Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL) Stock Has Average Target Price of $699.20 According to Analysts

Key Points

• Analysts maintain a Moderate Buy consensus on Madrigal Pharmaceuticals, with 15 buys, two holds and one sell among 18 analysts. The average 12-month price target is $699.20, well above the reported $447.09 share price.
• Madrigal reported quarterly revenue of $364.25 million, up 71.2% year over year, and an adjusted loss of $1.99 per share that beat analysts’ expectations of a $2.68 loss.
• Insiders sold approximately $6.6 million of stock over the past 90 days, while institutional investors own a substantial 98.5% of shares. The company’s lead product is Rezdiffra, a treatment for metabolic dysfunction-associated steatohepatitis (MASH).

Shares of Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL - Get Free Report) have received an average rating of "Moderate Buy" from the eighteen ratings firms that are currently covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, two have issued a hold recommendation and fifteen have issued a buy recommendation on the company. The average 12-month price objective among brokers that have issued a report on the stock in the last year is $699.20.

A number of equities research analysts have weighed in on MDGL shares. The Goldman Sachs Group initiated coverage on Madrigal Pharmaceuticals in a report on Thursday, September 24th. They issued a "buy" rating and a $704.00 target price for the company. Canaccord Genuity Group boosted their price target on Madrigal Pharmaceuticals from $578.00 to $587.00 and gave the company a "buy" rating in a research note on Wednesday, July 29th. HC Wainwright restated a "buy" rating on shares of Madrigal Pharmaceuticals in a report on Friday, July 31st. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Madrigal Pharmaceuticals in a research report on Thursday. Finally, Citigroup began coverage on shares of Madrigal Pharmaceuticals in a research report on Wednesday, September 23rd. They set a "buy" rating and a $725.00 price objective for the company.

Insider Buying and Selling

In other Madrigal Pharmaceuticals news, General Counsel Shannon T. Kelley sold 664 shares of the company's stock in a transaction on Monday, August 17th. The shares were sold at an average price of $514.97, for a total transaction of $341,940.08. Following the transaction, the general counsel owned 11,474 shares in the company, valued at approximately $5,908,765.78. This represents a 5.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William Sibold sold 6,362 shares of the firm's stock in a transaction on Wednesday, September 9th. The shares were sold at an average price of $535.59, for a total transaction of $3,407,423.58. Following the completion of the transaction, the chief executive officer directly owned 202,967 shares in the company, valued at $108,707,095.53. This trade represents a 3.04% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 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. Over the last ninety days, insiders have sold 12,247 shares of company stock worth $6,581,182. 17.60% of the stock is owned by company insiders.

Institutional Investors Weigh In On Madrigal Pharmaceuticals

Several hedge funds and other institutional investors have recently made changes to their positions in MDGL. Concurrent Investment Advisors LLC lifted its position in Madrigal Pharmaceuticals by 2.0% in the second quarter. Concurrent Investment Advisors LLC now owns 1,034 shares of the biopharmaceutical company's stock valued at $555,000 after purchasing an additional 20 shares during the last quarter. GAMMA Investing LLC grew its holdings in shares of Madrigal Pharmaceuticals by 35.4% in the second quarter. GAMMA Investing LLC now owns 172 shares of the biopharmaceutical company's stock worth $92,000 after purchasing an additional 45 shares during the last quarter. Persistent Asset Partners Ltd bought a new position in shares of Madrigal Pharmaceuticals in the second quarter worth approximately $29,000. Arizona State Retirement System grew its holdings in shares of Madrigal Pharmaceuticals by 1.5% in the second quarter. Arizona State Retirement System now owns 4,114 shares of the biopharmaceutical company's stock worth $2,209,000 after purchasing an additional 60 shares during the last quarter. Finally, Global Retirement Partners LLC purchased a new position in shares of Madrigal Pharmaceuticals in the second quarter worth $34,000. 98.50% of the stock is owned by institutional investors.

Madrigal Pharmaceuticals Stock Performance

MDGL stock opened at $447.09 on Tuesday. The stock has a 50-day moving average price of $513.70 and a 200-day moving average price of $516.55. Madrigal Pharmaceuticals has a 1-year low of $393.61 and a 1-year high of $615.00. 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 firm has a market cap of $10.33 billion, a PE ratio of -34.69 and a beta of -1.04.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last announced its quarterly earnings data 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. Madrigal Pharmaceuticals had a negative return on equity of 56.65% and a negative net margin of 25.32%. The company had revenue of $364.25 million for the quarter, compared to the consensus estimate of $352.13 million. During the same period in the previous year, the business earned ($1.90) EPS. The firm's revenue was up 71.2% compared to the same quarter last year. As a group, equities research analysts expect that Madrigal Pharmaceuticals will post -7.03 earnings per share for the current year.

Madrigal Pharmaceuticals Company Profile

Madrigal Pharmaceuticals, Inc is a biopharmaceutical company focused on developing and commercializing medicines for nonalcoholic steatohepatitis, now known as metabolic dysfunction-associated steatohepatitis (MASH), and other chronic liver diseases. The company is headquartered in West Conshohocken, Pennsylvania.

Madrigal's lead product is Rezdiffra (resmetirom), an orally administered thyroid hormone receptor beta agonist designed to target key drivers of liver disease, including hepatic fat accumulation and fibrosis.

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