Stock Analysis on Net

Gilead Sciences Inc. (NASDAQ:GILD)

Common Stock Valuation Ratios (Price Multiples)

Microsoft Excel

Current Valuation Ratios

Gilead Sciences Inc., current price multiples

Microsoft Excel
Gilead Sciences Inc. AbbVie Inc. Amgen Inc. Bristol-Myers Squibb Co. Danaher Corp. Eli Lilly & Co. Johnson & Johnson Merck & Co. Inc. Moderna Inc. Pfizer Inc. Regeneron Pharmaceuticals Inc. Thermo Fisher Scientific Inc. Pharmaceuticals, Biotechnology & Life Sciences Health Care
Selected Financial Data
Current share price (P) $89.84
No. shares of common stock outstanding 1,244,992,081
Growth rate (g) -108.04%
 
Earnings per share (EPS) $4.55
Next year expected EPS $-0.37
Operating profit per share $6.11
Sales per share $21.63
Book value per share (BVPS) $18.34
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 19.74 72.85 25.36 14.01 37.64 146.03 10.84 707.45 74.24 23.04 35.44 36.01 30.72
Price to operating profit (P/OP) 14.71 27.77 21.57 15.44 34.32 118.50 17.96 109.65 708.63 22.51 30.98 36.23 26.07
Price to sales (P/S) 4.15 6.52 6.33 2.50 7.47 22.43 4.47 4.30 3.09 2.69 6.94 4.96 5.89 2.35
Price to book value (P/BV) 4.90 34.19 27.33 3.82 3.34 71.04 5.54 6.87 1.49 1.77 3.51 4.55 6.78 5.23

Based on: 10-K (reporting date: 2023-12-31).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Gilead Sciences Inc., historical price multiples

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Price to earnings (P/E) 16.17 22.68 12.36 641.48 16.45
Price to operating profit (P/OP) 12.05 14.21 7.76 19.38 20.66
Price to sales (P/S) 3.40 3.86 2.85 3.24 4.00
Price to book value (P/BV) 4.01 4.90 3.65 4.33 3.93

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Gilead Sciences Inc. P/E ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Gilead Sciences Inc. P/OP ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Gilead Sciences Inc. P/S ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Gilead Sciences Inc. P/BV ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level.

Price to Earnings (P/E)

Gilead Sciences Inc., historical P/E calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 1,245,774,616 1,247,105,154 1,253,886,724 1,256,593,156 1,263,636,656
Selected Financial Data (US$)
Net income attributable to Gilead (in millions) 5,665 4,592 6,225 123 5,386
Earnings per share (EPS)2 4.55 3.68 4.96 0.10 4.26
Share price1, 3 73.55 83.50 61.35 62.79 70.10
Valuation Ratio
P/E ratio4 16.17 22.68 12.36 641.48 16.45
Benchmarks
P/E Ratio, Competitors5
AbbVie Inc. 63.84 22.62 22.07 40.17 17.82
Amgen Inc. 23.14 19.56 21.05 18.82 17.07
Bristol-Myers Squibb Co. 12.27 23.97 20.92 41.99
Danaher Corp. 39.09 25.65 29.94 44.49 38.34
Eli Lilly & Co. 135.24 50.08 40.66 31.95 16.19
Johnson & Johnson 10.73 22.97 20.93 28.92 25.99
Merck & Co. Inc. 893.99 19.21 14.78 26.72 20.60
Moderna Inc. 6.43 5.00
Pfizer Inc. 73.42 7.58 11.76 19.62 11.63
Regeneron Pharmaceuticals Inc. 25.99 19.68 8.37 15.09 19.86
Thermo Fisher Scientific Inc. 35.65 30.55 27.35 27.89 33.36
P/E Ratio, Sector
Pharmaceuticals, Biotechnology & Life Sciences 35.36 19.24 17.76 37.29 20.82
P/E Ratio, Industry
Health Care 30.09 20.36 19.87 29.50 21.10

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
EPS = Net income attributable to Gilead ÷ No. shares of common stock outstanding
= 5,665,000,000 ÷ 1,245,774,616 = 4.55

3 Closing price as at the filing date of Gilead Sciences Inc. Annual Report.

4 2023 Calculation
P/E ratio = Share price ÷ EPS
= 73.55 ÷ 4.55 = 16.17

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Gilead Sciences Inc. P/E ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level.

Price to Operating Profit (P/OP)

Gilead Sciences Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 1,245,774,616 1,247,105,154 1,253,886,724 1,256,593,156 1,263,636,656
Selected Financial Data (US$)
Operating income (in millions) 7,605 7,330 9,918 4,071 4,287
Operating profit per share2 6.10 5.88 7.91 3.24 3.39
Share price1, 3 73.55 83.50 61.35 62.79 70.10
Valuation Ratio
P/OP ratio4 12.05 14.21 7.76 19.38 20.66
Benchmarks
P/OP Ratio, Competitors5
AbbVie Inc. 24.34 14.78 14.21 16.32 10.82
Amgen Inc. 19.69 13.40 16.24 14.96 13.84
Bristol-Myers Squibb Co. 13.53 18.29 19.84 24.42
Danaher Corp. 35.64 20.97 25.14 36.91 34.47
Eli Lilly & Co. 109.75 43.88 35.70 32.66 27.08
Johnson & Johnson 17.78 17.62 18.68 21.84 19.83
Merck & Co. Inc. 138.56 15.55 15.39 23.89 17.47
Moderna Inc. 5.71 4.59
Pfizer Inc. 700.76 6.80 13.30 23.12 14.36
Regeneron Pharmaceuticals Inc. 25.39 18.01 7.55 14.82 19.01
Thermo Fisher Scientific Inc. 31.16 25.30 21.07 22.81 26.84
P/OP Ratio, Sector
Pharmaceuticals, Biotechnology & Life Sciences 35.58 15.37 15.55 27.63 18.65
P/OP Ratio, Industry
Health Care 25.54 15.88 16.54 21.85 17.29

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 7,605,000,000 ÷ 1,245,774,616 = 6.10

3 Closing price as at the filing date of Gilead Sciences Inc. Annual Report.

4 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 73.55 ÷ 6.10 = 12.05

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Gilead Sciences Inc. P/OP ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023.

Price to Sales (P/S)

Gilead Sciences Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 1,245,774,616 1,247,105,154 1,253,886,724 1,256,593,156 1,263,636,656
Selected Financial Data (US$)
Product sales (in millions) 26,934 26,982 27,008 24,355 22,119
Sales per share2 21.62 21.64 21.54 19.38 17.50
Share price1, 3 73.55 83.50 61.35 62.79 70.10
Valuation Ratio
P/S ratio4 3.40 3.86 2.85 3.24 4.00
Benchmarks
P/S Ratio, Competitors5
AbbVie Inc. 5.72 4.61 4.53 4.05 4.22
Amgen Inc. 5.78 5.17 5.10 5.64 6.03
Bristol-Myers Squibb Co. 2.19 3.29 3.16 3.16 5.52
Danaher Corp. 7.76 5.79 6.37 7.01 6.29
Eli Lilly & Co. 20.77 10.96 8.01 8.06 6.03
Johnson & Johnson 4.43 4.34 4.66 5.15 4.79
Merck & Co. Inc. 5.43 4.71 3.96 3.93 4.33
Moderna Inc. 5.52 2.92 3.45 309.64
Pfizer Inc. 2.66 2.37 3.18 4.50 3.66
Regeneron Pharmaceuticals Inc. 7.84 7.01 4.20 6.24 5.34
Thermo Fisher Scientific Inc. 4.99 4.73 5.39 5.52 4.83
P/S Ratio, Sector
Pharmaceuticals, Biotechnology & Life Sciences 5.78 4.44 4.42 5.00 4.79
P/S Ratio, Industry
Health Care 2.30 2.15 2.28 2.25 2.13

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Sales per share = Product sales ÷ No. shares of common stock outstanding
= 26,934,000,000 ÷ 1,245,774,616 = 21.62

3 Closing price as at the filing date of Gilead Sciences Inc. Annual Report.

4 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 73.55 ÷ 21.62 = 3.40

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Gilead Sciences Inc. P/S ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023.

Price to Book Value (P/BV)

Gilead Sciences Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
No. shares of common stock outstanding1 1,245,774,616 1,247,105,154 1,253,886,724 1,256,593,156 1,263,636,656
Selected Financial Data (US$)
Total Gilead stockholders’ equity (in millions) 22,833 21,240 21,069 18,202 22,525
Book value per share (BVPS)2 18.33 17.03 16.80 14.49 17.83
Share price1, 3 73.55 83.50 61.35 62.79 70.10
Valuation Ratio
P/BV ratio4 4.01 4.90 3.65 4.33 3.93
Benchmarks
P/BV Ratio, Competitors5
AbbVie Inc. 29.97 15.52 16.53 14.18
Amgen Inc. 24.94 35.01 18.51 14.53 13.84
Bristol-Myers Squibb Co. 3.35 4.88 4.07 3.55 2.80
Danaher Corp. 3.47 3.64 4.16 3.93 3.72
Eli Lilly & Co. 65.80 29.36 25.28 35.07 51.67
Johnson & Johnson 5.48 5.37 5.90 6.72 6.61
Merck & Co. Inc. 8.68 6.07 5.05 7.46 7.83
Moderna Inc. 2.66 2.81 4.31 24.16 8.21
Pfizer Inc. 1.75 2.48 3.35 2.98 3.00
Regeneron Pharmaceuticals Inc. 3.96 3.77 3.60 4.81 3.79
Thermo Fisher Scientific Inc. 4.57 4.83 5.18 5.15 4.16
P/BV Ratio, Sector
Pharmaceuticals, Biotechnology & Life Sciences 6.66 5.54 5.66 6.13 5.74
P/BV Ratio, Industry
Health Care 5.13 4.66 4.78 4.66 4.41

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
BVPS = Total Gilead stockholders’ equity ÷ No. shares of common stock outstanding
= 22,833,000,000 ÷ 1,245,774,616 = 18.33

3 Closing price as at the filing date of Gilead Sciences Inc. Annual Report.

4 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 73.55 ÷ 18.33 = 4.01

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Gilead Sciences Inc. P/BV ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level.