Jun 4, 2020 - Economy

Wall Street forecasts blockbuster sales for Gilead's coronavirus drug remdesivir

Bob Herman

A sign outside Gilead Sciences Inc. headquarters. — Photo: Liu Guanguan/China News Service via Getty Images

Gilead's intravenous coronavirus drug remdesivir could fetch $6.7 billion in revenue in 2021 with a 19% profit margin, assuming the company prices each treatment at $5,000, according to new forecasts from Geoffrey Porges, a highly read pharmaceutical analyst at Wall Street firm SVB Leerink.

Why it matters: That kind of price tag would make remdesivir a blockbuster, but it's far from being a blockbuster treatment.

That price would also be above what independent researchers suggest is a fair price.

What they're saying: Gilead will start charging for the drug, to be sold as Veklury, after its donated supply runs out, which is expected to occur as soon as this month. Gilead did not provide an updated timeline for when a price would be disclosed.

Go deeper: The final data for remdesivir is in

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Wall Street forecasts blockbuster sales for Gilead's coronavirus drug remdesivir

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