Share price movements
On February 15, Gilead Sciences (GILD) closed at $67.59, 1.84% higher than its previous closing price, 12.05% higher than its 52-week low of $60.32, and 18.29% lower than its 52-week high of $82.71. Its market cap was $87.60 billion, and its trailing-12-month and forward PE ratios were 16.23x and 9.70x, respectively.
After its fourth-quarter earnings release on February 4, Gilead Sciences saw its stock fall 3.51% from $70.05 on February 1 to $67.59 on February 15. The company surpassed analysts’ consensus revenue estimate by $280 million but missed the consensus EPS estimate by $0.26 in the fourth quarter.
On February 15, AbbVie (ABBV) closed at $80.85, 0.41% higher than its previous closing price, 6.70% higher than its 52-week low of $75.77, and 33.73% lower than its 52-week high of $122. Its market cap was $121.12 billion, and its trailing-12-month and forward PE ratios were 21.74x and 8.57x, respectively.
After its fourth-quarter earnings release on January 25, AbbVie stock fell 5.86% from $85.88 on January 24 to $80.85 on February 15. The company fell short of both analysts’ consensus revenue and EPS estimates by $60 million and $0.04, respectively.
Gilead Sciences is trading at a lower trailing PE ratio but a higher forward PE ratio than AbbVie.
Analysts’ recommendations and target price
The 12-month consensus recommendations for Gilead Sciences and AbbVie are a “buy” and a “hold,” respectively.
Of the 28 analysts covering Gilead Sciences, six have given it “strong buys,” nine have given it “buys,” and 13 have given it “holds.” Analysts’ consensus 12-month target price is $80.67, 19.35% higher than its closing price on February 15. The highest target price estimate for the company is $95, and the lowest is $68.
On the other hand, three analysts have given AbbVie stock “strong buys,” three have given it “buys,” nine have given it “holds,” two have given it “sells,” and one has given it a “strong sell.” Analysts’ 12-month target price on the stock is $92.18, 14.01% higher than its last closing price on February 15. The highest and the lowest target price estimates for the company are $115 and $71, respectively.
Next, we’ll look at the revenue growth trajectories of Gilead Sciences and AbbVie in greater detail.