Fubotv earnings beat by $0.10, revenue topped estimates
Investing.com - BofA Securities has raised its price target on Gilead Sciences (NASDAQ:GILD) to $140.00 from $126.00 while maintaining a Buy rating on the stock. The stock, currently trading near its 52-week high of $119.96, has delivered an impressive 50.6% return over the past year. According to InvestingPro data, six analysts have recently revised their earnings estimates upward for the upcoming period.
The price target increase follows Gilead’s second-quarter results, which BofA described as "good overall." The company reported total sales of $7.1 billion, positioning between consensus estimates and BofA’s forecasts, along with earnings per share of $1.97. The company maintains strong financial health with a gross profit margin of 78.5% and has consistently raised its dividend for 10 consecutive years.
Gilead’s HIV portfolio performed well, with Biktarvy and Descovy beating consensus expectations, though slightly below BofA’s above-consensus estimates. The company raised its guidance due to HIV performance, despite lowering sales expectations for its COVID treatment Veklury by $400 million, a 29% reduction.
BofA’s investment thesis centers on Gilead being a "beat and raise story" driven by its HIV business, with Biktarvy playing a "pivotal role" that likely carries high incremental operating margins.
The new price target of $140 represents 15 times price-to-earnings on BofA’s underlying 2026 EPS estimates, compared to the previous target of $126 based on 2025 estimates.
In other recent news, Gilead Sciences reported strong second-quarter results, significantly driven by its HIV segment. The company achieved revenue of $7.08 billion, surpassing consensus expectations of $6.98 billion. Non-GAAP earnings per share were reported at $2.01, which was above the consensus estimate of $1.96. Following these results, several analysts have adjusted their price targets for Gilead Sciences. RBC Capital increased its price target to $98, maintaining a Sector Perform rating, while TD Cowen raised its target to $115 with a Buy rating. Morgan Stanley (NYSE:MS) also increased its price target to $143, citing strength in the HIV business and maintaining an Overweight rating. Truist Securities upgraded the stock to Buy, setting a new price target of $127 due to the robust performance in the HIV segment. UBS raised its price target to $112, keeping a Neutral rating, following the company’s earnings beat.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.