HSBC upgraded Gilead Sciences to Buy from Hold on Monday. The bank raised its price target for the stock to $155 from $133.
Analysts believe the market is overly pessimistic regarding generic competition for Gilead's HIV franchise. They expect long-acting HIV therapies to improve patient adherence and offset revenue declines. These treatments may drive better-than-expected performance across the HIV sector.
The upgrade highlights near-term growth from the PrEP product Yeztugo. Oncology catalysts include developments for the drugs anito-cel and Trodelvy. The FDA and European Commission approved Trodelvy for first-line metastatic breast cancer in late June 2026. These regulatory approvals reinforce Trodelvy's role in Gilead's broader oncology strategy.