What is Gilead Sciences, Inc. (GILD) DCF Fair Value and Intrinsic Value in 2026?

Gilead Sciences, Inc. (GILD) intrinsic value is calculated using conservative multi-stage Discounted Cash Flow (DCF) models, 5-year free cash flow trajectories, Graham Numbers, and owner earnings multiples. LocalAlpha tracks real-time margin of safety against live market prices.

What is Gilead Sciences, Inc.'s historical Return on Invested Capital (ROIC) and Moat Rating?

Gilead Sciences, Inc. operates in the Healthcare sector (Drug Manufacturers - General) with an economic moat rating of WIDE. LocalAlpha tracks 5-year audited quarterly ROIC, operating margin stability, and balance sheet solvency ratios.

What is Gilead Sciences, Inc.'s financial health rating and Piotroski F-Score?

Gilead Sciences, Inc.'s balance sheet quality is evaluated using the 9-point Piotroski F-Score, Altman Z-Score solvency model, debt-to-equity ratio, and quick/current liquidity coverage to guard against financial distress.

How does LocalAlpha monitor Gilead Sciences, Inc. (GILD) for quarterly SEC filing thesis breaks?

LocalAlpha audits Gilead Sciences, Inc.'s 10-K, 10-Q, and 8-K regulatory filings on SEC EDGAR within 15 minutes of release. If reported metrics breach an investor's custom ROIC floor, operating margin boundary, or qualitative risk criteria, an autonomous breach audit is dispatched immediately.

StocksGILD

GILD

Gilead Sciences, Inc.Healthcare / Drug Manufacturers - GeneralINTACT

Gilead Sciences, Inc., a biopharmaceutical company, discovers, develops, and commercializes medicines in the areas of unmet medical need in the United States, Europe, and internationally. The company provides Biktarvy, Descovy, Genvoya, Odefsey, Sunlenca, Symtuza, and YeztugoFor the treatment of HIV-1 infection in patients. It also provides Epclusa, Livdelzi, and Vemlidy to treat chronic hepatitis C virus, primary biliary cholangitis, and chronic hepatitis B virus; Tecartus, a T-cell therapy for the treatment of adult patients; Trodelvy, an injection for intravenous use; and Yescarta, a suspension for intravenous infusion, is a CAR T-cell therapy for the treatment of adult patients. Further, it provides AmBisome, for the treatment of serious invasive fungal infections; and Veklury for the treatment of COVID-19. Additionally, the company engages in the development of various immunotherapies for patients with cancer and other incurable diseases. The company has collaboration agreements with Shenzhen Pregene Biopharma Co., Ltd.; Abingworth; Arcus Biosciences, Inc.; Merck Sharp & Dohme Corp.; Janssen Sciences Ireland Unlimited Company; Japan Tobacco, Inc.; Everest Medicines; Merck & Co, Inc.; Tentarix Biotherapeutics Inc.; and Assembly Biosciences, Inc. It also has research collaboration, option, and license agreement with Merus N.V. for the discovery of novel dual tumor-associated antigens (TAA) targeting trispecific antibodies. The company has a collaboration with Terray Therapeutics, Inc. to discover and develop small molecule therapies; and LEO Pharma to develop, manufacture, and commercialize the small molecule oral STAT6 program. The company was incorporated in 1987 and is headquartered in Foster City, California.

Share Price

$143.72

52W: $108.46 - $157.29

DCF Fair Value

$223.40

+35.7% MoS

Thesis Hub

P/E (TTM)

20x

ROIC

25.3%

Operating Margin

33.7%

FCF Yield

5.5%

Debt / Equity

2.23x

Piotroski Score

7/9

Altman Z-Score

3.22

Market Cap

$178.2B

Price vs. Intrinsic Value Corridor

Margin of Safety Buy Zone (<25% Discount)

Historical market price overlaid against conservative DCF Fair Value & Benjamin Graham Margin of Safety bands.

Period Return (1Y)

—()

Period Range

$— - $—

DCF Fair Value

$223.40

MOS Buy Target (-25%)

$167.55

Valuation Overlays: DCF Fair Value ($223.40) 25% MOS Buy Target ($167.55)

2-Stage Discounted Cash Flow (DCF) Workbench

Conservative intrinsic value model based on owner cash generation over a 10-year investment horizon. Opens with LocalAlpha's baseline assumptions (matching the fair value shown above) — adjust any input to stress-test.

Current Market Price

$143.72

DCF Fair Value

$223.76

+35.8% MoS

Starting Free Cash Flow ($M)$9,769M

$100M$9,769M (Reported)$50,000M

Stage 1 Growth (Years 1-5)16.9%

-5%10% (Target)35%

Stage 2 Growth (Years 6-10)4.5%

0%5%20%

Discount Rate (WACC / Hurdle)9.0%

6%9% (Standard)15% (High Risk)

Terminal Perpetual Growth2.5%

1% (GDP Floor)2.5% (Inflation)4.0%

Net Debt ($M)$21,300M

-$100B CashBalance Sheet+$150B Debt

10-Yr PV of Cash Flows

$121.7B

PV of Terminal Value

$177.0B

Implied Enterprise Value

$298.8B

Implied Equity Value

$277.5B

Year	Yr 1	Yr 2	Yr 3	Yr 4	Yr 5	Yr 6	Yr 7	Yr 8	Yr 9	Yr 10
Projected FCF ($M)	$11,420	$13,350	$15,606	$18,244	$21,327	$22,286	$23,289	$24,337	$25,432	$26,577
Present Value (PV)	$10,477	$11,236	$12,051	$12,924	$13,861	$13,289	$12,740	$12,214	$11,710	$11,226

Benjamin Graham & Buffett Value Models

Classical deep value metrics based on asset backing, normalized earnings power, and owner cash yield.

Graham Number

N/A

Calculated as √(22.5 × EPS × BVPS). The maximum theoretical price a defensive investor should pay based purely on asset book value and current earnings.

Not calculable here: the formula takes a square root of EPS × book value, so it breaks down when trailing earnings (or book value) are negative. A company losing money has no defensive-investor price under Graham's classic test — lean on the DCF and solvency scores instead.

EPS: $-2.65BVPS: $9.53

Revised Graham Formula

N/A

Formula: V = (EPS × (8.5 + 2g) × 4.4) / Y where g is the conservative 7-10 yr growth rate and Y is AAA Bond Yield.

Growth Rate (g%)

Bond Yield (Y%)

Buffett Owner Earnings5.2% Yield

$7.48 / share

True distributable cash flow: Net Income + D&A - Maintenance CapEx. Reflects the cash Buffett would extract without hurting unit volume.

Total: $9.3BYield: 5.2%

Reverse DCF: Market Growth Expectation

MODEST BARRIER

4.4% CAGR (Next 10 Yrs)

At the current price of $143.72, the market is assuming the business will compound Free Cash Flow at 4.4% per year for the next decade with a 9% hurdle rate.

Value Investor Verdict

✓ Low market hurdle: Easy for a wide-moat compounder to beat.

Autonomous Thesis Underwriting

Surveil GILD with Mathematical Margin of Safety Rules

Set non-negotiable floor rules for Gilead Sciences, Inc.. If a newly filed quarterly 10-Q breaks your ROIC floor, operating margin boundary, or balance sheet leverage rules, receive an autonomous breach audit within 15 minutes.

Buffett Quality

ROIC > 15% • Margin > 15% • D/E < 0.5x

Margin Floor Guard

Current Margin 33.7% • Floor > 10%

Solvency Guard

Altman-Z > 2.6 • Current Ratio > 1.5x

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Frequently Asked Questions: Gilead Sciences, Inc. (GILD) Intrinsic Valuation

Audited fundamentals, DCF intrinsic value sensitivity, and thesis break detection parameters for Gilead Sciences, Inc..

Based on institutional multi-stage Discounted Cash Flow (DCF) modeling on audited SEC cash flows, Gilead Sciences, Inc. has an estimated DCF intrinsic fair value of $223.40 per share compared to its current market price of $143.72. This represents an estimated 35.7% margin of safety (trading below fair value). Additionally, its classic Benjamin Graham Number stands at $N/A.