So, Gilead Sciences Gilead Sciences (GILD) is writing a big check. The pharmaceutical giant agreed to acquire Arcellx Inc. (ACLX) for $7.8 billion, or $115 per share in cash. The deal also includes a $5-per-share contingent value right, which is basically a little extra something for shareholders if certain future milestones are hit.

Why the nearly $8 billion bet? It's all about cancer therapy. The acquisition is designed to strengthen Gilead's oncology portfolio, with a particular focus on a treatment called anito-cel. That's a CAR T-cell therapy for multiple myeloma that has shown promising results in clinical trials. Gilead says buying Arcellx will help get this therapy to patients faster.

Now, let's talk about the stock. When the news broke, Arcellx shares were trading around $113.82. That's pretty close to the $115 offer price, which makes sense—the market is basically saying the deal is likely to go through. The stock's 52-week high is $114.26, so it's knocking on that door.

If you look at the technical picture right before the announcement, things were a bit mixed. The stock was trading below its 20-day and 100-day simple moving averages, which typically suggests a short-term bearish trend. The Relative Strength Index (RSI) was sitting right at 50, which is the definition of neutral—not overbought, not oversold. But the MACD indicator was below its signal line, hinting at some bearish pressure. In short: the momentum wasn't clearly pointing in one direction. Key resistance was seen at $115.00 (hello, deal price) and support around $100.00.

What are the pros saying? The analyst consensus rating was a Buy with an average price target of $112.47. But here's the interesting part: right around the time the deal was announced, several analysts changed their tune. Stifel and Truist Securities both downgraded the stock to Hold, with Stifel setting a price target of $115 and Truist at $120. Evercore ISI Group also moved to an In-Line rating, keeping its target at $115. When a buyout is announced at a specific price, analysts often downgrade because the big, easy move is theoretically over. The stock is now expected to hover near the takeover price until the deal closes.

So, Gilead is making a major play in oncology, Arcellx shareholders are getting a premium, and the stock charts are reflecting a market that's largely priced in the news. It's a classic biotech acquisition story: find the promising therapy, write the check, and integrate it into the bigger pipeline.