"GSK delivered another strong performance in 2025, driven mainly by Specialty Medicines, with double-digit sales growth in Respiratory, Immunology & Inflammation, Oncology and HIV. Oncology sales were up 42% to £567 million. HIV grew 11% for the year, with long-acting injectables now representing roughly a third of U.S. sales."
"Despite the big run, GSK doesn't look expensive. The trailing P/E sits at 14.6x with a PEG ratio of just 0.499. A PEG below 1.0 generally signals a stock growing faster than its multiple implies. For context, the broader pharmaceuticals sector trades at a premium to that."
"The company completed the $2.2 billion acquisition of RAPT Therapeutics on March 3, 2026, adding a late-stage food allergy antibody to the pipeline. A $950 million deal for 35Pharma followed days later, targeting a pulmonary hypertension market projected at $18 billion by 2032."
GSK has delivered a 44% stock return over the past year, yet valuation metrics suggest further upside potential. The trailing P/E of 14.6x and PEG ratio of 0.499 indicate the stock trades below sector averages despite strong performance. A 3.27% dividend yield with a 6% increase to 70p for 2026 appeals to income investors. The forward P/E of 21.41x reflects market expectations for significant earnings growth. GSK's growth engine centers on its specialty medicines pipeline, particularly in oncology, HIV, respiratory, and immunology. Recent acquisitions of RAPT Therapeutics and 35Pharma expand capabilities in food allergy and pulmonary hypertension markets. Bepirovirsen, a potential hepatitis B functional cure, received expedited review acceptance in Japan.
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