Gilead Sciences Soars 3.01% on Strong Q2 Earnings, Raised Forecasts

Gilead Sciences' stock rose 3.01% in pre-market trading on August 8, 2025, driven by strong second-quarter earnings and an optimistic outlook for the year.

Gilead Sciences has raised its 2025 sales and profit forecasts due to growing demand for its HIV products. The company's second-quarter revenue and earnings exceeded expectations, with total revenue increasing by 2% year-over-year to $7.1 billion. This growth was primarily driven by higher sales in the HIV, Livdelzi® (seladelpar), and Trodelvy® segments.

The company's HIV franchise generated $5.1 billion in revenue, marking a 7% year-over-year increase. This segment has been a key driver of Gilead's overall sales growth, with HIV revenue averaging 1.9% year-on-year growth over the past two years. The launch of Yeztugo, a twice-yearly injectable HIV prevention drug, added $107 million in sales, highlighting the company's shift toward long-acting therapies.

Gilead's oncology segment faced challenges, with Yescarta and Tecartus experiencing declines of 5% and 14% year-over-year, respectively. However, Trodelvy's 14% growth provided some offset, underscoring the competitive pressures in cell therapy. The company's collaboration with Merck on islatravir and lenacapavir for HIV treatment may help mitigate some of these headwinds, but results are still pending.

Despite these challenges, Gilead's strong cash flow, 2.5% dividend yield, and leadership in HIV position it as a defensive play in a volatile market. The company's technical setup—a stock above its 50-day line with a rising ADX—favors a breakout, but short-term volatility warrants caution. Key risks to monitor include oncology earnings, HIV pricing, and macroeconomic factors.