Monday, February 23

Barclays Takes Neutral Stance on Gilead Sciences (GILD) Despite Strategic Refocus


Gilead Sciences, Inc. (NASDAQ:GILD) is included among the 13 Best NASDAQ Dividend Stocks to Buy Now.

Barclays Takes Neutral Stance on Gilead Sciences (GILD) Despite Strategic Refocus
Barclays Takes Neutral Stance on Gilead Sciences (GILD) Despite Strategic Refocus

On February 20, Barclays began coverage of Gilead Sciences, Inc. (NASDAQ:GILD) with an Equal Weight rating. The firm set a $155 price target on the stock. The firm said the company is returning its focus to what it has historically done well, developing treatments for infectious diseases. Still, Barclays believes the stock already reflects much of that strength and described its valuation as “rich” at current levels.

Earlier, on February 10, Gilead provided its financial outlook for 2026, which came in toward the lower end of analyst expectations. The forecast included projections for Yeztugo, its twice-yearly HIV prevention injection, which has been closely watched since its US launch last year. In the fourth quarter, Yeztugo generated $96 million in sales, exceeding Wall Street estimates of $88 million, according to LSEG data. However, the company’s full-year outlook was more conservative. Gilead expects Yeztugo to generate $800 million in sales in 2026, compared with analyst projections of $907 million.

In an interview, CEO Daniel O’Day said the company reduced its 2026 sales growth outlook by about 2 percentage points. He said the change was tied to a pricing agreement with the Trump Administration and uncertainty around how many people will maintain insurance coverage under Affordable Care Act plans after certain subsidies expired.

O’Day also pointed to steady growth in the company’s HIV business. HIV sales rose 6% in 2025, and he expects another 6% increase in 2026. Gilead expects adjusted earnings per share between $8.45 and $8.85 in 2026. Analysts, on average, are projecting $8.75 per share, which is slightly above the midpoint of the company’s guidance.

Gilead Sciences, Inc. (NASDAQ:GILD) develops medicines to treat and prevent serious diseases. Its work spans HIV, viral hepatitis, cancer, COVID-19, and inflammatory conditions, making infectious disease treatment a core part of its business.

While we acknowledge the potential of GILD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.



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