B. Riley Brokers Boost Earnings Estimates for MDGL

Key Points

• B. Riley has raised its Q3 2025 earnings estimate for Madrigal Pharmaceuticals (NASDAQ: MDGL) from ($2.22) to ($0.81) per share, maintaining a "Buy" rating with a price target of $460.00.
• The company recently reported a quarterly earnings result of ($1.90) per share, surpassing analysts' expectations and showing significant revenue growth of 1357.5% year-over-year.
• Insider transactions indicate a significant stock sell-off, with directors selling a combined total of over $106 million worth of shares in recent months.

Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL - Free Report) - Research analysts at B. Riley raised their Q3 2025 earnings per share (EPS) estimates for shares of Madrigal Pharmaceuticals in a research report issued on Monday, August 18th. B. Riley analyst M. Mamtani now forecasts that the biopharmaceutical company will post earnings of ($0.81) per share for the quarter, up from their previous forecast of ($2.22). B. Riley currently has a "Buy" rating and a $460.00 target price on the stock. The consensus estimate for Madrigal Pharmaceuticals' current full-year earnings is ($23.47) per share. B. Riley also issued estimates for Madrigal Pharmaceuticals' Q4 2025 earnings at $0.17 EPS, FY2025 earnings at ($5.76) EPS, FY2026 earnings at $10.72 EPS, FY2027 earnings at $19.38 EPS and FY2028 earnings at $39.84 EPS.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The biopharmaceutical company reported ($1.90) earnings per share for the quarter, beating the consensus estimate of ($3.48) by $1.58. Madrigal Pharmaceuticals had a negative return on equity of 38.38% and a negative net margin of 54.68%.The business had revenue of $212.80 million for the quarter, compared to analysts' expectations of $158.94 million. During the same quarter in the previous year, the business posted ($7.10) EPS. Madrigal Pharmaceuticals's revenue for the quarter was up 1357.5% on a year-over-year basis.

A number of other research analysts also recently weighed in on MDGL. Wall Street Zen raised shares of Madrigal Pharmaceuticals from a "sell" rating to a "hold" rating in a research report on Monday, May 5th. UBS Group reissued a "buy" rating and set a $523.00 price target (up from $458.00) on shares of Madrigal Pharmaceuticals in a research report on Tuesday, August 12th. JMP Securities boosted their price target on Madrigal Pharmaceuticals from $483.00 to $485.00 and gave the stock a "market outperform" rating in a research report on Wednesday. Finally, Canaccord Genuity Group increased their price objective on Madrigal Pharmaceuticals from $420.00 to $428.00 and gave the company a "buy" rating in a report on Wednesday, August 6th. Seven research analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $445.71.

Madrigal Pharmaceuticals Stock Up 1.9%

Madrigal Pharmaceuticals stock traded up $7.59 during midday trading on Wednesday, reaching $414.68. The stock had a trading volume of 465,908 shares, compared to its average volume of 461,278. The firm's fifty day simple moving average is $321.05 and its 200-day simple moving average is $316.75. The company has a debt-to-equity ratio of 0.17, a quick ratio of 4.78 and a current ratio of 5.11. The stock has a market capitalization of $9.21 billion, a P/E ratio of -32.27 and a beta of -1.02. Madrigal Pharmaceuticals has a 1-year low of $200.63 and a 1-year high of $419.99.

Institutional Trading of Madrigal Pharmaceuticals

Several institutional investors have recently added to or reduced their stakes in the company. Paulson & CO. Inc. boosted its stake in Madrigal Pharmaceuticals by 2.8% in the 1st quarter. Paulson & CO. Inc. now owns 2,099,523 shares of the biopharmaceutical company's stock valued at $695,425,000 after purchasing an additional 57,523 shares during the period. Adage Capital Partners GP L.L.C. boosted its stake in Madrigal Pharmaceuticals by 96.3% in the 2nd quarter. Adage Capital Partners GP L.L.C. now owns 376,163 shares of the biopharmaceutical company's stock valued at $113,842,000 after purchasing an additional 184,554 shares during the period. Woodline Partners LP lifted its position in shares of Madrigal Pharmaceuticals by 2.7% during the 1st quarter. Woodline Partners LP now owns 317,433 shares of the biopharmaceutical company's stock valued at $105,143,000 after acquiring an additional 8,316 shares during the period. Bank of America Corp DE lifted its position in shares of Madrigal Pharmaceuticals by 12.7% during the 2nd quarter. Bank of America Corp DE now owns 277,221 shares of the biopharmaceutical company's stock valued at $83,898,000 after acquiring an additional 31,260 shares during the period. Finally, Hood River Capital Management LLC lifted its position in shares of Madrigal Pharmaceuticals by 0.3% during the 2nd quarter. Hood River Capital Management LLC now owns 244,738 shares of the biopharmaceutical company's stock valued at $74,068,000 after acquiring an additional 744 shares during the period. 98.50% of the stock is currently owned by institutional investors.

Insider Buying and Selling at Madrigal Pharmaceuticals

In other Madrigal Pharmaceuticals news, Director Bros. Advisors Lp Baker bought 68,618 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The shares were acquired at an average cost of $364.04 per share, with a total value of $24,979,696.72. Following the acquisition, the director owned 1,859,091 shares of the company's stock, valued at $676,783,487.64. The trade was a 3.83% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Kenneth Bate sold 10,000 shares of the business's stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $365.20, for a total value of $3,652,000.00. Following the transaction, the director directly owned 2,627 shares in the company, valued at $959,380.40. The trade was a 79.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders acquired 165,683 shares of company stock worth $61,921,142 and sold 301,740 shares worth $109,461,331. 21.50% of the stock is owned by insiders.

Madrigal Pharmaceuticals Company Profile

Madrigal Pharmaceuticals, Inc, a clinical-stage biopharmaceutical company, focuses on the development of therapeutics for the treatment of non-alcoholic steatohepatitis (NASH) in the United States. Its lead product candidate is resmetirom, a liver-directed thyroid hormone receptor beta agonist, which is in Phase 3 clinical trials for treating NASH.