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For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
Gilead Sciences (GILD)
Headquartered in Foster City, CA, Gilead Sciences is a pioneer in developing drugs for the treatment of human immunodeficiency virus (HIV). The company’s broad portfolio includes drugs for liver diseases, hematology/oncology diseases and inflammation/respiratory diseases. Gilead has a strong HIV franchise with flagship treatment Biktarvy driving the growth. The company’s efforts to develop innovative HIV treatments for prevention are impressive as well. Total sales from the HIV franchise were $19.6 billion in 2024, up 8% year over year, driven by strong growth in lead HIV treatment Biktarvy.
GILD boasts a Value Style Score of B and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Shares of Gilead Sciences are trading at a forward earnings multiple of 14.1X, as well as a PEG Ratio of 0.7, a Price/Cash Flow ratio of 16.2X, and a Price/Sales ratio of 4.8X.
A company's earnings performance is important for value investors as well. For fiscal 2025, eight analysts revised their earnings estimate higher in the last 60 days for GILD, while the Zacks Consensus Estimate has increased $0.32 to $7.87 per share. GILD also holds an average earnings surprise of 19.5%.
GILD should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Gilead Sciences, Inc. (GILD) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).