Gilead Stock Sinks 3.5% On Disappointing 2017 Sales Guidance

Gilead Sciences Inc. shares sank 3.5% after the bell on Tuesday after the company put out disappointing 2017 sales guidance. Fourth-quarter earnings fell to $3.1 billion, or $2.34 per share, from $4.7 billion, or $3.18 per share in the year-earlier period. Adjusted earnings per share were $2.70, above the FactSet consensus of $2.61. Revenue fell to $7.3 billion from $8.5 billion, above the FactSet consensus of $7.1 billion. The company expects 2017 sales of $22.5 billion to $24.5 billion for its hepatitis C and other products, below the FactSet consensus of $27.9 billion. Flagging sales for the company's hepatitis C franchise have been a focus of investors and Wall Street analysts. Gilead shares have declined 1.2% over the last three months, compared with a 7.6% rise in the S&P 500 .

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