NASDAQ · Healthcare

Gilead Sciences, Inc.

GILD · Drug Manufacturers - General

$132.47

▲ 0.82 (0.62%)

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Mr. Market is currently offering Gilead Sciences, Inc. at $132.47.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 78.8%

Operating Margin 39.7%

Net Income Margin 28.9%

Fin. Health C

Years to Pay Off Debt 2.9 yrs

Working Capital vs Long-Term Debt -$15.6B

Working Capital $6.5B

Valuation F

Margin of Safety 0.0%

Price-to-Book 7.24x

Cash Flow A

Free Cash Flow $9.5B

CapEx % of Net Income 6.6%

Owner Earnings $11.8B

4/7

Graham Score

Enterprising

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $164.4B

Enterprise Value $179.3B

P/E (TTM) 19.54

Dividend Yield 2.40%

Exchange NASDAQ

Key Margins

Gross Profit 78.8%

Operating Margin 39.7%

Net Margin 28.9%

Company Info

Sector Healthcare

Industry Drug Manufacturers - General

Employees 17000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering Gilead Sciences, Inc. at $132.47.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $132.47, the stock trades at a 151% premium to its Graham Number of $52.82. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

About Gilead Sciences, Inc.

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, Descovy, Genvoya, Odefsey, Sunlenca, Symtuza, and YeztugoFor the treatment of HIV-1 infection in patients. It also provides Epclusa, Livdelzi, and Vemlidy to treat chronic hepatitis C virus, primary biliary cholangitis, and chronic hepatitis B virus; Tecartus, a T-cell therapy for the treatment of adult patients; Trodelvy, an injection for intravenous use; and Yescarta, a suspension for intravenous infusion, is a CAR T-cell therapy for the treatment of adult patients. Further, it provides AmBisome, for the treatment of serious invasive fungal infections; and Veklury for the treatment of COVID-19. Additionally, the company engages in the development of various immunotherapies for patients with cancer and other incurable diseases. The company has collaboration agreements with Shenzhen Pregene Biopharma Co., Ltd.; Abingworth; Arcus Biosciences, Inc.; Merck Sharp & Dohme Corp.; Janssen Sciences Ireland Unlimited Company; Japan Tobacco, 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 has a collaboration with Terray Therapeutics, Inc. to discover and develop small molecule therapies; and LEO Pharma to develop, manufacture, and commercialize the small molecule oral STAT6 program. The company was incorporated in 1987 and is headquartered in Foster City, California.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022
Gross Profit %	78.8% ▲	78.3%	76.0%	79.3%
Operating Margin %	39.7% ▲	36.9%	32.6%	40.2%
Net Income %	28.9% ▲	1.7%	20.9%	16.8%
Diluted EPS	6.78 ▲	0.38	4.50	3.64

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$59.0B	$59.0B	$62.1B	$63.2B	N/A
Total Debt	$24.9B ↓	$26.7B	$25.0B	$25.2B	N/A
Working Capital	$6.5B ▼	$7.2B	$4.8B	$3.2B	N/A
Years to Pay Debt	2.93	55.65	4.41	5.49	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$9.5B ▼	$10.3B	$7.4B	$8.3B	N/A
Owner Earnings	$11.8B	$3.8B	$8.9B	$7.4B	N/A
CapEx % of Net Income	6.6%	109.0%	10.3%	15.9%	N/A

Income Statement

	2025	2024	2023	2022
Tax Effect Of Unusual Items	-161,341	-2,815,780	-254,800	-923,228
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	14,809,000	13,642,000	11,896,000	13,153,000
Total Unusual Items	-1,229,000	-9,208,000	-1,400,000	-4,301,000
Total Unusual Items Excluding Goodwill	-1,229,000	-9,208,000	-1,400,000	-4,301,000
Net Income From Continuing Operation Net Minority Interest	8,510,000	480,000	5,665,000	4,592,000
Reconciled Depreciation	2,760,000	2,767,000	2,693,000	2,103,000
Reconciled Cost Of Revenue	6,234,000	6,251,000	6,498,000	5,657,000
EBITDA	13,580,000	4,434,000	10,496,000	8,852,000
EBIT	10,820,000	1,667,000	7,803,000	6,749,000
Net Interest Income	-675,000	-696,000	-568,000	-829,000
Interest Expense	1,024,000	977,000	944,000	935,000
Interest Income	349,000	281,000	376,000	106,000
Normalized Income	9,577,659	6,872,220	6,810,200	7,969,772
Net Income From Continuing And Discontinued Operation	8,510,000	480,000	5,665,000	4,592,000
Total Expenses	17,741,000	18,158,000	18,278,000	16,307,000
Total Operating Income As Reported	10,022,000	1,662,000	7,605,000	7,330,000
Diluted Average Shares	1,255,000	1,255,000	1,258,000	1,262,000
Basic Average Shares	1,244,000	1,247,000	1,248,000	1,255,000
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	8,510,000	480,000	5,665,000	4,592,000
Net Income Common Stockholders	8,510,000	480,000	5,665,000	4,592,000
Net Income	8,510,000	480,000	5,665,000	4,592,000
Minority Interests	0	0	52,000	26,000
Net Income Including Noncontrolling Interests	8,510,000	480,000	5,613,000	4,566,000
Net Income Continuous Operations	8,510,000	479,000	5,612,000	4,566,000
Tax Provision	1,286,000	211,000	1,247,000	1,248,000
Pretax Income	9,796,000	690,000	6,859,000	5,814,000
Other Income Expense	-1,230,000	-9,210,000	-1,411,000	-4,330,000
Other Non Operating Income Expenses	-1,000	-2,000	-11,000	-29,000
Special Income Charges	-1,680,000	-8,934,000	-1,233,000	-3,644,000
Other Special Charges	1,024,000	4,663,000	1,155,000	944,000
Write Off	590,000	4,180,000	50,000	2,700,000
Restructuring And Mergern Acquisition	66,000	91,000	28,000
Gain On Sale Of Security	451,000	-274,000	-167,000	-657,000
Net Non Operating Interest Income Expense	-675,000	-696,000	-568,000	-829,000
Interest Expense Non Operating	1,024,000	977,000	944,000	935,000
Interest Income Non Operating	349,000	281,000	376,000	106,000
Operating Income	11,701,000	10,596,000	8,838,000	10,974,000
Operating Expense	11,507,000	11,907,000	11,780,000	10,650,000
Research And Development	5,799,000	5,907,000	5,718,000	4,977,000
Selling General And Administration	5,708,000	6,000,000	6,062,000	5,673,000
Selling And Marketing Expense	3,522,000	3,453,000	3,272,000
General And Administrative Expense	2,186,000	2,547,000	2,790,000
Other Gand A	2,186,000	2,547,000	2,790,000
Gross Profit	23,208,000	22,503,000	20,618,000	21,624,000
Cost Of Revenue	6,234,000	6,251,000	6,498,000	5,657,000
Total Revenue	29,442,000	28,754,000	27,116,000	27,281,000
Operating Revenue	29,442,000	28,754,000	27,116,000	27,281,000

Balance Sheet

	2025	2024	2023	2022	2021
Ordinary Shares Number	1,240,680	1,246,266	1,246,042	1,247,000
Share Issued	1,240,680	1,246,266	1,246,042	1,247,000
Net Debt	17,372,000	16,720,000	18,902,000	19,818,000
Total Debt	24,936,000	26,711,000	24,987,000	25,230,000
Tangible Book Value	-2,590,000	-8,932,000	-11,935,000	-15,967,000
Invested Capital	47,638,000	46,041,000	47,820,000	46,470,000
Working Capital	6,529,000	7,169,000	4,805,000	3,205,000
Net Tangible Assets	-2,590,000	-8,932,000	-11,935,000	-15,967,000
Common Stock Equity	22,702,000	19,330,000	22,833,000	21,240,000
Total Capitalization	44,831,000	44,226,000	46,022,000	44,197,000
Total Equity Gross Minority Interest	22,618,000	19,246,000	22,749,000	21,209,000
Minority Interest	-84,000	-84,000	-84,000	-31,000
Stockholders Equity	22,702,000	19,330,000	22,833,000	21,240,000
Gains Losses Not Affecting Retained Earnings	39,000	132,000	28,000	2,000
Other Equity Adjustments	39,000	132,000	28,000	2,000
Retained Earnings	13,730,000	11,497,000	16,304,000	15,687,000
Additional Paid In Capital	8,932,000	7,700,000	6,500,000	5,550,000
Capital Stock	1,000	1,000	1,000	1,000
Common Stock	1,000	1,000	1,000	1,000
Total Liabilities Net Minority Interest	36,405,000	39,749,000	39,376,000	41,962,000
Total Non Current Liabilities Net Minority Interest	24,592,000	27,745,000	28,096,000	30,724,000
Other Non Current Liabilities	1,165,000	1,295,000	1,280,000	1,178,000
Tradeand Other Payables Non Current	896,000	830,000	2,039,000	3,916,000
Non Current Deferred Liabilities	402,000	724,000	1,588,000	2,673,000
Non Current Deferred Taxes Liabilities	402,000	724,000	1,588,000	2,673,000
Long Term Debt And Capital Lease Obligation	22,129,000	24,896,000	23,189,000	22,957,000
Long Term Debt	22,129,000	24,896,000	23,189,000	22,957,000
Current Liabilities	11,813,000	12,004,000	11,280,000	11,238,000
Other Current Liabilities	2,243,000	2,269,000	2,334,000	2,182,000
Current Debt And Capital Lease Obligation	2,807,000	1,815,000	1,798,000	2,273,000
Current Debt	2,807,000	1,815,000	1,798,000	2,273,000
Pensionand Other Post Retirement Benefit Plans Current	1,298,000	1,228,000	1,201,000	1,018,000
Current Provisions	321,000	321,000	387,000	422,000
Payables And Accrued Expenses	5,144,000	6,371,000	5,560,000	5,343,000
Current Accrued Expenses	4,337,000	3,892,000	3,802,000	3,479,000
Payables	807,000	2,479,000	1,758,000	1,864,000
Total Tax Payable	92,000	1,646,000	1,208,000	959,000
Income Tax Payable	92,000	1,646,000	1,208,000	959,000
Accounts Payable	715,000	833,000	550,000	905,000
Total Assets	59,023,000	58,995,000	62,125,000	63,171,000
Total Non Current Assets	40,681,000	39,823,000	46,040,000	48,727,000
Other Non Current Assets	4,845,000	3,769,000	4,792,000	4,800,000
Non Current Deferred Assets	1,964,000	2,378,000
Non Current Deferred Taxes Assets	1,964,000	2,378,000
Investments And Advances	2,974,000	0	1,163,000	1,245,000
Investmentin Financial Assets	2,974,000	0	1,163,000	1,245,000
Available For Sale Securities	2,974,000		1,163,000	1,245,000	1,309,000
Goodwill And Other Intangible Assets	25,292,000	28,262,000	34,768,000	37,207,000
Other Intangible Assets	16,978,000	19,948,000	26,454,000	28,893,000
Goodwill	8,314,000	8,314,000	8,314,000	8,314,000
Net PPE	5,606,000	5,414,000	5,317,000	5,475,000
Accumulated Depreciation	-2,696,000	-2,470,000	-2,449,000	-2,186,000
Gross PPE	8,302,000	7,884,000	7,766,000	7,661,000
Construction In Progress	745,000	501,000	661,000	719,000
Other Properties	1,707,000	1,589,000	1,147,000	1,110,000
Machinery Furniture Equipment	666,000	692,000	1,069,000	880,000
Buildings And Improvements	4,622,000	4,539,000	4,328,000	4,390,000
Land And Improvements	561,000	561,000	561,000	562,000
Current Assets	18,342,000	19,173,000	16,085,000	14,443,000
Other Current Assets	1,143,000	995,000	2,374,000	1,774,000
Prepaid Assets	899,000	480,000		1,774,000	2,141,000
Inventory	1,774,000	1,710,000	1,787,000	1,507,000
Receivables	4,913,000	4,420,000	4,660,000	4,777,000
Accounts Receivable	4,913,000	4,420,000	4,660,000	4,777,000
Allowance For Doubtful Accounts Receivable	-981,000	-900,000	-836,000	-687,000
Gross Accounts Receivable	5,895,000	5,319,000	5,495,000	5,464,000
Cash Cash Equivalents And Short Term Investments	9,613,000	11,568,000	7,264,000	6,385,000
Other Short Term Investments	2,049,000	1,577,000	1,179,000	973,000
Cash And Cash Equivalents	7,564,000	9,991,000	6,085,000	5,412,000

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	9,456,000	10,305,000	7,421,000	8,344,000
Repurchase Of Capital Stock	-1,922,000	-1,150,000	-1,000,000	-1,396,000
Repayment Of Debt	-1,788,000	-1,970,000	-2,250,000	-1,500,000
Issuance Of Debt	0	3,464,000	1,980,000	0
Issuance Of Capital Stock	408,000	422,000	232,000	309,000
Capital Expenditure	-563,000	-523,000	-585,000	-728,000
Interest Paid Supplemental Data	1,036,000	951,000	891,000	907,000
Income Tax Paid Supplemental Data	3,215,000	2,779,000	3,990,000	3,136,000
End Cash Position	7,564,000	9,991,000	6,085,000	5,412,000
Beginning Cash Position	9,991,000	6,085,000	5,412,000	5,338,000
Effect Of Exchange Rate Changes	92,000	-40,000	57,000	-63,000
Changes In Cash	-2,519,000	3,946,000	616,000	137,000
Financing Cash Flow	-7,745,000	-3,433,000	-5,125,000	-6,469,000
Cash Flow From Continuing Financing Activities	-7,745,000	-3,433,000	-5,126,000	-6,469,000
Net Other Financing Charges	-440,000	-281,000	-278,000	-173,000
Cash Dividends Paid	-4,003,000	-3,918,000	-3,809,000	-3,709,000
Common Stock Dividend Paid	-4,003,000	-3,918,000	-3,809,000	-3,709,000
Net Common Stock Issuance	-1,514,000	-728,000	-768,000	-1,087,000
Common Stock Payments	-1,922,000	-1,150,000	-1,000,000	-1,396,000
Common Stock Issuance	408,000	422,000	232,000	309,000
Net Issuance Payments Of Debt	-1,788,000	1,494,000	-270,000	-1,500,000
Net Long Term Debt Issuance	-1,788,000	1,494,000	-270,000	-1,500,000
Long Term Debt Payments	-1,788,000	-1,970,000	-2,250,000	-1,500,000
Long Term Debt Issuance	0	3,464,000	1,980,000	0
Investing Cash Flow	-4,793,000	-3,449,000	-2,265,000	-2,466,000
Cash Flow From Continuing Investing Activities	-4,794,000	-3,449,000	-2,266,000	-2,466,000
Net Other Investing Changes	3,000	58,000		-1,000	19,000
Net Investment Purchase And Sale	-3,163,000	1,856,000	-528,000	60,000
Sale Of Investment	909,000	2,592,000	1,844,000	2,002,000
Purchase Of Investment	-4,072,000	-736,000	-2,372,000	-1,942,000
Net Business Purchase And Sale	-1,070,000	-4,840,000	-1,152,000	-1,797,000
Purchase Of Business	-1,070,000	-4,840,000	-1,152,000	-1,797,000
Net PPE Purchase And Sale	-563,000	-523,000	-585,000
Purchase Of PPE	-563,000	-523,000	-585,000
Capital Expenditure Reported		-523,000	-585,000	-728,000	-579,000
Operating Cash Flow	10,019,000	10,828,000	8,006,000	9,072,000
Cash Flow From Continuing Operating Activities	10,019,000	10,828,000	8,005,000	9,072,000
Change In Working Capital	-3,948,000	-880,000	-2,303,000	-1,763,000
Change In Other Working Capital	-2,108,000	-732,000	-1,768,000	-364,000
Change In Payables And Accrued Expense	-126,000	398,000	111,000	-549,000
Change In Accrued Expense	6,000	108,000	458,000	-775,000
Change In Payable	-132,000	290,000	-347,000	226,000
Change In Account Payable	-132,000	290,000	-347,000	226,000
Change In Tax Payable				-568,000	-364,000
Change In Income Tax Payable				-568,000	-364,000
Change In Prepaid Assets	-311,000	-259,000	39,000	-134,000
Change In Inventory	-1,036,000	-426,000	-842,000	-310,000
Change In Receivables	-367,000	139,000	157,000	-406,000
Changes In Account Receivables	-367,000	139,000	157,000	-406,000
Other Non Cash Items	1,504,000	5,016,000	1,982,000	1,724,000
Stock Based Compensation	894,000	835,000	766,000	637,000
Asset Impairment Charge	590,000	4,180,000	50,000	2,700,000
Deferred Tax	160,000	-1,844,000	-962,000	-1,552,000
Deferred Income Tax	160,000	-1,844,000	-962,000	-1,552,000
Depreciation Amortization Depletion	2,760,000	2,767,000	2,693,000	2,103,000
Depreciation And Amortization	2,760,000	2,767,000	2,693,000	2,103,000
Amortization Cash Flow	2,390,000	2,386,000	2,339,000	1,780,000
Amortization Of Intangibles	2,390,000	2,386,000	2,339,000	1,780,000
Depreciation	370,000	381,000	354,000	323,000
Operating Gains Losses	-451,000	274,000	167,000	657,000
Gain Loss On Investment Securities	-451,000	274,000	167,000	657,000
Net Income From Continuing Operations	8,510,000	480,000	5,613,000	4,566,000

These metrics estimate what Gilead Sciences, Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$52.82

Margin of Safety

Market Cap ÷ Company Value

1.98

P/B Ratio

7.24

Warren's Owner Earnings

$11.8B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

4/7 — Enterprising Investor

✅ Adequate Size

$29.4B

vs > $1.5B revenue

❌ Strong Financial Condition

1.55x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

2.40%

vs Uninterrupted dividends

✅ Earnings Growth

+86.3% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

19.5x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

7.24x P/B (P/E×P/B: 141.5)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-14.55

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$104.75

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	6.6%	109.0%	10.3%	15.9%	N/A
Repurchase of Capital Stock	-$1.9B	-$1.1B	-$1.0B	-$1.4B	N/A
Free Cash Flow	$9.5B ▼	$10.3B ▲	$7.4B ▼	$8.3B •	N/A •
Warren's Owner Earnings	$11.8B	$3.8B	$8.9B	$7.4B	N/A

Peers & Industry

No auto-detected peers for Drug Manufacturers - General. You can manually compare GILD against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.12%

Low — management has little skin in the game

Return on Equity (ROE)

37.5%

Excellent — management generates strong returns on equity

Return on Assets (ROA)

14.4%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$1.9B

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-6.6% YoY

Debt is declining — management is deleveraging

Leadership Team

Daniel O'Day

Chairman & CEO

Age 60

Pay: $8,698,736

0.102% of net income

Andrew Dickinson

Chief Financial Officer

Age 55

Pay: $3,143,899

0.037% of net income

Jacquie Ross

Senior Vice President of Treasury & Investor Relations

Jyoti Mehra

Executive Vice President of Human Resources

Age 48

Linda Slanec Higgins Ph.

Senior Vice President of Research, Innovation & Portfolio

Age 63

Top Institutional Holders

Institution	% Owned	Shares
Blackrock Inc.	9.93%	123,195,578
Vanguard Group Inc	9.76%	121,097,336
FMR, LLC	5.28%	65,579,490
State Street Corporation	4.85%	60,240,518
Capital World Investors	3.45%	42,872,129
Geode Capital Management, LLC	2.39%	29,696,002
Price (T.Rowe) Associates Inc	2.23%	27,698,660
Dodge & Cox Inc.	2.12%	26,283,511

Risk Analysis

Beta (Market Risk)

0.33

Low volatility — more stable than the market

Short Interest

1.8% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

1.13x

Moderate leverage

Current Ratio