Investing.com - Morgan Stanley lowered its price target on Gilead Sciences shares (NASDAQ:GILD) to $168 from $175 while maintaining an Overweight rating. The stock currently trades at $134.06, suggesting potential upside to the new target, and according to InvestingPro analysis, the stock appears undervalued at current levels.
The firm made the adjustment following Gilead’s first-quarter results, which showed revenue and earnings per share that exceeded expectations. The company also raised its 2026 revenue guidance by $400 million.
Gilead increased its Yeztugo guidance to $1 billion from $800 million. Morgan Stanley views this revision as sufficient for the stock.
First-quarter Yeztugo sales aligned with VA consensus estimates. The results likely came in below some investor expectations and Morgan Stanley’s own estimates.
The firm continues to rate Gilead Sciences as Overweight despite the reduced price target.
In other recent news, Gilead Sciences Inc. reported impressive financial results for the first quarter of 2026. The company announced a non-GAAP diluted earnings per share (EPS) of $2.03, which exceeded analysts’ forecasts of $1.90. Additionally, Gilead’s revenue surpassed expectations, reaching $7 billion compared to the projected $6.91 billion. These results demonstrate a strong performance for the company in this period. Despite the earnings beat, the stock experienced a decline in after-hours trading. The positive earnings report highlights Gilead’s robust operational capabilities. Investors will be closely monitoring future announcements for continued growth and performance.
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