Gilead Sciences (NASDAQ:GILD) Releases Earnings Results, Beats Expectations By $0.03 EPS

Gilead Sciences (NASDAQ:GILD) announced its quarterly earnings data on Tuesday. The biopharmaceutical company reported $1.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.83 by $0.03, Zacks reports. Gilead Sciences had a return on equity of 51.04% and a net margin of 28.90%.The firm had revenue of $7.93 billion for the quarter, compared to analysts’ expectations of $7.68 billion. During the same quarter in the prior year, the firm posted $1.90 earnings per share. Gilead Sciences’s revenue for the quarter was up 4.7% compared to the same quarter last year. Gilead Sciences updated its FY 2026 guidance to 8.450-8.850 EPS.

Here are the key takeaways from Gilead Sciences’ conference call:

• Gilead closed 2025 with strong results — full‑year product sales of $28.9B (base business $28B), HIV sales of $20.8B (+6% y/y; +10% excluding a ~$900M Part D headwind) — and guided 2026 total product sales of $29.6–$30.0B with non‑GAAP EPS of $8.45–$8.85, noting no major product LOEs until 2036.
• Management highlighted a catalyst‑rich 2026 with up to four planned commercial launches — including Trodelvy (1L metastatic TNBC), a daily oral combo Biclen (bictegravir+lenacapavir), Anito‑cel (BCMA CAR‑T) and bulevirtide — plus multiple phase III readouts and expected FDA decisions that could materially expand revenue.
• Near‑term headwinds include the December drug‑pricing agreement and proposed ACA changes that together create an estimated ~2% drag on 2026 growth, the 2025 ~$1.1B Part D redesign impact, a large expected decline in Veklury revenue, and continued competitive pressure on Kite cell‑therapy revenues (Kite revenue expected to fall ~10% in 2026).
• The twice‑yearly PrEP injectable Yes2Go (Sunlenca) is rapidly scaling — ~90% payer coverage (≈90% with $0 copay), $150M revenue in 2025, and management targets ≈$800M in 2026 — positioning it as a potential long‑term growth driver, though long‑term refill/persistency remains early and is being monitored.

Gilead Sciences Price Performance

Shares of Gilead Sciences stock traded down $2.84 on Thursday, hitting $152.96. The company had a trading volume of 1,990,042 shares, compared to its average volume of 7,747,334. Gilead Sciences has a 52 week low of $93.37 and a 52 week high of $157.29. The company has a market cap of $189.77 billion, a PE ratio of 22.44, a PEG ratio of 0.78 and a beta of 0.36. The business has a 50-day simple moving average of $129.01 and a 200-day simple moving average of $121.77. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.45 and a quick ratio of 1.31.

Gilead Sciences Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, March 30th. Stockholders of record on Friday, March 13th will be issued a $0.82 dividend. This represents a $3.28 annualized dividend and a dividend yield of 2.1%. This is a boost from Gilead Sciences’s previous quarterly dividend of $0.79. The ex-dividend date is Friday, March 13th. Gilead Sciences’s payout ratio is 46.68%.

Key Stories Impacting Gilead Sciences

Here are the key news stories impacting Gilead Sciences this week:

• Positive Sentiment: Q4 beat on top and bottom lines — Gilead reported Q4 EPS of $1.86 and revenue of ~$7.9B, ahead of consensus, driven by strong HIV and liver-disease drug sales. This is the primary catalyst for the rally as investors reward visible current cash flow. Reuters: Gilead quarterly results beat Wall Street estimates
• Positive Sentiment: Multiple analyst upgrades and higher price targets — Banks including Morgan Stanley, JPMorgan, Wells Fargo, Needham and others raised PTs and/or ratings after the print, providing buy-side momentum and supporting the stock’s upside. MarketScreener: Morgan Stanley raises PT
• Positive Sentiment: Dividend hike — Board approved a 3.8% quarterly dividend increase to $0.82/share, raising yield and reinforcing the income case for investors. Dividends often support valuation in large-cap biotech. BusinessWire: Dividend announcement
• Neutral Sentiment: Investment case notes — Commentary highlighting Yescarta label expansion and margin/earnings leverage adds longer-term upside potential but is incremental versus the near-term beat/guidance story. Yahoo Finance: Yescarta and dividend story
• Neutral Sentiment: Earnings materials & transcripts available — For detail on pipeline comments and management tone, see the earnings call transcript and slide deck (useful for modelling but not an immediate stock mover). Seeking Alpha: Q4 earnings call transcript
• Negative Sentiment: FY‑2026 guidance light — Gilead set FY‑26 EPS of $8.45–$8.85 and revenue guidance slightly below consensus (~$29.6–30.0B vs. ~30.1B consensus), which prompted an initial sell-off after hours and is a near-term risk to valuation. MSN: Outlook short of Wall Street view
• Negative Sentiment: Mixed analyst signals — Some firms raised price targets but a few maintained cautious ratings or PTs that imply downside versus current levels (e.g., RBC’s PT remains below the stock), creating a split analyst narrative that could cap upside until guidance clarity improves. Benzinga: analyst actions

Insider Transactions at Gilead Sciences

In other Gilead Sciences news, CFO Andrew D. Dickinson sold 3,000 shares of the stock in a transaction on Thursday, January 15th. The stock was sold at an average price of $124.31, for a total transaction of $372,930.00. Following the completion of the transaction, the chief financial officer directly owned 150,503 shares of the company’s stock, valued at approximately $18,709,027.93. This trade represents a 1.95% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Jeffrey Bluestone sold 5,000 shares of the business’s stock in a transaction on Tuesday, January 20th. The stock was sold at an average price of $123.50, for a total value of $617,500.00. Following the completion of the sale, the director directly owned 8,920 shares in the company, valued at $1,101,620. This represents a 35.92% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 319,391 shares of company stock valued at $44,141,101 over the last three months. 0.27% of the stock is owned by company insiders.

Hedge Funds Weigh In On Gilead Sciences

Several large investors have recently made changes to their positions in the business. Stamos Capital Partners L.P. raised its holdings in shares of Gilead Sciences by 54.4% in the 4th quarter. Stamos Capital Partners L.P. now owns 7,286 shares of the biopharmaceutical company’s stock worth $894,000 after purchasing an additional 2,566 shares in the last quarter. Moneta Group Investment Advisors LLC grew its position in Gilead Sciences by 13.0% in the fourth quarter. Moneta Group Investment Advisors LLC now owns 10,197 shares of the biopharmaceutical company’s stock worth $1,252,000 after buying an additional 1,172 shares during the last quarter. McMillan Office Inc. bought a new position in shares of Gilead Sciences in the fourth quarter valued at $312,000. Brown Brothers Harriman & Co. lifted its position in shares of Gilead Sciences by 107.7% during the 4th quarter. Brown Brothers Harriman & Co. now owns 9,954 shares of the biopharmaceutical company’s stock valued at $1,222,000 after acquiring an additional 5,162 shares during the last quarter. Finally, denkapparat Operations GmbH lifted its position in shares of Gilead Sciences by 135.4% during the 4th quarter. denkapparat Operations GmbH now owns 11,788 shares of the biopharmaceutical company’s stock valued at $1,447,000 after acquiring an additional 6,780 shares during the last quarter. Institutional investors own 83.67% of the company’s stock.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on the stock. Truist Financial increased their price objective on shares of Gilead Sciences from $145.00 to $152.00 and gave the stock a “buy” rating in a research note on Wednesday. Needham & Company LLC upped their price objective on Gilead Sciences from $140.00 to $170.00 and gave the stock a “buy” rating in a research note on Wednesday. The Goldman Sachs Group raised their target price on Gilead Sciences from $110.00 to $115.00 and gave the company a “neutral” rating in a research note on Thursday, January 8th. Citigroup upped their price target on shares of Gilead Sciences from $140.00 to $156.00 and gave the stock a “buy” rating in a research report on Tuesday, January 27th. Finally, TD Cowen boosted their target price on shares of Gilead Sciences from $145.00 to $160.00 and gave the company a “buy” rating in a research note on Wednesday. Twenty-four investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, Gilead Sciences has a consensus rating of “Moderate Buy” and an average target price of $150.64.

About Gilead Sciences

Gilead Sciences, Inc, founded in 1987 and headquartered in Foster City, California, is a biopharmaceutical company focused on the discovery, development and commercialization of medicines in areas of high unmet medical need. The company initially built its reputation in antiviral therapies and has since expanded into oncology, cell therapy and inflammatory diseases. Gilead operates a global research and commercial organization, conducting clinical development and selling medicines in markets around the world.

Gilead’s product portfolio is anchored by antiviral therapies for HIV and viral hepatitis.