1 Dividend-Paying Biotech Stock to Buy Hand Over Fist in November

Artificial intelligence (AI) stocks are dominating headlines and attracting much of investors' attention. There is a good reason for that. Some AI companies could produce life-changing returns if infrastructure spending continues to grow. However, there are also attractive investment opportunities elsewhere, particularly for income-seekers, including in the biotech industry. Let's consider one biotech stock long-term dividend investors should seriously consider buying in November: Gilead Sciences (NASDAQ: GILD).

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Another strong quarter

Gilead Sciences has performed well this year. The company's shares are up 39%, while the S&P 500 has climbed a comparatively unimpressive 11%. The biotech leader owes its strong showing in 2026, at least so far, partly to excellent financial results. And the company's third-quarter update added even more fuel to that particular fire.

In the third quarter, Gilead Sciences' revenue increased by 7% year over year to $8.3 billion. Let's remember that Gilead Sciences is still dealing with declining sales of Veklury, a coronavirus medicine. Demand for COVID-19 products -- be it vaccines or therapies -- has decreased substantially in recent years. Gilead Sciences' product sales excluding Veklury grew 16% year over year.

The company continues to lean on its core therapeutic area, HIV, to do most of the heavy lifting. HIV product sales came in at $6.2 billion, up 18% year over year, largely driven by Biktarvy and Descovy for PrEP, the company's most famous HIV drugs. Gilead Sciences' liver disease portfolio also performed well, posting revenue of $927 million, up 13% year over year.

These two segments performed well enough to offset the 18% year-over-year decline in cell therapy sales and the 69% year-over-year decline in Veklury's revenue. On the bottom line, Gilead Sciences posted non-GAAP earnings per share of $2.55, up 3% compared to the year-ago period. Overall, it was a solid quarter for Gilead Sciences, sending the stock higher post-earnings.

An expanding lineup will help boost sales

Gilead Sciences has earned several approvals this year that should help improve its financial results over the medium term. For instance, the company earned approval for Bixlenvo, an HIV regimen. One of Bixlenvo's advantages is its convenience.

It combines two existing HIV therapies into a single oral drug that can be taken once daily -- whereas eligible patients would have previously had to take multiple pills a day. Also, in liver disease, Gilead Sciences earned approval for Hepcludex, which treats chronic hepatitis delta virus infection.

Finally, the company earned a label expansion for Trodelvy in first-line metastatic triple-negative breast cancer. The medicine was already indicated for previously treated breast cancer, so this meaningfully expands its addressable market. These three regulatory milestones should collectively generate meaningful revenue for Gilead Sciences. And the company should continue expanding its approved portfolio. Gilead Sciences makes most of its revenue from its HIV franchise, but the company has been looking to make headway in oncology for years.

It has had somewhat mixed success so far. But things could improve over the medium term. Gilead Sciences has a vast oncology pipeline, with more active programs than it has in its core HIV business. Clinical wins over the next few years should enable the company to launch new products and secure additional label expansions, thereby boosting revenue growth. Gilead Sciences' HIV business will continue its march forward.

The company's most important medicine, Biktarvy, which has a leading market share, won't face generics in the U.S. at least until 2036. So, the company's prospects look bright, and the stock also appears reasonably valued. Gilead Sciences trades at 16.8x forward earnings, versus an average of 19.3x for healthcare stocks. Lastly, Gilead Sciences is an excellent dividend stock. The company offers a forward yield of 2%, above the S&P 500's average of 1.1%, and it has increased its payouts by 74.5% over the past decade. In short, Gilead Sciences is a top income stock to buy this month and hold onto for a while.

Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Gilead Sciences. The Motley Fool has a disclosure policy.