141.95 USD
+2.4 (+1.72%)
At close: Jan 30, 2026
141.54 USD
-0.41 (-0.29%)
After Hours: 1/30/2026, 8:00:01 PM
We assign a fundamental rating of 6 out of 10 to GILD. GILD was compared to 525 industry peers in the Biotechnology industry. GILD has an excellent profitability rating, but there are some minor concerns on its financial health. GILD scores decently on growth, while it is valued quite cheap. This could make an interesting combination. Finally GILD also has an excellent dividend rating. These ratings would make GILD suitable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year GILD was profitable.
- In the past year GILD had a positive cash flow from operations.
- 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
- GILD has a Return On Assets of 13.86%. This is amongst the best in the industry. GILD outperforms 94.86% of its industry peers.
- Looking at the Return On Equity, with a value of 37.80%, GILD belongs to the top of the industry, outperforming 98.29% of the companies in the same industry.
- GILD's Return On Invested Capital of 18.54% is amongst the best of the industry. GILD outperforms 97.52% of its industry peers.
- GILD had an Average Return On Invested Capital over the past 3 years of 16.22%. This is in line with the industry average of 18.07%.
- The last Return On Invested Capital (18.54%) for GILD is above the 3 year average (16.22%), which is a sign of increasing profitability.
| 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
- With an excellent Profit Margin value of 27.88%, GILD belongs to the best of the industry, outperforming 95.43% of the companies in the same industry.
- In the last couple of years the Profit Margin of GILD has declined.
- The Operating Margin of GILD (38.96%) is better than 98.29% of its industry peers.
- In the last couple of years the Operating Margin of GILD has grown nicely.
- GILD has a Gross Margin of 78.72%. This is amongst the best in the industry. GILD outperforms 84.95% 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 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GILD is creating value.
- Compared to 1 year ago, GILD has about the same amount of shares outstanding.
- The number of shares outstanding for GILD has been reduced compared to 5 years ago.
- GILD has a worse debt/assets ratio than last year.
2.2 Solvency
- GILD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC2.21
WACC8.4%
2.3 Liquidity
- A Current Ratio of 1.53 indicates that GILD should not have too much problems paying its short term obligations.
- GILD has a worse Current ratio (1.53) than 80.57% of its industry peers.
- GILD has a Quick Ratio of 1.17. This is a normal value and indicates that GILD is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.17, GILD is doing worse than 83.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
- GILD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 84.88%, which is quite impressive.
- GILD shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.01% yearly.
- GILD shows a small growth in Revenue. In the last year, the Revenue has grown by 2.78%.
- 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
- GILD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.03% yearly.
- Based on estimates for the next years, GILD will show a small growth in Revenue. The Revenue will grow by 3.76% on average per year.
EPS Next Y80.49%
EPS Next 2Y39.19%
EPS Next 3Y27.36%
EPS Next 5Y19.03%
Revenue Next Year3.2%
Revenue Next 2Y3.26%
Revenue Next 3Y3.79%
Revenue Next 5Y3.76%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- 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
- The Price/Earnings ratio is 17.33, which indicates a rather expensive current valuation of GILD.
- 95.43% of the companies in the same industry are more expensive than GILD, based on the Price/Earnings ratio.
- When comparing the Price/Earnings ratio of GILD to the average of the S&P500 Index (28.30), we can say GILD is valued slightly cheaper.
- GILD is valuated correctly with a Price/Forward Earnings ratio of 15.89.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of GILD indicates a rather cheap valuation: GILD is cheaper than 95.43% of the companies listed in the same industry.
- GILD is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.33 | ||
| Fwd PE | 15.89 |
4.2 Price Multiples
- GILD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GILD is cheaper than 96.38% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of GILD indicates a rather cheap valuation: GILD is cheaper than 95.81% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.5 | ||
| EV/EBITDA | 11.62 |
4.3 Compensation for Growth
- GILD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of GILD may justify a higher PE ratio.
- GILD's earnings are expected to grow with 27.36% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.22
PEG (5Y)N/A
EPS Next 2Y39.19%
EPS Next 3Y27.36%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.41%, GILD has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.08, GILD pays a better dividend. On top of this GILD pays more dividend than 98.48% of the companies listed in the same industry.
- GILD's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.41% |
5.2 History
- The dividend of GILD has a limited annual growth rate of 4.45%.
- GILD has been paying a dividend for at least 10 years, so it has a reliable track record.
- As GILD did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)4.45%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
- GILD pays out 12.00% of its income as dividend. This is a sustainable payout ratio.
- The dividend of GILD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP12%
EPS Next 2Y39.19%
EPS Next 3Y27.36%
GILEAD SCIENCES INC / GILD FAQ
What is the ChartMill fundamental rating of GILEAD SCIENCES INC (GILD) stock?
ChartMill assigns a fundamental rating of 6 / 10 to GILD.
What is the valuation status for GILD stock?
ChartMill assigns a valuation rating of 8 / 10 to GILEAD SCIENCES INC (GILD). This can be considered as Undervalued.
How profitable is GILEAD SCIENCES INC (GILD) stock?
GILEAD SCIENCES INC (GILD) has a profitability rating of 8 / 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 17.33 and the Price/Book (PB) ratio is 8.21.
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 12%.