Updates

** Gilead Sciences on Tuesday GILD.O forecast annual earnings and sales of its pioneering twice-yearly HIV prevention drug, Yeztugo, below analysts' expectations, resulting in a slide in shares

** However, the stock was up 6% in early trading on Wednesday

ROOM FOR UPSIDE

** BMO Capital Markets ("outperform", PT: $160) says even with recent share performance, there is continued momentum into 2026, anchored by PrEP drugs such as Yeztugo and Decovy; sees room for revenue upside and margin flexibility

** RBC Capital Markets ("perform", PT:$118) says while it remains cautious on Yeztugo's long-term potential given caution around the PrEP market expansion, it suspects some reminders around on-the-ground realities may be designed to keep near-term expectations from spiraling too high

** J.P. Morgan ("overweight", PT:$160) sees Gilead's HIV business as well-positioned and expects room for upside throughout 2026 as Yeztugo gains traction

** Needham ("buy", PT: $170) remains bullish on Yeztugo HIV PrEP launch; says Gilead's guide for $800 million in 2026 revenue leaves room for upside