Gilead Sciences "buy," target price raised

04/20/07 - UBS

NEW YORK, April 20 (newratings.com) - Analysts at UBS reiterate their "buy" rating on Gilead Sciences (GILD), while raising their estimates for the company. The 12-month target price has been raised to $92.

In a research note published yesterday, the analysts mention that the company has reported its 1Q EPS, excluding option expenses, significantly ahead of the estimates. Gilead Sciences’ major development projects are progressing on track, the analysts say. UBS expects the company to initiate the Phase III programmes for the GS-9137 drug in the 150 mg formulation at the end of the year. The EPS estimates for FY07 and FY08 have been raised to $3.38 and $3.54, respectively.