15 Best NASDAQ Dividend Stocks To Buy

12. Gilead Sciences, Inc. (NASDAQ:GILD)

Number of Hedge Fund Holders: 59

Gilead Sciences, Inc. (NASDAQ:GILD) is an American biopharmaceutical company, headquartered in California. The company is mainly known for developing innovative therapies for the treatment of various diseases. According to analysts, the company is poised for substantial growth, fueled by its innovative HIV prevention treatment, Lenacapavir, along with progress in its hepatitis and oncology drug pipelines. Lenacapavir, a revolutionary biannual injectable, effectively blocks HIV from infecting cells, showing remarkable efficacy. With FDA approval anticipated this year and global approvals likely soon after, the drug is expected to reach peak annual sales of $3 to $4 billion, well beyond the $2 billion annual revenue of GILD’s current HIV prevention drug, Descovy.

In the third quarter of 2024, Gilead Sciences, Inc. (NASDAQ:GILD) posted revenue of $7.55 billion, reflecting a 7% increase compared to the same quarter in the previous year. As of September 30, 2024, the company’s cash, cash equivalents, and marketable debt securities amounted to $5.0 billion, a decrease from $8.4 billion at the close of 2023. This reduction was primarily due to the $3.9 billion acquisition of CymaBay Therapeutics, Inc.

Polaris Capital Management highlighted Gilead Sciences, Inc. (NASDAQ:GILD) in its Q3 2024 investor letter. Here is what the firm has to say:

“U.S. biopharma/biotech companies topped the health care sector, with the majority of holdings posting returns in excess of 10%. Gilead Sciences, Inc. (NASDAQ:GILD) had two big announcements during the quarter: 1) the FDA approved its new liver disease treatment for biliary cholangitis and 2) its phase III HIV drug trial reduced new infections by 96% when compared to background HIV incidence, which could be a game changer for the disease.”

Gilead Sciences, Inc. (NASDAQ:GILD) is a solid dividend payer and has stable cash generation. In the most recent quarter, the company reported an operating cash flow of $4.3 billion. Moreover, it also paid $983 million to investors in dividends, which makes it one of the best dividend stocks on our list. The company’s quarterly dividend comes in at $0.77 per share for a dividend yield of 3.33%, as of January 15.

At the end of the third quarter of 2024, 59 hedge funds tracked by Insider Monkey held stakes in Gilead Sciences, Inc. (NASDAQ:GILD), down from 62 in the previous quarter. The consolidated value of these stakes is roughly $2.6 billion. With over 5 million shares, Citadel Investment Group was the company’s leading stakeholder in Q3.