In the latest trading session, Gilead Sciences (GILD) closed at $65.91, marking a -1.32% move from the previous day. This change was narrower than the S&P 500’s daily loss of 3.51%. At the same time, the Dow lost 2.78%, and the tech-heavy Nasdaq lost 4.96%.
Coming into today, shares of the HIV and hepatitis C drugmaker had lost 3.2% in the past month. In that same time, the Medical sector gained 2.77%, while the S&P 500 gained 9.58%.
Wall Street will be looking for positivity from GILD as it approaches its next earnings report date. The company is expected to report EPS of $1.90, up 8.57% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $6.38 billion, up 13.84% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.95 per share and revenue of $24.19 billion. These totals would mark changes of +4.83% and +7.74%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for GILD. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% lower. GILD currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, GILD is holding a Forward P/E ratio of 9.61. For comparison, its industry has an average Forward P/E of 24.39, which means GILD is trading at a discount to the group.
Investors should also note that GILD has a PEG ratio of 1.76 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. GILD’s industry had an average PEG ratio of 1.76 as of yesterday’s close.
The Medical – Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 184, putting it in the bottom 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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