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2025-10-06 21:15
Gilead Sciences (NASDAQ:GILD) has reached settlement agreements with Lupin, Cipla, and Laurus Labs to resolve patent disputes related to Biktarvy, a medication for HIV.
These companies had sought approval from the U.S. Food and Drug Administration to produce generic versions of the drug.
According to the terms of the settlements, no generic versions of Biktarvy, which contains bictegravir (50 mg), emtricitabine (200 mg), and tenofovir alafenamide (25 mg), will be available in the United States before April 1, 2036.
GILD stock is up about 4% premarket.
Wells Fargo analysts believe this extended timeline gives Gilead a competitive advantage similar to that of other companies in the industry, such as AbbVie (ABBV). They project that this could lead to an increase in Gilead's stock price by $6 to $12 per share based on their cash flow models.
With the patent extension, analysts now anticipate that the patent will expire in 2033, with a terminal growth rate of 0%.