Gilead Sciences (GILD) Misses Earnings, Stock Turns Bearish

Gilead Sciences stock (NASDAQ: GILD) fell by as much as 4% on Tuesday morning, after the biotechnology company posted earnings that missed Wall Street expectations.

Our analysis of the stock’s market cycle suggests there may be pain in the coming months.

Gilead reported earnings per share of $1.44 and total revenue of $5.8 billion, above analyst estimates of $1.71 and $5.5 billion. Management projected revenue for the fiscal year of $21.3-21.8 billion, which was in line with the average estimate.

CFO Robin Washington further explained that, “Our first guidance of the year does include downside risk, but our confidence around returning a net product revenue growth is strong. We  look forward to updating you throughout the year as activities progress.”

Sign up for our FREE newsletter
and receive our best trading ideas and research

$GILD Gilead Stock Outlook: Our analysis of the market cycles for GILD is that the stock has likely begun the declining phase of its current cycle. Further, our analysis has shown the stock to be trading in negatively configured cycles.

Having now failed in a key resistance zone, we believe the risks are rising for further declines. Indeed, by April, we expect a test of its December low.

Gilead (GILD) Stock Weekly Chart

gilead sciences stock research gild forecast outlook bearish february 5

For more from Slim, or to learn about cycle analysis, check out the askSlim Market Week show every Friday on our YouTube channel.

Twitter:  @askslim

Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.