The most recent trading session ended with Gilead Sciences (GILD) standing at $99.65, reflecting a +1.69% shift from the previouse trading day's closing. The stock outpaced the S&P 500's daily gain of 0.39%. At the same time, the Dow added 0.71%, and the tech-heavy Nasdaq gained 0.2%.Heading into today, shares of the HIV and hepatitis C drugmaker had gained 8.12% over the past month, outpacing the Medical sector's gain of 4.4% and the S&P 500's gain of 1.7% in that time.The upcoming earnings release of Gile ...

Company Overview - Gilead Sciences (GILD) is anticipated to report a year-over-year decline in earnings due to lower revenues for the quarter ended December 2024, with earnings expected to be $1.65 per share, reflecting a -4.1% change, and revenues projected at $7.06 billion, down 0.8% from the previous year [1][3]. Earnings Expectations - The earnings report is scheduled for release on February 11, 2025, and could influence the stock price positively if results exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised 9.53% higher in the last 30 days, indicating a more favorable outlook from analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP (Expected Surprise Prediction) model suggests that Gilead has a positive Earnings ESP of +2.30%, indicating a likelihood of beating the consensus EPS estimate [10][11]. - Gilead currently holds a Zacks Rank of 3 (Hold), which, when combined with the positive Earnings ESP, suggests a higher probability of an earnings beat [11]. Historical Performance - In the last reported quarter, Gilead exceeded the expected earnings of $1.58 per share by delivering $2.02, resulting in a surprise of +27.85% [12]. - Over the past four quarters, Gilead has surpassed consensus EPS estimates three times [13]. Industry Context - In the Zacks Medical - Biomedical and Genetics industry, Vertex Pharmaceuticals (VRTX) is also expected to report earnings of $3.99 per share for the same quarter, reflecting a -5% year-over-year change, with revenues expected to be $2.77 billion, up 10% from the previous year [17]. - Vertex has an Earnings ESP of 0.77% and a Zacks Rank of 3, suggesting a likelihood of beating the consensus EPS estimate as well [18].

This article is published by Terry Chrisomalis, who runs the Biotech Analysis Central pharmaceutical service on Seeking Alpha Marketplace. If you like what you read here and would like to subscribe to, I'm currently offering a two-week free trial period for subscribers to take advantage of. My service offers a deep-dive analysis of many pharmaceutical companies. The Biotech Analysis Central SA marketplace is $49 per month, but for those who sign up for the yearly plan will be able to take advantage of a 33. ...

Core Insights - Gilead Sciences (GILD) has a strong history of beating earnings estimates and is well-positioned for continued success in upcoming reports [1][2] Earnings Performance - Gilead has consistently exceeded earnings expectations, with an average surprise of 26.35% over the last two quarters [2] - In the most recent quarter, Gilead reported earnings of $2.02 per share, surpassing the expected $1.58 by 27.85% [2] - For the previous quarter, the company reported $2.01 per share against an estimate of $1.61, resulting in a surprise of 24.84% [2] Earnings Estimates - Recent estimates for Gilead have been revised upward, indicating positive sentiment among analysts [3] - The Zacks Earnings ESP for Gilead is currently +2.30%, suggesting bullish expectations for the company's earnings [6] Predictive Metrics - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [4] - Gilead's Zacks Rank is 2 (Buy), further supporting the likelihood of another earnings beat [6] Upcoming Earnings Report - Gilead's next earnings report is anticipated to be released on February 11, 2025 [6]

Core Insights - Wall Street analysts' recommendations significantly influence investors' decisions regarding stock purchases, sales, or holds, particularly for Gilead Sciences (GILD) [1] - Gilead has an average brokerage recommendation (ABR) of 1.87, indicating a consensus between Strong Buy and Buy, with 56.7% of the 30 recommendations being Strong Buy [2] Brokerage Recommendations - The ABR suggests a buying opportunity for Gilead, but relying solely on this metric may not be advisable due to studies indicating brokerage recommendations often fail to guide investors effectively [4] - Brokerage firms tend to exhibit a positive bias in their ratings, with a ratio of five Strong Buy recommendations for every Strong Sell, which may mislead investors [5][9] Zacks Rank Comparison - Zacks Rank, a proprietary stock rating tool, categorizes stocks from Strong Buy to Strong Sell and is based on earnings estimate revisions, showing a strong correlation with near-term stock price movements [7][10] - The Zacks Rank is distinct from ABR, as it is a quantitative model that reflects timely earnings estimates, while ABR may not always be up-to-date [8][11] Current Earnings Estimates - Gilead's Zacks Consensus Estimate for the current year has increased by 0.2% to $4.36, indicating growing analyst optimism about the company's earnings prospects [12] - The recent change in consensus estimates has led to a Zacks Rank 2 (Buy) for Gilead, suggesting that the ABR may serve as a useful guide for investors [13]

Core Viewpoint - The article compares Gilead Sciences (GILD) and Alnylam Pharmaceuticals (ALNY) to determine which stock is more attractive to value investors [1] Valuation Metrics - GILD has a forward P/E ratio of 12.35, while ALNY has a significantly higher forward P/E of 659.03 [5] - GILD's PEG ratio is 1.31, indicating a more favorable valuation relative to its expected earnings growth, compared to ALNY's PEG ratio of 20.24 [5] - GILD's P/B ratio stands at 6.30, contrasting sharply with ALNY's P/B of 1,062.58, suggesting GILD is more aligned with its book value [6] Investment Outlook - Both GILD and ALNY currently hold a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions for both companies [3] - GILD is rated with a Value grade of A, while ALNY has a Value grade of D, suggesting GILD is the superior value option based on current metrics [6]

Performance Overview - Gilead Sciences Inc (GILD) shares gained 26.8% in the past six months, outperforming the industry's decline of 12.2% and the S&P 500 Index [1] - The company raised its annual guidance for sales and earnings during its third-quarter earnings release, driven by growth in Veklury (COVID-19 treatment) sales [2] HIV Franchise - Gilead's HIV therapy, Biktarvy, holds a market share of more than 49% in the United States and has increased its HIV sales target to 5% in 2024 from the earlier estimate of 4% [5] - Pipeline candidate lenacapavir demonstrated 100% efficacy for HIV prevention in cisgender women and could be a game-changing HIV prevention option [6][7] New Drugs and Collaborations - FDA granted accelerated approval to seladelpar (brand name Livdelzi) for the treatment of primary biliary cholangitis (PBC) in August 2024 [8] - Gilead acquired CymaBay Therapeutics Inc for $4.3 billion, adding seladelpar to its portfolio [9] - The company announced a strategic partnership with LEO Pharma to strengthen its inflammation research portfolio [11] - Gilead entered into a multi-target research collaboration with Terray Therapeutics and an exclusive option and license agreement with Tubulis [12] Oncology Franchise - Gilead's oncology portfolio, including the Cell Therapy franchise and breast cancer drug Trodelvy, faces challenges due to competitive headwinds [13] - Trodelvy's label expansion efforts suffered setbacks due to the failure of late-stage studies in urothelial cancer and non-small cell lung cancer [14] - FDA granted Breakthrough Therapy Designation to Trodelvy for the treatment of extensive-stage small cell lung cancer [15] Valuation and Estimates - GILD's shares currently trade at 12.13x forward earnings, lower than the large-cap pharma industry's average of 15.29 but higher than its mean of 10.43 [16] - The Zacks Consensus Estimate for 2024 earnings per share (EPS) has moved up 12 cents to $4.36 over the past 60 days [17] Strategic Partnerships - Gilead collaborated with Merck to evaluate the investigational combination of islatravir and lenacapavir for HIV treatment, showing promising results in maintaining viral suppression [20]

Group 1 - Gilead Sciences (GILD) stock closed at $92.38, with a daily increase of +1.52%, underperforming the S&P 500's gain of 1.83% [1] - Over the past month, Gilead's shares have decreased by 1.94%, while the Medical sector and S&P 500 have lost 3.48% and 3.31% respectively [1] - The upcoming earnings report on February 11, 2025, is expected to show an EPS of $1.67, a decrease of 2.91% year-over-year, with projected revenue of $7.05 billion, reflecting a 0.91% decline [2] Group 2 - Recent analyst estimate revisions indicate near-term business trends, with positive changes suggesting optimism about Gilead's profitability [3] - The Zacks Rank system, which incorporates estimate changes, currently ranks Gilead as 3 (Hold), with a consensus EPS estimate having increased by 0.03% over the past month [4][5] - Gilead's Forward P/E ratio is 12.05, indicating a discount compared to the industry average of 21.47 [6] Group 3 - Gilead has a PEG ratio of 1.28, which is lower than the average PEG ratio of 1.4 for Medical - Biomedical and Genetics stocks [7] - The Medical - Biomedical and Genetics industry holds a Zacks Industry Rank of 60, placing it in the top 24% of over 250 industries, suggesting strong performance potential [8]

Summary of Gilead Sciences, Inc. Conference Call Company Overview - **Company**: Gilead Sciences, Inc. (NASDAQ: GILD) - **Event**: JPMorgan Annual Healthcare Conference Call - **Date**: January 13, 2025 - **Key Participants**: - Daniel O'Day - Chairman and Chief Executive Officer - Johanna Mercier - Chief Commercial Officer - Stacey Ma - Executive Vice President, Pharmaceutical Development and Manufacturing - Andrew Dickinson - Chief Financial Officer - Flavius Martin - Executive Vice President, Research Core Insights and Arguments - **Current Position**: Gilead is in an exciting phase as of 2025, with a focus on framing its current standing in the market [3] - **Investment Strategy**: The company has undergone several years of high investments aimed at diversifying its portfolio and strengthening its approach to HIV treatment [4] - **Future Outlook**: Gilead anticipates a period of consistent execution where past investments will translate into commercial benefits, leading to growth in revenues and operational efficiency [4][5] Additional Important Points - **Financial Discipline**: The company emphasizes improved financial discipline as a key factor contributing to its operational efficiency [5] - **Forward-Looking Statements**: The presentation includes forward-looking statements, indicating a focus on future growth and performance [5]

Company Performance - Gilead Sciences (GILD) closed at $89.14, reflecting a -1.64% change from the previous day's closing price, underperforming the S&P 500 which gained 0.16% [1] - Over the past month, Gilead's shares have decreased by 3.51%, which is better than the Medical sector's decline of 5.31% and the S&P 500's loss of 2.7% [2] - The upcoming earnings report is scheduled for February 11, 2025, with an expected EPS of $1.67, indicating a 2.91% decline year-over-year, and a revenue forecast of $7.05 billion, down 0.88% from the previous year [3] Analyst Estimates - Recent changes in analyst estimates for Gilead Sciences reflect evolving short-term business trends, with positive revisions indicating analysts' confidence in the company's performance [4] - The Zacks Consensus EPS estimate has increased by 2.15% in the past month, and Gilead currently holds a Zacks Rank of 3 (Hold) [6] Valuation Metrics - Gilead Sciences has a Forward P/E ratio of 11.81, which is lower than the industry average Forward P/E of 22.58, indicating a valuation discount [7] - The company has a PEG ratio of 1.26, compared to the industry average PEG ratio of 1.5, suggesting a favorable growth outlook relative to its valuation [8] Industry Context - The Medical - Biomedical and Genetics industry, which includes Gilead, has a Zacks Industry Rank of 64, placing it in the top 26% of over 250 industries, indicating strong relative performance [9]