Gilead Sciences "buy," target price raised

11/14/05 - Legg Mason

NEW YORK, November 14 (newratings.com) - Analysts at Legg Mason reiterate their "buy" rating on Gilead Sciences Inc (GILD), while raising their estimates for the company. The 12-month target price has been raised from $53 to $56.

In a research note published this morning, the analysts mention that the Tamiflu royalty revenue estimates for the company in out years have been raised, in view of the upward revision of Tamiflu manufacturing capacity by Roche. The sales estimates for Truvada in out years have been raised to reflect the healthy trends in Truvada scripts. The EPS estimates for 2006, 2007 and 2008 have been raised from $1.84 to $1.90, from $2.09 to $2.24 and from $2.18 to $2.41, respectively.