Unlock Premium Data: Up to 50% Off InvestingProCLAIM SALE

Barclays cuts Gilead Sciences stock target, reiterates Equalweight rating

EditorRachael Rajan
Published 29/04/2024, 13:50
©  Reuters
GILD
-

On Monday, Barclays (LON:BARC) made adjustments to its outlook on Gilead Sciences (NASDAQ:GILD), a biopharmaceutical company traded on NASDAQ:GILD. The firm’s analyst revised the price target downward to $76.00 from the previous $80.00 while maintaining an Equalweight rating on the stock.

The adjustment follows commentary regarding the company's expectations of zero growth in its HIV segment for 2025. The analyst noted that the pressure is now on the performance of Gilead's cell therapy and the launch of seladelpar to generate overall top-line growth for the company.

The focus for Gilead Sciences remains on the second half of the year, with particular attention on potential catalysts that could expand the company's market multiple. These catalysts include milestones in multiple myeloma (MM) treatments and pre-exposure prophylaxis (PrEP) for HIV prevention. These upcoming developments are anticipated to play a significant role in shaping the company's financial trajectory.

InvestingPro Insights

In light of Barclays’ recent price target adjustment for Gilead Sciences, a glance at real-time data from InvestingPro reveals additional layers to the company’s financial health and stock performance. The company's market capitalization stands at a robust $81.58 billion, indicating significant size and influence within the biopharmaceutical industry. Gilead's commitment to shareholder returns is underscored by its track record of raising dividends for 9 consecutive years, with a current dividend yield of 4.71%, a beacon of consistency for income-focused investors.

InvestingPro Tips suggest that Gilead is trading at a high earnings multiple with a P/E ratio of 168.95, yet when adjusted for the last twelve months as of Q1 2024, the P/E ratio becomes more reasonable at 10.97. This may signal to investors that the stock is undervalued relative to its earnings power. Additionally, the stock is currently in oversold territory according to the RSI, which could imply potential for a rebound. It’s worth noting that analysts have revised their earnings downwards for the upcoming period, which may warrant caution. For those interested in delving deeper, there are 14 additional InvestingPro Tips available, offering a comprehensive analysis of Gilead Sciences’ financial outlook.

For investors seeking further insights and tips on Gilead Sciences, they can explore the full range of analysis with a special offer: use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.