Gilead Sciences gains 2.9% as biotech stock outpaces market

Gilead Sciences Inc. shares rose 2.91% to $134.32 on July 28, outpacing the S&P 500's 0.21% gain for the session.

The HIV and hepatitis C drugmaker's stock has climbed 3.32% over the past month, exceeding the Medical sector's 0.43% decline, according to Zacks data. The Dow Jones Industrial Average gained 1.03% on the same day, while the tech-heavy Nasdaq Composite fell 0.22%.

Gilead is scheduled to report earnings on Aug. 4 after the market close. Analysts project a loss of $7.09 per share, down 452.74% from a year earlier, on revenue of $7.37 billion, up 4.02%, per Zacks consensus estimates. For the full year, the consensus calls for a loss of $0.77 per share on revenue of $30.38 billion, representing changes of negative 109.45% and positive 3.18%, respectively, from the prior year.

Options data compiled by Bloomberg implies a 4.3% move following the earnings release. In three of the past eight earnings announcements, the stock moved more than what options traders anticipated. The largest actual move occurred on Nov. 6, 2024, when shares jumped 11.1% against a 4.8% implied move.

The stock carries a Zacks Rank of #3 (Hold), with the consensus EPS estimate rising 2.87% over the past 30 days. The Medical — Biomedical and Genetics industry ranks in the top 38% of all industries tracked by Zacks.

The recent outperformance signals growing investor confidence ahead of the earnings report. The Aug. 4 release will test whether the momentum can hold, with the options market pricing in a significant move in either direction.

This article is for informational purposes only and does not constitute investment advice.