With President Trump touting remdesivir as a potential treatment for COVID-19 there has been notable interest in Gilead Sciences, the American biopharmaceutical company producing the medication. As approximately the 55th largest company in the S&P500, we would expect at least some Members of Congress to own it, and indeed they do. In Q1 2020, three Members traded Gilead stock (NASDAQ:GILD): Reps. Phil Roe (R-TN-1), Gilbert Cisneros (D-CA-39), and Mikie Sherrill (D-NJ-11). Additionally, six members of Congress hold stock in Gilead but have not thusfar declared any such transactions in 2020. These are Reps. Earl Blumenauer (D-OR-3), David Price (D-NC-4), and John Rutherford (R-FL-4) and Senators Rick Scott (R-FL), Jacklyn Rosen (D-NV), and Shelley Capito (R-WV).
From late February to early March Rep. Cisneros purchased stock in Gilead Sciences on two occasions for a total between $2,002-$30,000. In late January Rep. Sherrill purchased between $1,000-$15,000 in Gilead stock before selling between the same amount in late February. Rep. Roe sold between $1,000-$15,000 in Gilead stock in mid-March. Later in the month he purchased an additional $2,002-$30,000 before selling between $16,001-$65,000 in Gilead in late March and early April. Notably, all of Rep. Roe’s transactions were unsolicited requests to his financial manager.
Congressional Transactions in Gilead Sciences, Inc. in 2020 to Date
Cisneros, Gilbert (D-CA-39)
– Gilead Sciences (GILD) | Purchase | 2/21/20 | $1,001-$15,000
– Gilead Sciences (GILD) | Purchase | 3/18/20 | $1,001-$15,000
Phil Roe (R-TN-1)
– Gilead Sciences (GILD) | Sale | 3/18/20 | $1,001-$15,000
– Gilead Sciences (GILD) | Purchase | 3/20/20 | $1,001-$15,000
– Gilead Sciences (GILD) | Purchase | 3/20/20 | $1,001-$15,000 (second transactions that day)
– Gilead Sciences (GILD) | Sale | 3/25/20 | $1,001-$15,000
– Gilead Sciences (GILD) | Sale | 4/2/20 | $15,001-$50,000
Sherrill, Mikie (D-NJ-11) PTR various
– Gilead Sciences Inc (GILD) | Purchase | 1/21/20 | $1,001-$15,000
– Gilead Sciences Inc (GILD) | Sale | 2/20/20 | $1,001-$15,000
Congressional Holdings in Gilead Sciences, Inc.
Rep. Earl Blumenauer (D-OR-3) | Owns stock valued between $1,001-$15,000
Sen. Shelley Capito (R-WV) | Owns stock valued between $2,002-$30,000
Rep. David Price (D-NC-4 ) | Owns stock valued between $1,001-$15,000 with dividend returns between $201-$1,000
Sen. Jacklyn Rosen (D-NV) | Owns stock valued between $15,001-$50,000 with dividend returns between $201-$1,000
Rep. John Rutherford (R-FL-4) | Owns stock valued between $1,001-$15,000
Sen. Rick Scott (R-FL) | Owns stock valued between $50,001-$100,000 with dividend returns between $100,001-$1,000,000
Note: Sen. Scott lists dividend/capital gains income for Gilead that are substantially larger than the claimed value of the stock itself. Gilead dividend rate is ~3%. This discrepancy implies either a large sale during reporting period (2018) to trigger substantial capital gains or a clerical error in reporting the size of the position. We will update our holdings data when his 2019 Annual Report is released. That report is due on May 15, although many Senators request filing extensions into August.
Company Overview
Gilead Sciences is a California-based pharmaceutical company that focuses on antiviral drugs. In 2019 its estimated total equity was some $23 billion. Gilead traded at $65 at the beginning of the year, peaking at $83 on April 17. Recent news has questioned the effectiveness of remdesivir after internal notes regarding a failed clinical trial were accidentally shared. Gilead is currently trading at $78. The company trades on the NASDAQ Biotechnology Index and S&P 500, and several estimates place Gilead as one of the 10 largest pharmaceutical companies in the world. The company retains 20-year patents for remdesivir in over 70 countries.
