Drugmaker Gilead (GILD) - Get Report saw a small spike in after hours trading prices following the announcement that it appointed two new members to its executive board.

The company finished May 24 trading at $86.22 but opened with a 2% spike at market's open May 25 at $86.31 per share.

Gilead appointed Kevin Young, who previously served as the company's executive vice president of commercial operations, to the position of chief operating officer, while appointing Dr. Martin Silverstein as its new executive vice president of strategy.

"For the fundamentals, it's unclear whether this has a material effect," analyst Brian Skorney of Robert W. Baird & Co. said in a phone interview.

Instead, the appointments likely will be used as an attempt to remedy Gilead's struggles with its hepatitis C drug.

"This amounts to an acknowledgment that all was not going well with the critical HCV (hepatitis C) franchise," analyst Geoffrey Porges of Leerink Partners wrote in a note.

The company manufactures the drug Sovaldi, which was released in 2014 and according to Skorney, was the largest launch of a drug in biotech history, thanks to the many hepatitis C patients who put off treatment until the drug was released.

Now that the number of patients in need of Sovaldi is flatlining, Gilead is looking for a new path to continue its successful run.

"I think there's a lot of questions and lack of visibility on the long term prospects for the Hepatitis C drug given the revenue," Skorney said. "We're in a decline phase."

Could the appointment of these new executive board members help Gilead?

"This is a position that Gilead has needed to fill for some time, and given Dr. Silverstein's recent responsibilities as Chief Strategy Officer at Anthem (ANTM) - Get Report , he would seem qualified to bring the payer perspective into Gilead's executive deliberations - perhaps more so than they have been in the past," Porges wrote.

Porges added that since Silverstein aided Anthem in the Cigna (CI) - Get Report acquisition, which is still pending antitrust approval, he could likely help Gilead find a similar "bold acquisition solution."

Analysts are mixed, though, as to whether or not these appointments signal a tighter focus on M&A.

"It's a company with a ton of cash, they've been saying for a while that they intend on doing deals," Skorney said. "I don't know that this promotion and rehire is indicative of a change in that strategy."

Instead, he added, the company was already poised to do deals.

"They could probably buy anyone," said Skorney, taking note of the company's excess cash on hand. "Their main areas of focus have been in liver, viral and oncology drugs."

Analyst Alethia Young of Credit Suisse has a similar outlook.

"From our prior conversations with investors, people have wondered if Gilead is positioning towards a deal," Young wrote in a note. "We can't really say that these changes are foreshadowing for a deal but we think Gilead has a strong and experienced bench so we are not concerned from a personnel perspective."

Skorney noted that potential targets for Gilead include liver drugmaker Intercept (ICPT) - Get Report and oncology pharmaceutical company Incyte (INCY) - Get Report .

Based on all of this, Skorney said Gilead would likely be a good investment in the short term, based on its low trading price.

"I do think it is a bit of a hard name for someone who has a five-year investment horizon," Skorney said.

He added, though, that investors who are willing to take a big risk reward bet, Gilead could be a buy. The company is trading at a low price compared to its peers, like Celgene (CELG) - Get Report , for example, however, there is much less clarity on how the stock will perform over the next few years.

Young gave Gilead an outperform rating, with a price target of $120 per share. Porges also gave the company an outperform rating, but no price target.

Gilead could not be reached for immediate comment Wednesday. The company has a $114.59 billion market cap.