Send to a Friend Share

UBS Maintains a 'Buy' on Gilead Sciences (GILD); Raising PT on Lower Risk to HCV

February 6, 2012 2:00 PM EST
GILD Hot Sheet
Rating Summary:
    12 Buy, 7 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 18 | Down: 7 | New: 26
UBS maintains a 'Buy' on Gilead Sciences (NASDAQ: GILD) price target raised from $53 to $61.

UBS analyst says, "GILD's disclosure on the 4Q call that all genotype 1 (GT1) HCV patients in the ongoing ELECTRON trial evaluable thus far have achieved a rapid virological response (RVR) in our view suggests lower risk to success in GT1 HCV. We fully acknowledge that RVR is far from predictive of eventual cures (SVR-12), but we reiterate that the RVR rate is consistent with the standout profile that GS-7977 has shown to date."

"We’ve lessened our risk adjustment to GS-7977 sales following RVR data: We’ve updated our model to reflect the quarter, and have made adjustments to our HCV forecasts. Specifically to HCV, we’ve lowered our risk adjustments to our GS-7977 HCV sales forecasts (from 15-30% to 5-25%, yielding peak sales in 2020 of $5.8bn), and have increased our HCV sales forecasts in our upside case scenario by 10% (upside case peak: $7bn)."

UBS lowers FY12 EPS estimate from $4.23 to $4.15 and FY13 from $4.82 to $4.77.

For an analyst ratings summary and ratings history on Gilead Sciences click here. For more ratings news on Gilead Sciences click here.

Shares of Gilead Sciences closed at $54.70 yesterday, with a 52 week range of $34.45-$54.90.


Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!

You May Also Be Interested In


Related Categories

Analyst Comments

Related Entities

UBS

Add Your Comment





Follow StreetInsider.com On Twitter