat(12)8
Avg EPS beat(12)8%
EPS beat(16)11
Avg EPS beat(16)5.39%
Revenue beat(2)1
Avg Revenue beat(2)0.99%
Min Revenue beat(2)-0.31%
Max Revenue beat(2)2.29%
Revenue beat(4)2
Avg Revenue beat(4)0.47%
Min Revenue beat(4)-3.96%
Max Revenue beat(4)3.87%
Revenue beat(8)5
Avg Revenue beat(8)1.32%
Revenue beat(12)8
Avg Revenue beat(12)1.67%
Revenue beat(16)12
Avg Revenue beat(16)2.95%
PT rev (1m)-0.53%
PT rev (3m)6.39%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-12.44%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0.26%
Revenue NQ rev (3m)1.08%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)1.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.24 | ||
| Fwd PE | 13.97 | ||
| P/S | 5.32 | ||
| P/FCF | 16.26 | ||
| P/OCF | 16.01 | ||
| P/B | 7.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.31 |
EPS(TTM)6.98
EY6.56%
EPS(NY)7.62
Fwd EY7.16%
FCF(TTM)6.54
FCFY6.15%
OCF(TTM)6.64
OCFY6.25%
SpS19.99
BVpS14.75
TBVpS-3.32
PEG (NY)0.19
PEG (5Y)N/A
Graham Number48.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.86% | ||
| ROE | 37.8% | ||
| ROCE | 24.51% | ||
| ROIC | 18.54% | ||
| ROICexc | 23.24% | ||
| ROICexgc | 80.87% | ||
| OM | 38.96% | ||
| PM (TTM) | 27.88% | ||
| GM | 78.72% | ||
| FCFM | 32.73% |
ROA(3y)5.73%
ROA(5y)5.31%
ROE(3y)16.3%
ROE(5y)15.83%
ROIC(3y)16.22%
ROIC(5y)15.08%
ROICexc(3y)19.38%
ROICexc(5y)17.72%
ROICexgc(3y)93.83%
ROICexgc(5y)93.24%
ROCE(3y)21.45%
ROCE(5y)19.94%
ROICexgc growth 3Y-0.46%
ROICexgc growth 5Y15.06%
ROICexc growth 3Y13.04%
ROICexc growth 5Y6.39%
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%
F-Score7
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.56% | ||
| Profit Quality | 117.39% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | N/A |
F-Score7
WACC8.3%
ROIC/WACC2.23
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)84.88%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%22.28%
EPS Next Y80.49%
EPS Next 2Y39.19%
EPS Next 3Y27.36%
EPS Next 5Y19.03%
Revenue 1Y (TTM)2.78%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%2.97%
Revenue Next Year3.2%
Revenue Next 2Y3.32%
Revenue Next 3Y3.79%
Revenue Next 5Y3.76%
EBIT growth 1Y4.49%
EBIT growth 3Y2.36%
EBIT growth 5Y12.88%
EBIT Next Year76.48%
EBIT Next 3Y25.45%
EBIT Next 5Y19.27%
FCF growth 1Y21.23%
FCF growth 3Y-1.57%
FCF growth 5Y4.37%
OCF growth 1Y15.03%
OCF growth 3Y-1.66%
OCF growth 5Y3.44%
GILEAD SCIENCES INC / GIS.DE FAQ
What is the fundamental rating for GIS stock?
ChartMill assigns a fundamental rating of 6 / 10 to GIS.DE.
What is the valuation status of GILEAD SCIENCES INC (GIS.DE) stock?
ChartMill assigns a valuation rating of 8 / 10 to GILEAD SCIENCES INC (GIS.DE). This can be considered as Undervalued.
How profitable is GILEAD SCIENCES INC (GIS.DE) stock?
GILEAD SCIENCES INC (GIS.DE) has a profitability rating of 8 / 10.
What is the financial health of GILEAD SCIENCES INC (GIS.DE) stock?
The financial health rating of GILEAD SCIENCES INC (GIS.DE) is 5 / 10.
Can you provide the expected EPS growth for GIS stock?
The Earnings per Share (EPS) of GILEAD SCIENCES INC (GIS.DE) is expected to grow by 80.49% in the next year.