GILEAD SCIENCES INC (1GILD.MI) Stock Fundamental Analysis
BIT:1GILD - US3755581036 - Common Stock
98.16 EUR
+4.22 (+4.49%)
Overall 1GILD gets a fundamental rating of 7 out of 10. We evaluated 1GILD against 74 industry peers in the Biotechnology industry. Both the health and profitability get an excellent rating, making 1GILD a very profitable company, without any liquidiy or solvency issues. 1GILD scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes 1GILD very considerable for value investing!
1. Profitability
1.1 Basic Checks
1GILD had positive earnings in the past year.
In the past year 1GILD had a positive cash flow from operations.
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 10.57%, 1GILD belongs to the top of the industry, outperforming 89.19% of the companies in the same industry.
1GILD has a Return On Equity of 31.13%. This is amongst the best in the industry. 1GILD outperforms 91.89% of its industry peers.
1GILD has a Return On Invested Capital of 18.81%. This is amongst the best in the industry. 1GILD outperforms 95.95% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1GILD is above the industry average of 12.87%.
The last Return On Invested Capital (18.81%) for 1GILD is above the 3 year average (15.57%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.57% | ||
| ROE | 31.13% | ||
| ROIC | 18.81% |
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
The Profit Margin of 1GILD (20.76%) is better than 89.19% of its industry peers.
In the last couple of years the Profit Margin of 1GILD has declined.
1GILD has a better Operating Margin (38.17%) than 93.24% of its industry peers.
1GILD's Operating Margin has improved in the last couple of years.
1GILD has a Gross Margin of 78.29%. This is in the better half of the industry: 1GILD outperforms 70.27% of its industry peers.
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 | 38.17% | ||
| PM (TTM) | 20.76% | ||
| GM | 78.29% |
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.
The number of shares outstanding for 1GILD remains at a similar level compared to 1 year ago.
1GILD has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1GILD is higher compared to a year ago.
2.2 Solvency
1GILD has an Altman-Z score of 3.82. This indicates that 1GILD is financially healthy and has little risk of bankruptcy at the moment.
1GILD's Altman-Z score of 3.82 is amongst the best of the industry. 1GILD outperforms 81.08% of its industry peers.
The Debt to FCF ratio of 1GILD is 2.53, which is a good value as it means it would take 1GILD, 2.53 years of fcf income to pay off all of its debts.
1GILD has a Debt to FCF ratio of 2.53. This is amongst the best in the industry. 1GILD outperforms 87.84% of its industry peers.
A Debt/Equity ratio of 1.16 is on the high side and indicates that 1GILD has dependencies on debt financing.
1GILD has a Debt to Equity ratio (1.16) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 2.53 | ||
| Altman-Z | 3.82 |
ROIC/WACC2.01
WACC9.37%
2.3 Liquidity
A Current Ratio of 1.37 indicates that 1GILD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.37, 1GILD is doing worse than 66.22% of the companies in the same industry.
A Quick Ratio of 1.23 indicates that 1GILD should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.23, 1GILD is not doing good in the industry: 66.22% 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 | 1.37 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 77.93% over the past year.
The Earnings Per Share has been decreasing by -7.01% on average over the past years.
The Revenue has been growing slightly by 4.68% in the past year.
1GILD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.08% yearly.
EPS 1Y (TTM)77.93%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%237.12%
Revenue 1Y (TTM)4.68%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%-0.28%
3.2 Future
Based on estimates for the next years, 1GILD will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.00% on average per year.
Based on estimates for the next years, 1GILD will show a small growth in Revenue. The Revenue will grow by 3.58% on average per year.
EPS Next Y76.16%
EPS Next 2Y37.11%
EPS Next 3Y26.29%
EPS Next 5Y18%
Revenue Next Year1.45%
Revenue Next 2Y2.6%
Revenue Next 3Y3.45%
Revenue Next 5Y3.58%
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
With a Price/Earnings ratio of 14.85, 1GILD is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of 1GILD indicates a rather cheap valuation: 1GILD is cheaper than 87.84% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of 1GILD to the average of the S&P500 Index (26.90), we can say 1GILD is valued slightly cheaper.
1GILD is valuated correctly with a Price/Forward Earnings ratio of 13.27.
87.84% of the companies in the same industry are more expensive than 1GILD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of 1GILD to the average of the S&P500 Index (22.52), we can say 1GILD is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.85 | ||
| Fwd PE | 13.27 |
4.2 Price Multiples
1GILD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. 1GILD is cheaper than 86.49% of the companies 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 89.19% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.53 | ||
| EV/EBITDA | 11.65 |
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.
A more expensive valuation may be justified as 1GILD's earnings are expected to grow with 26.29% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y37.11%
EPS Next 3Y26.29%
5. Dividend
5.1 Amount
1GILD has a Yearly Dividend Yield of 2.81%.
Compared to an average industry Dividend Yield of 12.87, 1GILD pays a better dividend. On top of this 1GILD pays more dividend than 93.24% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, 1GILD pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.81% |
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 66.02% of its income as dividend. This is not a sustainable payout ratio.
1GILD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP66.02%
EPS Next 2Y37.11%
EPS Next 3Y26.29%
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 Owners89.59%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap122.10B
Analysts80
Price Target104.63 (6.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.81% |
Yearly Dividend2.76
Dividend Growth(5Y)4.45%
DP66.02%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.4%
Min EPS beat(2)-0.59%
Max EPS beat(2)9.39%
EPS beat(4)3
Avg EPS beat(4)14.86%
Min EPS beat(4)-0.59%
Max EPS beat(4)27.44%
EPS beat(8)5
Avg EPS beat(8)10.6%
EPS beat(12)8
Avg EPS beat(12)9.55%
EPS beat(16)11
Avg EPS beat(16)7.89%
Revenue beat(2)1
Avg Revenue beat(2)-0.05%
Min Revenue beat(2)-3.96%
Max Revenue beat(2)3.87%
Revenue beat(4)3
Avg Revenue beat(4)1.75%
Min Revenue beat(4)-3.96%
Max Revenue beat(4)5.61%
Revenue beat(8)6
Avg Revenue beat(8)1.33%
Revenue beat(12)9
Avg Revenue beat(12)2.97%
Revenue beat(16)13
Avg Revenue beat(16)3.85%
PT rev (1m)0.62%
PT rev (3m)4.6%
EPS NQ rev (1m)1.06%
EPS NQ rev (3m)0.79%
EPS NY rev (1m)0.04%
EPS NY rev (3m)0.17%
Revenue NQ rev (1m)0.4%
Revenue NQ rev (3m)0.41%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.85 | ||
| Fwd PE | 13.27 | ||
| P/S | 4.98 | ||
| P/FCF | 14.53 | ||
| P/OCF | 13.8 | ||
| P/B | 7.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.65 |
EPS(TTM)6.61
EY6.73%
EPS(NY)7.4
Fwd EY7.54%
FCF(TTM)6.76
FCFY6.88%
OCF(TTM)7.11
OCFY7.25%
SpS19.72
BVpS13.15
TBVpS-5.84
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.57% | ||
| ROE | 31.13% | ||
| ROCE | 24.88% | ||
| ROIC | 18.81% | ||
| ROICexc | 22.94% | ||
| ROICexgc | 97.64% | ||
| OM | 38.17% | ||
| PM (TTM) | 20.76% | ||
| GM | 78.29% | ||
| FCFM | 34.26% |
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 Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 2.53 | ||
| Debt/EBITDA | 1.61 | ||
| Cap/Depr | 18.82% | ||
| Cap/Sales | 1.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.43% | ||
| Profit Quality | 165.03% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 3.82 |
F-Score8
WACC9.37%
ROIC/WACC2.01
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)77.93%
EPS 3Y-14.17%
EPS 5Y-7.01%
EPS Q2Q%237.12%
EPS Next Y76.16%
EPS Next 2Y37.11%
EPS Next 3Y26.29%
EPS Next 5Y18%
Revenue 1Y (TTM)4.68%
Revenue growth 3Y1.74%
Revenue growth 5Y5.08%
Sales Q2Q%-0.28%
Revenue Next Year1.45%
Revenue Next 2Y2.6%
Revenue Next 3Y3.45%
Revenue Next 5Y3.58%
EBIT growth 1Y8.48%
EBIT growth 3Y2.97%
EBIT growth 5Y19.42%
EBIT Next Year72.29%
EBIT Next 3Y24.91%
EBIT Next 5Y17.27%
FCF growth 1Y17.4%
FCF growth 3Y-1.57%
FCF growth 5Y4.37%
OCF growth 1Y15.5%
OCF growth 3Y-1.66%
OCF growth 5Y3.44%