Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL) Receives Consensus Rating of “Moderate Buy” from Brokerages

Shares of Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL) have been assigned an average recommendation of “Moderate Buy” from the eighteen brokerages that are covering the company, Marketbeat Ratings reports. One analyst has rated the stock with a sell rating, two have assigned a hold rating and fifteen have issued a buy rating on the company. The average 12-month price target among analysts that have covered the stock in the last year is $710.20.

Several research firms recently commented on MDGL. Wells Fargo & Company assumed coverage on shares of Madrigal Pharmaceuticals in a research report on Monday, July 27th. They set an “overweight” rating and a $685.00 price target on the stock. Wolfe Research upgraded Madrigal Pharmaceuticals from a “peer perform” rating to an “outperform” rating and set a $605.00 target price on the stock in a research report on Tuesday, August 4th. HC Wainwright reaffirmed a “buy” rating on shares of Madrigal Pharmaceuticals in a report on Friday, July 31st. UBS Group reiterated a “buy” rating on shares of Madrigal Pharmaceuticals in a research report on Friday, July 31st. Finally, Canaccord Genuity Group boosted their price objective on Madrigal Pharmaceuticals from $578.00 to $587.00 and gave the company a “buy” rating in a research report on Wednesday, July 29th.

Insider Buying and Selling

In related news, CEO William Sibold sold 6,362 shares of Madrigal Pharmaceuticals stock in a transaction on Wednesday, September 9th. The shares were sold at an average price of $535.59, for a total value of $3,407,423.58. Following the sale, the chief executive officer owned 202,967 shares of the company’s stock, valued at approximately $108,707,095.53. This trade represents a 3.04% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Shannon Kelley sold 664 shares of the business’s stock in a transaction on Monday, August 17th. The stock was sold at an average price of $514.97, for a total transaction of $341,940.08. Following the completion of the sale, the general counsel directly owned 11,474 shares of the company’s stock, valued at approximately $5,908,765.78. The trade was a 5.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 12,247 shares of company stock worth $6,581,182 in the last quarter. Insiders own 17.60% of the company’s stock.

Institutional Trading of Madrigal Pharmaceuticals

A number of institutional investors and hedge funds have recently modified their holdings of MDGL. Janus Henderson Group PLC lifted its stake in Madrigal Pharmaceuticals by 27.4% in the 1st quarter. Janus Henderson Group PLC now owns 2,018,647 shares of the biopharmaceutical company’s stock valued at $1,051,727,000 after buying an additional 433,804 shares in the last quarter. Jupiter Topco LLC purchased a new stake in Madrigal Pharmaceuticals during the 2nd quarter worth approximately $1,039,650,000. Paulson & CO. Inc. acquired a new position in shares of Madrigal Pharmaceuticals during the second quarter valued at approximately $719,524,000. BlackRock Inc. acquired a new position in shares of Madrigal Pharmaceuticals during the second quarter valued at approximately $644,753,000. Finally, Wellington Management Group LLP lifted its position in shares of Madrigal Pharmaceuticals by 18.8% in the second quarter. Wellington Management Group LLP now owns 825,714 shares of the biopharmaceutical company’s stock valued at $443,367,000 after acquiring an additional 130,756 shares in the last quarter. Hedge funds and other institutional investors own 98.50% of the company’s stock.

Madrigal Pharmaceuticals Stock Down 1.5%

Shares of MDGL stock opened at $509.44 on Friday. The stock has a 50 day moving average of $525.63 and a 200 day moving average of $515.51. The company has a current ratio of 3.20, a quick ratio of 2.94 and a debt-to-equity ratio of 0.65. The stock has a market cap of $11.77 billion, a P/E ratio of -39.52 and a beta of -0.98. Madrigal Pharmaceuticals has a twelve month low of $393.61 and a twelve month high of $615.00.

Madrigal Pharmaceuticals (NASDAQ:MDGL) last announced its quarterly earnings results on Thursday, July 30th. The biopharmaceutical company reported ($1.99) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($2.68) by $0.69. The company had revenue of $364.25 million during the quarter, compared to the consensus estimate of $352.13 million. Madrigal Pharmaceuticals had a negative return on equity of 56.65% and a negative net margin of 25.32%.Madrigal Pharmaceuticals’s revenue for the quarter was up 71.2% on a year-over-year basis. During the same period in the previous year, the company posted ($1.90) earnings per share. As a group, sell-side analysts expect that Madrigal Pharmaceuticals will post -7.03 EPS for the current year.

About Madrigal Pharmaceuticals

Madrigal Pharmaceuticals, Inc is a biopharmaceutical company focused on developing and commercializing therapies for chronic liver diseases. The company’s primary focus is metabolic dysfunction-associated steatohepatitis (MASH), a progressive form of fatty liver disease that can lead to significant liver fibrosis, cirrhosis and other complications.

Madrigal’s lead product, Rezdiffra (resmetirom), is an oral thyroid hormone receptor beta agonist. In 2024, the U.S. Food and Drug Administration approved Rezdiffra for use with diet and exercise to treat adults with noncirrhotic MASH accompanied by moderate to advanced liver fibrosis.