Pfizer vs. Gilead: Which Drugmaker Has the Stronger Growth Story?

The ongoing competition between Pfizer Inc. (NYSE:PFE) and Gilead Sciences, Inc. (NASDAQ:GILD) highlights the contrasting growth trajectories of these pharmaceutical giants. As the pandemic subsides, Pfizer is focusing on replacing its loss-making COVID-19 treatments with newer medicines, while Gilead is expanding faster but remains heavily concentrated in one therapeutic area.

Pfizer's non-COVID portfolio showed moderate growth, with revenue excluding Comirnaty and Paxlovid rising 5%, while launched and acquired products increased 18%. In contrast, Gilead demonstrated stronger underlying growth, with product sales excluding Veklury increasing 10% to $7.6 billion, and HIV sales growing 12% to $5.7 billion.

Gilead's expansion is further supported by its oncology and liver-disease franchises. However, Gilead's concentration risk remains high, with HIV accounting for approximately three-quarters of its sales. Pfizer's turnaround is credible but less mature, with its cost-cutting initiatives providing some respite. Ultimately, Gilead offers clearer growth today, while Pfizer presents a more execution-dependent recovery opportunity.