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GlaxoSmithKline (GSK) AI Stock Analysis

GB:GSK

GlaxoSmithKline

(LSE:GSK)

Select Model
Rating:69Neutral
Price Target:GBX 2,005.00â–²(9.53% Upside)
Action:downgraded
Date:10/29/26

The score is driven primarily by solid financial quality (high margins, strong and growing free cash flow) and a constructive earnings outlook with reaffirmed guidance and broad pipeline/launch momentum. Offsetting these positives are a still-levered balance sheet and a mixed technical backdrop (below key longer-term moving averages), while valuation and dividend provide moderate support.

Positive Factors
Specialty Medicines GrowthBroad-based specialty-medicine growth across HIV, respiratory and oncology reduces reliance on a single product and supports a stronger long-term mix. Double-digit performance from several launches also indicates meaningful commercial traction for GSK’s differentiated portfolio.
Negative Factors
Leverage and Interest BurdenGSK’s meaningful debt load reduces financial flexibility and makes earnings more sensitive to refinancing costs. Higher interest expense, including financing related to Nuvalent, can absorb cash that could otherwise support research, acquisitions or debt reduction.

GlaxoSmithKline (GSK) vs. iShares MSCI United Kingdom ETF (EWC)

-5%0%5%10%15%20%25%30%GB:GSK+7.44%EWC+23.59%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
GBP 74.33B
Dividend Yield
3.67%
Average Volume (3M)
6.53M
Price to Earnings (P/E)
17.2
Beta (1Y)
1.16
Revenue Growth
4.28%
EPS Growth
-19.93%
Country
UK
Employees
66,841
Sector
Healthcare
Sector Strength
51
Industry
Drug Manufacturers - General

GlaxoSmithKline Business Overview & Revenue Model

Company Description

GSK plc is a global pharmaceutical and healthcare company, deeply involved in the research, development, production, and commercialization of a diverse range of medicinal and wellness products. Its operations span the United Kingdom, the United State...

How the Company Makes Money

GSK makes money primarily by selling branded prescription medicines and vaccines to healthcare systems, wholesalers/distributors, pharmacies, hospitals, and government/public-health customers worldwide. Its key revenue streams include: (1) Prescripti...

GlaxoSmithKline Earnings Call Summary

Earnings Call Date:Oct 27, 2026(Q3-2026)|% Change Since:-4.83%|Next Earnings Date:Feb 02, 2027
Earnings Call SentimentPositive

The call was strongly positive overall. GSK reported solid Q3 sales, operating profit, specialty-medicine growth, cash generation, launch progress, and a significant acceleration in phase III development. The company also reaffirmed 2026 guidance and highlighted encouraging clinical and commercial momentum across oncology, respiratory, HIV, hepatitis B, vaccines, and business development. The main negatives were higher restructuring charges, sharply increased R&D and interest costs, foreign-exchange headwinds, vaccine and inhaler-market pressure, Shingrix inventory and China destocking, and unresolved analysis around the four-monthly APRETUDE formulation. These challenges were meaningful but were outweighed by the breadth of the reported operational and pipeline progress.

Positive Updates

Strong Q3 Revenue and Operating Momentum
Q3 sales increased 5% to GBP 8.9 billion, core operating profit grew 5%, and core earnings per share increased 1%. Specialty medicines were the primary growth driver, including respiratory and oncology launches.

Negative Updates

EPS Growth Lagged Operating Profit Growth
Core EPS increased only 1% despite 5% growth in core operating profit. The differential was attributed to higher interest costs following the Nuvalent acquisition and a higher tax rate in the quarter.

Company Guidance

GSK reconfirmed 2026 guidance: sales are expected in the upper half of the range, core operating profit is also expected in the upper half of the range, margin remains on track to be more than 31% at constant rates, SG&A is projected to be broadly stable, royalties are now upgraded to around GBP 900 million for the year, R&D is expected to grow significantly ahead of sales for the year, with 22 phase III starts versus 10 expected at the start of the year, EPS growth is expected to be in the low half of the range, full year interest is expected to be GBP 700 million-GBP 750 million, including around GBP 160 million relating to the acquisition of Nuvalent, and foreign exchange headwinds are expected to be -1% on sales and -3% on operating profit; the company remains on track to deliver around GBP 10 billion CGFO at constant rates and now expects charges of up to GBP 1 billion in 2026.

GlaxoSmithKline Financial Statement Overview

Summary

Fundamentals are solid but not flawless: modest TTM revenue growth (~2.4%) with strong sector profitability (gross margin ~73%, EBIT ~25%, net ~14%) and solid free cash flow (~6.8B) with strong TTM FCF growth (~18.8%). Offsets are meaningful leverage (debt-to-equity ~1.03; debt ~23.7B) and some earnings/cash-conversion variability (FCF ~72% of net income, down vs 2025).

Income Statement

78Positive

Balance Sheet

66Positive

Cash Flow

72Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue33.54B32.67B31.38B30.33B29.32B24.70B
Gross Profit24.66B23.70B21.90B21.25B19.46B16.34B
EBITDA10.64B11.88B6.67B9.14B8.63B6.45B
Net Income4.35B5.72B2.58B4.93B14.96B4.38B
Balance Sheet
Total Assets71.70B61.12B59.46B59.01B60.15B79.10B
Cash, Cash Equivalents and Short-Term Investments2.96B3.16B3.71B5.69B7.68B4.13B
Total Debt23.70B17.72B16.99B18.02B20.99B24.17B
Total Liabilities53.34B45.16B46.38B46.21B50.05B57.76B
Stockholders Equity18.75B16.38B13.67B13.35B10.60B15.05B
Cash Flow
Free Cash Flow6.84B5.96B3.57B4.42B5.14B5.02B
Operating Cash Flow8.56B7.30B6.55B6.77B7.40B7.95B
Investing Cash Flow-12.55B-5.85B-1.23B-1.59B-8.77B-1.78B
Financing Cash Flow3.95B-1.63B-4.73B-5.64B823.00M-7.59B

GlaxoSmithKline Technical Analysis

Technical Analysis SentimentNegative
Last Price1830.50

Price Trends

50DMA1845.28Positive
100DMA1884.13Negative
200DMA1929.48Negative

Market Momentum

MACD8.50Negative
RSI50.94Neutral
STOCH35.09Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GSK, the sentiment is Negative. The current price of 1830.50 is above the 20-day moving average (MA) of 1830.50, below the 50-day MA of 1845.28, and below the 200-day MA of 1929.48, indicating a neutral trend. The MACD of 8.50 indicates Negative momentum. The RSI at 50.94 is Neutral, neither overbought nor oversold. The STOCH value of 35.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:GSK.

GlaxoSmithKline Risk Analysis

GlaxoSmithKline disclosed 1 risk factors in its most recent earnings report. GlaxoSmithKline reported the most risks in the "Legal & Regulatory" category.

Higher RiskSector Avg.Lower RiskFinance & CorporateTech & InnovationLegal & RegulatoryProductionAbility to SellMacro & Political
Legal & Regulatory - Litigation, compliance, new legislation, and taxation risks

Latest Risks Added

1 New Risk
1.Text to select risk factors from:Q4, 2024

GlaxoSmithKline Peers Comparison

Overall Rating

UnderperformOutperform
Sector (51)

Financial Indicators

GB:GSK against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
GB:AZNGB:AZN80OutperformGBP 216.51B26.2722.31%1.71%4.55%14.19%
GB:HIKGB:HIK74OutperformGBP 3.58B12.9515.05%3.66%2.48%3.36%
GB:SNGB:SN72OutperformGBP 9.27B19.5212.25%2.66%2.17%27.33%
GB:GSKGB:GSK69NeutralGBP 74.37B17.1824.64%3.67%4.28%-19.93%
GB:HLNGB:HLN63NeutralGBP 28.09B17.619.89%2.29%1.21%8.33%
Sector *51Neutral$7.86B-0.30-43.30%2.27%22.53%-2.21%

* Healthcare Sector Average

Performance Comparison

-20%0%20%40%GB:GSKGB:AZNGB:HIKGB:SNGB:BXPGB:HLNDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
GB:GSK and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
GB:GSKGlaxoSmithKline plc (UK)1855.00127.007.35%
GB:AZNAstraZeneca plc13960.001642.4713.33%
GB:HIKHikma Pharmaceuticals1731.0046.572.76%
GB:SNSmith & Nephew (UK)1107.50-272.82-19.76%
GB:BXPBeximco Pharmaceuticals Limited Sponsored GDR RegS54.0012.9231.44%
GB:HLNHaleon PLC319.40-31.39-8.95%

GlaxoSmithKline Corporate Events

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance

GSK Wins Landmark U.S. Approval for First‑in‑Class Hepatitis B Cure Therapy

Positive
Oct 21, 2026

GSK has won U.S. FDA approval for Hibsago (bepirovirsen), a first‑in‑class antisense oligonucleotide for adults with chronic hepatitis B virus infection on stable nucleos(t)ide analogue therapy and without cirrhosis, marking a major advan...

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance

GSK’s Jemperli Wins Landmark FDA Nod for Biomarker-Defined Rectal Cancer

Positive
Oct 19, 2026

GSK has secured U.S. FDA accelerated approval for its PD-1 inhibitor Jemperli as the first and only immunotherapy for adults with stage II and III MSI-H/dMMR locally advanced rectal cancer, a biomarker-defined subset representing around five to ten p...

Business Operations and StrategyProduct-Related Announcements

GSK’s Ris-Rez Shows Strong Global Response in Relapsed Small Cell Lung Cancer

Positive
Oct 19, 2026

GSK has unveiled the first global clinical data for risvutatug rezetecan (Ris-Rez), a B7-H3-targeted antibody-drug conjugate, in relapsed extensive-stage small cell lung cancer, reporting a 61% objective response rate at the selected 8 mg/kg dose and...

DividendsRegulatory Filings and Compliance

GSK Executives Reinvest Dividends in U.S.-Listed ADS

Positive
Oct 15, 2026

GSK plc has disclosed that three senior executives acquired American Depositary Shares through automatic dividend reinvestment following the company’s October 8, 2026 shareholder dividend. The purchases, executed on October 13 on the New York S...

Executive/Board ChangesDividendsRegulatory Filings and Compliance

GSK executives report dividend-driven increases in deferred share interests

Neutral
Oct 14, 2026

GSK has disclosed a series of routine transactions involving several senior executives, including the chief executive and chief financial officer, relating to ordinary shares and American depositary shares. The changes stem from the automatic reinves...

DividendsRegulatory Filings and Compliance

GSK Executives Increase Holdings Through Dividend Reinvestment

Positive
Oct 13, 2026

GSK has disclosed multiple transactions by senior management involving the automatic acquisition of ordinary shares via dividend reinvestment. Chief executive officer Luke Miels, Europe president Lynn Baxter, International president Mike Crichton and...

DividendsRegulatory Filings and Compliance

GSK Executives Reinvest Dividends in Routine Share Acquisitions

Neutral
Oct 12, 2026

GSK plc has disclosed a series of share transactions involving several senior executives, including Chief Executive Officer Luke Miels and regional and functional presidents. The transactions consist of small acquisitions of ordinary shares on the Lo...

Executive/Board Changes

GSK Director Wendy Becker Joins Tesco Board as Non-Executive

Neutral
Oct 8, 2026

GSK has disclosed that independent non-executive director Wendy Becker has been appointed as a non-executive director of Tesco, effective 1 November 2026, in line with UK listing requirements for such announcements. The appointment underscores the cr...

Business Operations and StrategyDelistings and Listing Changes

GSK Adds Shares Under Employee Plan to London Listing

Neutral
Oct 6, 2026

GSK has admitted 19,352 new ordinary shares of 31¼ pence each to trading on the London Stock Exchange’s Main Market, bringing the total number of ordinary shares in issue to 4,316,311,662. The newly admitted shares, issued under the GlaxoS...

Regulatory Filings and Compliance

GSK Updates Market on Total Voting Rights and Share Capital

Neutral
Oct 1, 2026

GSK plc has reported its latest share capital structure in line with UK Financial Conduct Authority transparency rules, confirming an issued share capital of 4,316,311,549 ordinary shares as of 30 September 2026. Of this total, 270,881,064 shares are...

Executive/Board ChangesRegulatory Filings and Compliance

GSK Discloses Executive Notional ADS Acquisition Under Savings Plan

Neutral
Sep 24, 2026

GSK plc disclosed a transaction involving a person discharging managerial responsibilities, reflecting ongoing adherence to market transparency rules. The filing reports that Maya Martinez-Davis, President U.S., acquired a small number of notional Am...

Other

GSK directors boost holdings with coordinated share purchases

Positive
Sep 22, 2026

Several GSK board members have purchased company securities, signalling additional personal investment in the biopharmaceutical group. Non-Executive Chair Sir Jonathan Symonds bought 1,500 ordinary shares on the London Stock Exchange on 18 September...

Business Operations and StrategyM&A Transactions

GSK Deepens Blood Cancer Push With $750 Million Trispecific TCE Deal

Positive
Sep 15, 2026

GSK has agreed to acquire a trispecific T cell-engager from Chimagen Biosciences for development in multiple myeloma, aiming to bring the programme into phase I trials in 2027 and secure full global rights under a deal worth up to $750 million. The d...

Business Operations and StrategyProduct-Related Announcements

GSK’s Ris-Rez delivers landmark survival gains in relapsed small cell lung cancer

Positive
Sep 14, 2026

GSK and its licensor Hansoh Pharmaceutical reported phase III data from the ARTEMIS-008 trial in China showing that B7-H3-targeted antibody-drug conjugate risvutatug rezetecan (Ris-Rez) cut the risk of death by 54% versus topotecan in relapsed small...

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance

GSK’s Jideytro delivers strong first-line results in ROS1-positive lung cancer trial

Positive
Sep 14, 2026

GSK reported positive phase I/II data from its ARROS-1 trial of Jideytro (zidesamtinib) in tyrosine kinase inhibitor-naïve patients with advanced or metastatic ROS1-positive non-small cell lung cancer. The company plans a U.S. regulatory filing...

Regulatory Filings and Compliance

GSK Executives Acquire Shares Under Company Reward Plan

Positive
Sep 11, 2026

GSK plc has disclosed a series of small share acquisitions by several senior executives under its Share Reward Plan, reflecting routine participation in an established employee share ownership scheme. The transactions involve ordinary shares listed o...

Regulatory Filings and Compliance

GSK Reports Executive Acquisition of Notional ADS in Savings Plan

Neutral
Sep 10, 2026

GSK disclosed that Maya Martinez-Davis, the company’s President, US, has acquired notional American Depositary Shares in her GSK Executive Supplemental Savings Plan. The transaction, executed on 8 September 2026 on the New York Stock Exchange,...

Executive/Board Changes

GSK Grants Performance-Based Share Award to Chief People Officer

Neutral
Sep 9, 2026

GSK has granted a conditional share award to Chief People Officer and Executive Committee member Roanne Parry under its 2017 Performance Share Plan. The award, over 85,714 ordinary shares, forms part of the company’s performance-related incenti...

Business Operations and StrategyExecutive/Board Changes

GSK awards share-based incentives to senior leadership under 2025 plan

Neutral
Sep 9, 2026

GSK has disclosed awards of ordinary shares to two senior figures under its 2025 Share Value Plan, reinforcing equity-based incentives at the top of the organisation. SVP and Company Secretary Victoria Whyte received 10,050 ordinary shares at £1...

Business Operations and StrategyRegulatory Filings and Compliance

GSK Updates Market on Total Voting Rights and Share Capital

Neutral
Sep 1, 2026

GSK has updated the market on its capital structure, reporting that as of 31 August 2026 its issued share capital comprised 4,316,302,379 ordinary shares, including 270,881,064 shares held in treasury. After accounting for treasury shares, the total...

Business Operations and StrategyProduct-Related Announcements

GSK advances mRNA flu vaccine to phase III after strong mid-stage data

Positive
Sep 1, 2026

GSK reported positive phase II results for its investigational mRNA-based seasonal influenza vaccine, which targets both haemagglutinin and neuraminidase surface antigens of the virus. The candidate generated higher immune responses than standard-dos...

Regulatory Filings and Compliance

GSK Reports Executive Acquisition of Notional ADS in Supplemental Savings Plan

Neutral
Aug 26, 2026

GSK disclosed that Maya Martinez-Davis, its President, US, acquired notional American Depositary Shares through her GSK Executive Supplemental Savings Plan account. The transaction, involving a small volume of ADSs at a price of $51.78 per share, was...

Regulatory Filings and Compliance

GSK US President Sells Over 44,000 American Depositary Shares

Negative
Aug 24, 2026

GSK disclosed that Maya Martinez-Davis, its US president and a person discharging managerial responsibilities, sold a total of 3,916 American Depositary Shares on 20 August 2026 at an aggregate price of $52.14 per ADS on the New York Stock Exchange....

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance

GSK wins first global approval for hepatitis B functional cure in Japan

Positive
Aug 24, 2026

Japan’s Ministry of Health, Labour and Welfare has granted the first global approval for GSK’s Hibsago (bepirovirsen), an antisense oligonucleotide and the first functional cure for chronic hepatitis B in Japan. The drug is indicated for...

Business Operations and StrategyProduct-Related AnnouncementsRegulatory Filings and Compliance

GSK’s Jemperli wins FDA priority review for advanced rectal cancer

Positive
Aug 24, 2026

GSK said the US Food and Drug Administration has accepted a priority review of its supplemental biologics application for Jemperli in previously untreated stage II and III mismatch repair deficient or microsatellite instability-high locally advanced...

DividendsRegulatory Filings and Compliance

GSK Executives Add ADS Through Dividend Reinvestment Plans

Positive
Aug 18, 2026

GSK disclosed several routine share transactions by senior executives involving the acquisition of American Depositary Shares through dividend reinvestment in company savings and supplemental plans. Non‑Executive Director Hal Barron, SVP and Gr...

Other

GSK Executives Acquire Shares Under Company Reward Plan

Positive
Aug 13, 2026

GSK has disclosed a series of routine share dealings by several senior executives, including its CFO, regional presidents and other top managers, who each acquired 14 ordinary shares under the company’s Share Reward Plan. The purchases, all exe...

Executive/Board ChangesRegulatory Filings and Compliance

GSK Discloses Executive Notional ADS Acquisition by U.S. President

Neutral
Aug 11, 2026

GSK plc disclosed a transaction involving Maya Martinez-Davis, its President for the U.S. business, who acquired notional American Depositary Shares through her GSK Executive Supplemental Savings Plan. The purchase, executed on 7 August 2026 on the N...

Regulatory Filings and Compliance

GSK Updates Market on Total Voting Rights and Share Capital

Neutral
Aug 3, 2026

GSK has reported that as of 31 July 2026 its issued share capital comprised more than 4.3 billion ordinary shares, of which around 271 million are held in treasury, resulting in a total of 4.045 billion voting rights. The disclosure, made under UK Fi...

Regulatory Filings and Compliance

GSK Supply Chain President Registers Sale of Ordinary Shares

Neutral
Jul 30, 2026

GSK disclosed that Regis Simard, the company’s President of Global Supply Chain, has sold 38,000 ordinary shares in the group. The transaction, executed on July 29, 2026 on the London Stock Exchange at £20.38 per share, reflects routine de...

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 29, 2026