Buy Gilead Shares: Forecasts, Strategies And Targets
Published: September 27, 2020 by Valentina
In times of crisis like the one we are experiencing, speculators often manage to obtain substantial gains by investing on companies that are taking advantage of this situation. Buying Gilead shares means investing in one of the most interesting pharmaceutical companies emerged this year.
Before investing, however, it is necessary to carefully evaluate the financial situation of the company, the performance of the stock, and the forecasts made by analysts.
Moreover, one of the often underestimated factors is the choice of the broker: Buying Gilead shares with a CFD broker like eToro for example, means saving on trading fees and trading safely. Here is the list of the main CFD brokers on the market:
Min. Deposit: 50€
Min. Deposit: 100€
Min. Deposit: 50€
Min. Deposit: 250€
Min. Deposit: 100€
Min. Deposit: 250€
Gilead: What is it?
Gilead, or more precisely Gilead Sciences, is an American biopharmaceutical company founded in 1987 in California.
Originally founded under the name Oligogen by Michael L. Riordan, a physician, together with 3 scientific advisors – Peter Dervan, Doug Melton and Harold M. Weintraub – the company has always focused on the research and development of antiviral drugs for the treatment of HIV, hepatitis, and influenza.
During the fiscal year 2019, Gilead Sciences earned US $ 5.386 billion and had an annual revenue of US $ 22.449 billion. Its market capitalization was valued at $ 93.4 billion in October 2018.
How to buy Gilead shares?
The easiest way to buy Gilead shares is to use a CFD broker and trade directly online.
CFDs (contracts for difference) are regulated financial derivatives that have the same price as the corresponding asset and allow you to invest up or down (short selling) without paying commissions.
With CFD broker, you invest like this:
- To buy Gilead shares, you have to buy the “Gilead” CFD and you will make a profit if the stock prices go up.
- If, on the other hand, you are investing on the collapse of Gilead stock prices, you must sell the “Gilead” CFD and you will earn if the prices fall.
Once the desired result has been reached (up or down), just close the transaction and any profit (if you have made the right forecast) will be yours, with no commissions to pay.
Buy Gilead shares with the best platforms
In order to be considered “the best” trading platforms, they must first of all have a FCA or CySEC license, two entities that verify compliance with national and international regulations.
Brokers (who offer these platforms) allow you to invest in many markets such as stocks, indices, ETFs, commodities, etc. and the most suitable to buy Gilead shares are eToro, ForexTB and IQ Option.
eToro: Automated trading and intuitive platform
eToro is certainly the most famous online broker in the world with over 7 million active users.
The reliability of this broker is confirmed by the FCA license, the national body that supervises stock exchange operators.
The screenshot below shows the Gilead stock as it appears on the eToro platform:
To buy Gilead shares (or sell them) you have to click on “Invest”, decide whether to buy or sell the stock, and decide how much to invest in the single operation.
Not all traders like to study charts and elaborate complex trading strategies; some of them prefer to make automatic investments. eToro offers therefore the Copy Trading, a system that allows you to copy the operations performed by the best traders in the world (on eToro) automatically and free of charge.
This system works like this:
- Register on eToro
- In the section “people”, you can choose the traders to copy based on the performance.
- With a click, Copy Trading will copy exactly the same operations of the chosen traders in your account.
- At this point, you will get the same returns as these trading experts (of course, in proportion to your investment), without doing anything else.
Here are some of the best eToro Traders:
Both Copy Trading as well as traditional trading can also be tested on a free Demo account, without taking real risks.
For more details you can read our full eToro review.
ForexTB: Trading Course and Free Trading Signals
ForexTB is becoming a popular choice among traders who value training and operational support. Moreover, this broker is regulated by CySEC, which confirms its total reliability.
Traders are not all the same and therefore even the platforms must differentiate themselves. This is why ForexTB offers 2 trading platforms, both for free:
- The web platform is easy to use and can be entered from any browser without downloading any software.
- Metatrader 4 is more technical and full of professional indicators and meets the needs of the more experienced traders.
This broker has created one of the best trading courses on the market and offers it for free to its users. This PDF explains the basics of online trading very clearly and can be downloaded from the link below:
But theory is not enough, ForexTB also offers the free Trading Signals that guide investors in a very precise way. They are indications with a 70% success rate. To get them just click on the official link below:
IQ Option: Minimum deposit and training
IQ Option is an unrivaled broker, because it offers a truly unique entry threshold. To open a real account you only need 10 Euros!
Obviously, it is an intermediary that operates under the FCA supervision and is therefore totally reliable. The fact of being able to open an account with 10 Euros, makes it truly unique and allows anyone to start trading online without a huge capital available.
With IQ Option, you can buy Gilead shares by investing a few Euros and experience the sensations of a real investment, even if you risk the cost of a couple of coffees.
Even if opening a real account is cheap, you can still start with a Demo account, so as to familiarize with the trading software using only virtual money.
The tools and indicators included in the trading platform are very professional and allow you to study a stock in a precise and personalized way. For those who want to deepen some notions, this broker provides an educational area full of free material.
Buy Gilead Shares: Real-Time Quote
Gilead Shares nasdaq
Gilead (GILD) is part of the NASDAQ Biotechnology Index and the S&P 500, two of the most important stock indices in the world.
This company has recently become quite popular for its antiviral research against the coronavirus.
In the months immediately following the outbreak of the pandemic, Gilead donated nearly one million doses of its antiviral drug Remdesivir to the United States government in the hope that it would be useful against Covid-19. The benefits of the drug are modest, but now Remdesivir is sold at a rather high price.
The company will charge developed countries $ 2,340 for each Remdesivir treatment, while US health insurers will pay $ 3,120 for each treatment cycle.
Gilead plans to produce more than 2 million courses of antiviral drugs before the end of the year and millions more next year, so Remdesivir has a very significant potential for success.
As we can see in the graph below, Gilead Sciences has not been immune to the ups and downs of the stock market and even now it suffers from the volatility typical of emergency situations.
Gilead shares forum
The online trading forums are not always reliable and even if they can provide truthful news, these must always be verified:
In early 2020, no one could have predicted the enormous volatility that was about to hit the market as the devastating coronavirus pandemic took hold.
The company’s revenues in the first quarter of 2020 increased by 5% year-on-year, even as its net income fell 21% to $ 1.6 billion.
In the second quarter, revenues fell below analyst expectations to $ 5.1 billion. For the first half of 2020, the company had a revenue of $ 10.7 billion, slightly down from $ 11 billion in the same period last year.
Despite this, management increased its revenue forecast for 2020, from $ 21.8 billion to $ 23 billion. This is a clear sign of management’s confidence in Gilead’s ability to recover from the adverse financial effects of the pandemic.
Is buying Gilead shares worth it?
There is no doubt that if Remdesivir spreads across the planet – as it is likely to -, this could be Gilead’s biggest win in the company’s history.
To answer the question of whether buying Gilead shares is worthwhile or not, we need to consider the solid portfolio of core products beyond Remdesivir, which make Gilead so strong.
Sales in Gilead Sciences’ HIV segment increased by 6% during the first half of 2020, totaling $ 8.1 billion. The company’s HIV drug, Biktarvy, was a major revenue driver this year, with sales of $ 1.3 billion in the second quarter and $ 2.8 billion in the first six months of 2020.
Another of Gilead’s prescription drugs for HIV, Atripla, generated $ 95 million in US sales in the second quarter. A third, Odefsey, surpassed $ 273 million in revenue during the second quarter.
With these numbers, buying Gilead shares can be a profitable investment but we need to analyze competitors and analysts’ forecasts in order to define a profitable strategy.
Gilead Sciences’ main competitors are the largest pharmaceutical companies worldwide, especially those that, in one way or another, compete for the coronavirus cure or vaccine. Among these we remember:
- Pharma Mar
Buy Gilead Shares: Forecasts
Some have speculated that too much competition could eventually stifle Remdesivir’s power, but this is unlikely to happen and competitors are far behind at the moment.
Given the positive data from the Phase 3 clinical trial, the drug is likely to continue to be in high demand. Gilead has also started a Phase 1 clinical trial on an inhaled form of Remdesivir, which if approved, could expand the drug’s long-term marketability.
Gilead Sciences appears well prepared for future success, underpinned by its strong HIV activity and the nice in the coronavirus therapeutic space.
The chart below shows an EKG trend of the stock, but the roots are solid and, at the moment, with these prices, Gilead shares are a great option for both short as well as long term investors.
Buy Gilead Shares: Strategies for Investing
At the base of any investment there are rules to be respected and it is right to remember them also in the case of Gilead shares:
- You should never invest more than 3% of the available capital on a single operation.
- The Stop Loss must be set at the time of the order, taking into account the Fibonacci retracements and the Pivot Points.
Major international investors advise these investment strategies for Gilead Sciences shares:
- In the short term (a few weeks or months), you can invest upwards until the price is below the target of $ 79.68 and then follow the fluctuations with a Swing Trading strategy.
- In the long term (beyond 6 months), Gilead shares can be bought and held in portfolio pending the economic return from the drugs currently in production. The stop loss must be positioned as soon as possible on the entrance level to avoid dangerous oscillations.
Gilead shares target price
Analysts at the eToro Trading Desk have released positive ratings for Gilead Sciences. Their twelve-month average target price is $ 79.68, expecting the stock to rise by 15.23% in a year.
This is a very profitable period for investments in pharmaceutical companies, which are taking advantage of the crisis to grow and make profits.
Buying Gilead shares can help build a solid portfolio in this sector. The forecasts are good, but if you have no trading experience it is advisable to do some tests in the Demo version first, so as to practice without any kind of risk.
After that, you can start with the minimum deposit required by the CFD broker you have chosen. Here are the official links to access the Demo accounts:
- Access the eToro Demo account for free by clicking here
- Register on ForexTB and try the Demo account by clicking here
- Access the IQ Option Demo account for free with this link
Yes, it is a solid company but you have to follow the right strategy to make a profit. Find out which one in our guide.
CFD brokers offer a way to buy Gilead shares without paying commission
The 12-month target price for Gilead stock is $ 79.68
eToro offers the best platform to invest in Gilead Sciences securely.