Gilead Sciences Return On Equity vs. Revenue
| GILD Stock | USD 89.76 1.13 1.27% |
Return On Equity | First Reported 2010-12-31 | Previous Quarter 0.24810581 | Current Value 0.26 | Quarterly Volatility 0.31549157 |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 1.07 | 0.7799 |
|
|
For Gilead Sciences profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Gilead Sciences to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Gilead Sciences utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Gilead Sciences's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Gilead Sciences over time as well as its relative position and ranking within its peers.
Gilead |
Gilead Sciences' Revenue Breakdown by Earning Segment
Check out Risk vs Return Analysis.
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Gilead Sciences. If investors know Gilead will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Gilead Sciences listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.42) | Dividend Share 3.06 | Earnings Share 0.09 | Revenue Per Share 22.703 | Quarterly Revenue Growth 0.07 |
The market value of Gilead Sciences is measured differently than its book value, which is the value of Gilead that is recorded on the company's balance sheet. Investors also form their own opinion of Gilead Sciences' value that differs from its market value or its book value, called intrinsic value, which is Gilead Sciences' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Gilead Sciences' market value can be influenced by many factors that don't directly affect Gilead Sciences' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Gilead Sciences' value and its price as these two are different measures arrived at by different means. Investors typically determine if Gilead Sciences is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Gilead Sciences' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Gilead Sciences Revenue vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Gilead Sciences's current stock value. Our valuation model uses many indicators to compare Gilead Sciences value to that of its competitors to determine the firm's financial worth. Gilead Sciences is rated # 4 in return on equity category among its peers. It is rated as one of the top companies in revenue category among its peers totaling about 4,842,142,857,143 of Revenue per Return On Equity. At present, Gilead Sciences' Return On Equity is projected to slightly decrease based on the last few years of reporting. Comparative valuation analysis is a catch-all technique that is used if you cannot value Gilead Sciences by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Gilead Revenue vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Gilead Sciences |
| = | 0.0056 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Gilead Sciences |
| = | 27.12 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Gilead Revenue vs Competition
Gilead Sciences is rated as one of the top companies in revenue category among its peers. Market size based on revenue of Health Care industry is currently estimated at about 155.32 Billion. Gilead Sciences retains roughly 27.12 Billion in revenue claiming about 17% of equities under Health Care industry.
Gilead Sciences Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Gilead Sciences, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Gilead Sciences will eventually generate negative long term returns. The profitability progress is the general direction of Gilead Sciences' change in net profit over the period of time. It can combine multiple indicators of Gilead Sciences, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 28 M | 37.6 M | |
| Operating Income | 7.6 B | 4.4 B | |
| Income Before Tax | 6.9 B | 4.2 B | |
| Total Other Income Expense Net | -746 M | -708.7 M | |
| Net Income | 5.6 B | 3 B | |
| Income Tax Expense | -1.2 B | -1.2 B | |
| Net Income Applicable To Common Shares | 5.3 B | 4.9 B | |
| Net Income From Continuing Ops | 5.8 B | 6.6 B | |
| Non Operating Income Net Other | -522.9 M | -496.8 M | |
| Interest Income | 204.3 M | 194.1 M | |
| Net Interest Income | -918 M | -963.9 M | |
| Change To Netincome | 4 B | 4.2 B | |
| Net Income Per Share | 4.54 | 4.77 | |
| Income Quality | 1.43 | 1.36 | |
| Net Income Per E B T | 0.83 | 0.94 |
Gilead Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Gilead Sciences. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Gilead Sciences position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Gilead Sciences' important profitability drivers and their relationship over time.
Use Gilead Sciences in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Gilead Sciences position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Gilead Sciences will appreciate offsetting losses from the drop in the long position's value.Gilead Sciences Pair Trading
Gilead Sciences Pair Trading Analysis
The ability to find closely correlated positions to Gilead Sciences could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Gilead Sciences when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Gilead Sciences - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Gilead Sciences to buy it.
The correlation of Gilead Sciences is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Gilead Sciences moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Gilead Sciences moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Gilead Sciences can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Gilead Sciences position
In addition to having Gilead Sciences in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Asset Allocation ETFs Thematic Idea Now
Asset Allocation ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Asset Allocation ETFs theme has 144 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Asset Allocation ETFs Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Risk vs Return Analysis. For information on how to trade Gilead Stock refer to our How to Trade Gilead Stock guide.You can also try the Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
To fully project Gilead Sciences' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Gilead Sciences at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Gilead Sciences' income statement, its balance sheet, and the statement of cash flows.