Zacks Research Expects Lower Earnings for Gilead Sciences

Key Points

• Zacks Research sharply cut its Q2 2026 EPS estimate for Gilead Sciences to ($6.99) per share from $1.99, signaling a much weaker near-term earnings outlook. It also projected FY2026 EPS of ($1.05).
• Despite the cautious forecast, Gilead’s latest quarter beat expectations, reporting $2.03 EPS on revenue of $6.96 billion versus analysts’ estimates. The company also reiterated FY2026 guidance of -$1.05 to -$0.65 EPS.
• Analyst sentiment remains generally positive, with 25 Buy ratings and an average consensus rating of Moderate Buy. The stock’s consensus price target is $156.93, above its recent trading level near $134.

Gilead Sciences, Inc. (NASDAQ:GILD - Free Report) - Investment analysts at Zacks Research lowered their Q2 2026 EPS estimates for shares of Gilead Sciences in a research note issued on Thursday, May 21st. Zacks Research analyst Team now expects that the biopharmaceutical company will earn ($6.99) per share for the quarter, down from their previous forecast of $1.99. The consensus estimate for Gilead Sciences' current full-year earnings is ($0.79) per share. Zacks Research also issued estimates for Gilead Sciences' Q3 2026 earnings at $1.84 EPS and FY2026 earnings at ($1.05) EPS.

Several other analysts have also recently weighed in on the stock. Daiwa Securities Group dropped their price target on shares of Gilead Sciences from $161.00 to $150.00 and set an "outperform" rating for the company in a research note on Tuesday, May 19th. Morgan Stanley decreased their price objective on shares of Gilead Sciences from $175.00 to $168.00 in a report on Friday, May 8th. Scotiabank upped their price objective on shares of Gilead Sciences from $140.00 to $177.00 and gave the stock a "sector outperform" rating in a report on Wednesday, February 11th. Mizuho upped their price objective on shares of Gilead Sciences from $140.00 to $170.00 and gave the stock an "outperform" rating in a report on Wednesday, February 18th. Finally, Oppenheimer upped their price objective on shares of Gilead Sciences from $128.00 to $165.00 and gave the stock an "outperform" rating in a report on Wednesday, February 11th. Twenty-five equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $156.93.

Gilead Sciences Stock Performance

Gilead Sciences stock opened at $134.36 on Monday. The firm has a 50 day simple moving average of $136.27 and a 200-day simple moving average of $133.73. Gilead Sciences has a 1-year low of $104.46 and a 1-year high of $157.29. The company has a debt-to-equity ratio of 0.89, a current ratio of 1.97 and a quick ratio of 1.77. The stock has a market cap of $166.82 billion, a price-to-earnings ratio of 18.31 and a beta of 0.31.

Gilead Sciences (NASDAQ:GILD - Get Free Report) last posted its quarterly earnings results on Thursday, May 7th. The biopharmaceutical company reported $2.03 earnings per share for the quarter, beating the consensus estimate of $1.91 by $0.12. Gilead Sciences had a net margin of 30.99% and a return on equity of 48.19%. The business had revenue of $6.96 billion during the quarter, compared to analysts' expectations of $6.91 billion. During the same quarter in the prior year, the company posted $1.81 EPS. The business's revenue for the quarter was up 4.4% on a year-over-year basis. Gilead Sciences has set its FY 2026 guidance at -1.050--0.650 EPS.

Institutional Investors Weigh In On Gilead Sciences

Hedge funds have recently added to or reduced their stakes in the business. Paulson Wealth Management Inc. boosted its position in shares of Gilead Sciences by 1.8% during the 4th quarter. Paulson Wealth Management Inc. now owns 3,887 shares of the biopharmaceutical company's stock valued at $477,000 after purchasing an additional 67 shares in the last quarter. Essex Financial Services Inc. boosted its position in shares of Gilead Sciences by 0.9% during the 4th quarter. Essex Financial Services Inc. now owns 7,724 shares of the biopharmaceutical company's stock valued at $948,000 after purchasing an additional 71 shares in the last quarter. Davidson Trust Co. boosted its position in shares of Gilead Sciences by 4.1% during the 1st quarter. Davidson Trust Co. now owns 1,879 shares of the biopharmaceutical company's stock valued at $262,000 after purchasing an additional 74 shares in the last quarter. Alpha Cubed Investments LLC boosted its position in shares of Gilead Sciences by 1.1% during the 4th quarter. Alpha Cubed Investments LLC now owns 6,619 shares of the biopharmaceutical company's stock valued at $812,000 after purchasing an additional 75 shares in the last quarter. Finally, Personal CFO Solutions LLC boosted its position in shares of Gilead Sciences by 1.7% during the 4th quarter. Personal CFO Solutions LLC now owns 4,572 shares of the biopharmaceutical company's stock valued at $561,000 after purchasing an additional 76 shares in the last quarter. 83.67% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at Gilead Sciences

In other news, CFO Andrew D. Dickinson sold 3,000 shares of the company's stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $132.27, for a total value of $396,810.00. Following the transaction, the chief financial officer directly owned 173,191 shares in the company, valued at approximately $22,907,973.57. This represents a 1.70% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Daniel Patrick O'day sold 10,000 shares of the stock in a transaction that occurred on Tuesday, April 28th. The stock was sold at an average price of $129.16, for a total transaction of $1,291,600.00. Following the sale, the chief executive officer owned 632,567 shares in the company, valued at approximately $81,702,353.72. This trade represents a 1.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 63,000 shares of company stock worth $8,523,570. 0.30% of the stock is currently owned by insiders.

Gilead Sciences Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 29th. Stockholders of record on Monday, June 15th will be issued a $0.82 dividend. This represents a $3.28 annualized dividend and a dividend yield of 2.4%. The ex-dividend date is Monday, June 15th. Gilead Sciences's dividend payout ratio is currently 44.69%.

More Gilead Sciences News

Here are the key news stories impacting Gilead Sciences this week:

• Positive Sentiment: The U.S. FDA granted accelerated approval to Hepcludex (bulevirtide-gmod) for chronic hepatitis delta virus (HDV), making it the first and only approved treatment in the U.S. for this rare and serious liver disease. That opens a new commercial opportunity in a high-unmet-need market. Article Title
• Positive Sentiment: Gilead also received a CHMP positive opinion in Europe for Trodelvy in first-line metastatic triple-negative breast cancer, supporting broader international adoption of one of its key oncology products. Article Title
• Positive Sentiment: Gilead completed its Tubulis acquisition, adding next-generation antibody-drug conjugate assets and strengthening its oncology pipeline. Article Title
• Positive Sentiment: Analysts at Zacks Research raised near-term EPS estimates for some periods and maintained strong longer-term profit expectations, which can support investor confidence in Gilead’s earnings outlook. Article Title
• Neutral Sentiment: Gilead announced a renewed collaboration with the World Health Organization to help eliminate visceral leishmaniasis, a public-health initiative that is strategically positive but likely not an immediate stock driver. Article Title
• Negative Sentiment: Some analyst updates trimmed certain 2026–2028 earnings estimates, which may temper enthusiasm around the stock’s longer-term growth rate, even as recent product news remains favorable. Article Title

About Gilead Sciences

Gilead Sciences, Inc, founded in 1987 and headquartered in Foster City, California, is a biopharmaceutical company focused on the discovery, development and commercialization of medicines in areas of high unmet medical need. The company initially built its reputation in antiviral therapies and has since expanded into oncology, cell therapy and inflammatory diseases. Gilead operates a global research and commercial organization, conducting clinical development and selling medicines in markets around the world.

Gilead's product portfolio is anchored by antiviral therapies for HIV and viral hepatitis.

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