Daily Stock Analysis: Gilead Sciences, Inc.
Gilead Sciences Inc, with the ticker GILD, is a large-cap general drug manufacturer operating in the healthcare business sector. This is the first of five consumer cyclical candidates for the forty-second slot in the Viital folio. It is my first report on Gilead Sciences Inc for my Viital portfolio or for any of my previous six folios.
Gilead Sciences develops and markets therapies to treat life-threatening infectious diseases, with the core of its portfolio focused on HIV and hepatitis B and C.
The acquisitions of Corus Pharma, Myogen, CV Therapeutics, Arresto Biosciences, and Calistoga have broadened this focus to include pulmonary and cardiovascular diseases and cancer.
Gilead's acquisition of Pharmasset brought rights to hepatitis C drug Sovaldi, which is also part of the combination drug Harvoni, and the Kite, Forty Seven, and Immunomedics acquisitions boost Gilead's exposure to cell therapy and noncell therapy in oncology.
Gilead Sciences, Inc. has collaboration agreements with Arcus Biosciences, Inc.; Pionyr Immunotherapeutics Inc.; Tizona Therapeutics, Inc.; Tango Therapeutics, Inc.; Jounce Therapeutics, Inc.; Galapagos NV; Janssen Sciences Ireland Unlimited Company; Japan Tobacco, Inc.; Gadeta B.V.; Bristol-Myers Squibb Company; Dragonfly Therapeutics, Inc.; and Merck & Co, Inc.
The company was incorporated in 1987 and is headquartered in Foster City, California.
Three key data points gauge any dividend equity or fund such as Gilead Sciences Inc.
(1) Price
(2) Dividends
(3) Returns
Those three basic keys best tell whether any company has made, is making, and will make money.
GILD Price
Gilead’s price per share was $62.62 as of Friday's market close. One year ago its price was $68.23. Thus, GILD’s share price fell $5.61 or about 8.22% in the past year.
If Gilead’s stock trades in the range of $55.00 to $75.00 this next year, its recent $62.60 share price might rise by $6.38 to reach $69.00 by July 18, 2023. My $6.38 upside estimate is based on the median of one year price estimates from twenty-four analysts covering GILD. Theirs however is $0.68 higher.
GILD Dividends
Gilead’s most recently declared quarterly dividend of $0.73 was paid on June 29th, to shareholders on record as of June 14th.
Since June 29, 2015, GILD has paid quarterly dividends generally increasing annually The current forward-looking annual dividend of $2.92 equates to an annual yield of 4.66% as of yesterday's $62.62 share price.
GILD Returns
Adding the $2.92 Gilead Sciences Inc's annual forward-looking dividend to my estimated one-year price upside estimate of $6.38 shows a $9.30 potential gross gain, per share, to be reduced by any costs to trade GILD shares.
At Friday's $62.62 closing price, a little over $1000 would buy 16 shares.
A $10 broker fee (if charged) would be paid half at purchase and half at the sale and might cost us about $0.63 per share.
Subtract that maybe $0.63 brokerage cost from my estimated $9.30 gross gain estimate per share results in a net gain of $8.67 X 16 shares = $138.72. for a 13.87% net gain including a 4.66% forward-looking annual dividend yield.
So is that Gilead Sciences Inc shows a possible 13.87% net gain including a 4.66% forward-looking dividend yield.
Over the next year, our $1K investment in Gilead Sciences Inc shares should generate $46.60 in cash dividends. Of course, a single share of GILD stock bought at yesterday's $62.62 price is over $16 greater than the dividend income from our $1000.00 investment.
So, by my dogcatcher ideal, this is an awful time to pick up GILD shares based on their forward-looking dividends for the year 2022. The forthcoming annual dividend from $1K invested is $16.02 less than yesterday’s single share price. Consider yourself alerted. It's a sign. Hold off on Gilead until its share price drops to $54.00.
All of the estimates above are speculation based on the past history of Gilead Sciences Inc. Only time and money invested in this stock will determine its market value.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
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