** Shares of Gilead Sciences GILD.O fall ~3% to $107 premarket

** U.S. health department is reviewing CDC's HIV prevention division for potential overlap with other agencies and might be at risk of a shut down

** Brokerage J.P. Morgan says CDC funding cuts are "not a positive" for GILD, but will not impact access to PrEP treatments, as the CDC is "not responsible for providing/reimbursing PrEP drugs, but rather works on PrEP research and education"

** PrEP are medications that prevent HIV infection

** Brokerage Jefferies does not expect that the potential CDC budget cuts of $1.3 bln will have a major impact on the closely-watched launch of GILD's long-acting PrEP medication lenacapavir

** Brokerage BMO Capital says cuts would only "incrementally slow revenue for some HIV treatments" for GILD and to a lesser degree Merck MRK.N

** GILD's HIV drugs brough in revenues of $19.6 billion last year, accounting for about 68% of total sales

** GILD gained 50.5%, MRK down 22% in the last 12 months

(Reporting by Kamal Choudhury in Bengaluru)

((Kamal.Choudhury@thomsonreuters.com;))