Reviewing Gilead Sciences (GILD) and The Competition

Gilead Sciences (NASDAQ:GILD) is one of 844 public companies in the “Biotechnology” industry, but how does it compare to its rivals? We will compare Gilead Sciences to related companies based on the strength of its profitability, analyst recommendations, institutional ownership, valuation, risk, dividends and earnings.

Profitability

This table compares Gilead Sciences and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gilead Sciences	-12.47%	-1.85%	-0.61%
Gilead Sciences Competitors	-12,346.73%	-197.60%	-30.56%

Valuation and Earnings

This table compares Gilead Sciences and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Gilead Sciences	$29.44 billion	$8.51 billion	-53.63
Gilead Sciences Competitors	$742.07 million	$14.11 million	-15.46

Gilead Sciences has higher revenue and earnings than its rivals. Gilead Sciences is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

83.7% of Gilead Sciences shares are held by institutional investors. Comparatively, 47.9% of shares of all “Biotechnology” companies are held by institutional investors. 0.3% of Gilead Sciences shares are held by insiders. Comparatively, 13.0% of shares of all “Biotechnology” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations for Gilead Sciences and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gilead Sciences	0	6	23	0	2.79
Gilead Sciences Competitors	9839	15126	45466	1588	2.54

Gilead Sciences currently has a consensus target price of $170.15, indicating a potential upside of 0.40%. As a group, “Biotechnology” companies have a potential upside of 99.71%. Given Gilead Sciences’ rivals higher probable upside, analysts clearly believe Gilead Sciences has less favorable growth aspects than its rivals.

Risk & Volatility

Gilead Sciences has a beta of 0.35, suggesting that its stock price is 65% less volatile than the S&P 500. Comparatively, Gilead Sciences’ rivals have a beta of 1.10, suggesting that their average stock price is 10% more volatile than the S&P 500.

Dividends

Gilead Sciences pays an annual dividend of $3.28 per share and has a dividend yield of 1.9%. Gilead Sciences pays out -103.8% of its earnings in the form of a dividend. As a group, “Biotechnology” companies pay a dividend yield of 1.5% and pay out 54.8% of their earnings in the form of a dividend. Gilead Sciences has raised its dividend for 10 consecutive years. Gilead Sciences is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.

Summary

Gilead Sciences beats its rivals on 10 of the 15 factors compared.

About Gilead Sciences

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. The company provides Biktarvy, Genvoya, Descovy, Odefsey, Truvada, Complera/ Eviplera, Stribild, Sunlencs, and Atripla products for the treatment of HIV/AIDS; Veklury, an injection for intravenous use, for the treatment of COVID-19; and Epclusa, Harvoni, Vemlidy, and Viread for the treatment of viral hepatitis. It also offers Yescarta, Tecartus, and Trodelvy products for the treatment of oncology; Letairis, an oral formulation for the treatment of pulmonary arterial hypertension; and AmBisome, a liposomal formulation for the treatment of serious invasive fungal infections. The company has collaboration agreements with Arcus Biosciences, Inc.; Merck Sharp & Dohme Corp.; Pionyr Immunotherapeutics Inc.; Tizona Therapeutics, Inc.; Galapagos NV; Janssen Sciences Ireland Unlimited Company; Japan Tobacco, Inc.; Dragonfly Therapeutics, Inc.; Arcellx, Inc.; Everest Medicines; Merck & Co, Inc.; Tentarix Biotherapeutics Inc.; and Assembly Biosciences, Inc. It also has research collaboration, option, and license agreement with Merus N.V. for the discovery of novel dual tumor-associated antigens (TAA) targeting trispecific antibodies. The company was incorporated in 1987 and is headquartered in Foster City, California.