Citi analysts reaffirm Gilead Sciences stock Buy rating for Trodelvy data

Published 02/06/2025, 10:54
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On Monday, Citi analysts reiterated a Buy rating for Gilead Sciences stock (NASDAQ:GILD) and maintained a price target of $125.00. Currently trading at $110.08, GILD has received a consensus "Buy" recommendation from analysts, with targets ranging from $92 to $140. The decision followed the presentation of new data from the ASCENT-04 trial at the American Society of Clinical Oncology (ASCO), which highlighted significant advancements for Trodelvy as a first-line treatment for triple-negative breast cancer (TNBC). According to InvestingPro, Gilead maintains a "GREAT" financial health score and is a prominent player in the Biotechnology industry.

The ASCENT-04 trial results showed that Trodelvy, when combined with Keytruda, reduced the risk of disease progression or death by 35% in patients with PD-L1-positive metastatic TNBC. This was compared to the combination of Keytruda and chemotherapy, achieving a statistically significant hazard ratio of 0.65 and a p-value of less than 0.001. The treatment also improved median progression-free survival by 3.4 months, reaching 11.2 months versus 7.8 months with the alternative treatment.

Additionally, the combination treatment demonstrated a higher overall response rate of 60% compared to 53% for the Keytruda plus chemotherapy group. The safety profile of the combination was consistent with the individual agents, with no new safety concerns reported.

The promising results from ASCENT-04, along with positive data from the ASCENT-03 trial for PD-L1-negative patients, suggest that Trodelvy may become a leading treatment option for TNBC regardless of PD-L1 status. Gilead is planning to file for full approval based on these results, with an FDA regulatory decision anticipated in 2026.

In other recent news, Gilead Sciences, Inc. reported its first-quarter 2025 earnings, exceeding Wall Street expectations with an earnings per share (EPS) of $1.81, compared to the anticipated $1.77. However, the company’s revenue fell short, reaching $6.67 billion against the forecasted $6.78 billion. Gilead also announced promising results from its Phase 3 trial, ASCENT-03, for the drug Trodelvy, marking a potential new treatment for metastatic triple-negative breast cancer. Additionally, Gilead agreed to a $202 million settlement to resolve a civil fraud lawsuit related to alleged kickbacks to doctors for prescribing its HIV drugs.

The company held its 2025 annual stockholders meeting, where nine directors were re-elected, and Ernst & Young LLP was ratified as the independent auditor. Gilead plans to present new research findings on liver disease treatments at the European Association for the Study of the Liver Congress. S&P upgraded Gilead’s long-term debt rating, recognizing the outlook for its HIV franchise and other products. These developments underscore Gilead’s ongoing efforts in drug innovation and addressing legal challenges.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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