Market Experts Express Confidence in Gilead Sciences Outlook

A wave of positive sentiment is building among market researchers covering Gilead Sciences, driven by robust financial performance. This shift follows the biotechnology firm's strong quarterly results at the end of 2025, which prompted multiple research houses to revise their assessments and projections for the company. Activity among major investment funds also remains notable.

The foundation for the current optimism lies in impressive fundamental results. For the third quarter of 2025, the company reported earnings per share (EPS) of $2.47, significantly surpassing the consensus estimate of $2.16. Revenue for the period reached $7.77 billion, also exceeding the projected $7.42 billion.

Looking ahead, the next key milestone will be the release of fourth-quarter 2025 figures, scheduled for February 10, 2026. Analysts are forecasting an EPS of $1.88 on revenue of $7.63 billion for that quarter. For the full 2025 fiscal year, management has reaffirmed its EPS guidance, expecting it to fall between $8.05 and $8.25. The quarterly dividend is being maintained at $0.79 per share.

Revised Forecasts and Ratings

In response to these results, several institutions have updated their financial models and recommendations. On January 3, the platform Wall Street Zen upgraded its rating on the stock from "Buy" to "Strong Buy," signaling increased confidence in the company's profitability trajectory.

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Earnings expectations have also been adjusted upward. Analysts at Zacks Research raised their third-quarter 2026 EPS estimate from $2.32 to $2.34. Furthermore, their projection for the entire 2027 fiscal year now stands at an EPS of $9.11, indicating expectations for sustained long-term profit growth. The current average analyst price target for the stock is $131.68. The broader consensus rating remains "Moderate Buy," derived from 2 "Strong Buy," 22 "Buy," and 4 "Hold" recommendations.

Institutional and Insider Activity Presents a Mixed Picture

While analyst views are converging positively, the actions of large investors and corporate executives show more varied trends. A significant move was made by Allspring Global Investments Holdings LLC, which aggressively expanded its stake by 59.8% during the third quarter. This purchase brought the total value of its holdings to approximately $32.42 million.

In contrast, CapWealth Advisors LLC slightly reduced its exposure, trimming its position by 3.7%. Overall, institutional investors continue to hold a dominant 83.67% of the company's outstanding shares. A different dynamic is evident among corporate insiders. Over the past 90 days, executives including CFO Andrew Dickinson and Executive Vice President Johanna Mercier have collectively sold shares worth around $16.86 million.