Gilead Sciences Has 3 Available Options, but Only 1 Makes Sense

Gilead Sciences Has 3 Available Options, but Only 1 Makes Sense

Gilead Sciences (NASDAQ: GILD) is nearing a crossroads of sorts. In short, AbbVie's (NYSE: ABBV) eight-week pan-genotypic hepatitis C combo of glecaprevir and pibrentasvir could emerge as a significant competitive threat to the biotech's struggling hep C franchise moving forward. 

That's seriously bad news from a value-creation standpoint. Gilead's hep C sales, after all, are already on track to fall by more than 65% over the next three years due to the dual headwinds of price erosion and lower demand. 

Although the biotech's hep C woes have been weighing on its valuation for some time now, this latest competitive threat may finally force Gilead's hand on the business development front. All things considered, the biotech has three available choices:

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Source: Fool.com