Bank of America Corp DE Purchases Shares of 134,036 Madrigal Pharmaceuticals, Inc. $MDGL

Key Points

• Bank of America purchased 134,036 shares of Madrigal Pharmaceuticals in the second quarter, valued at approximately $72 million, giving it a 0.58% stake. Institutional investors collectively own 98.5% of MDGL.
• Analyst sentiment remains broadly positive: 15 analysts rate the stock Buy, with an average “Moderate Buy” rating and a consensus price target of $699.64.
• MDGL shares opened at $531.52, down 0.5%, while Madrigal reported better-than-expected quarterly results, including revenue of $364.25 million and an EPS loss of $1.99 versus the $2.68 estimate.

Bank of America Corp DE purchased a new stake in Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL - Free Report) during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 134,036 shares of the biopharmaceutical company's stock, valued at approximately $71,971,000. Bank of America Corp DE owned about 0.58% of Madrigal Pharmaceuticals at the end of the most recent reporting period.

Other hedge funds have also modified their holdings of the company. Janus Henderson Group PLC raised 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 purchasing an additional 433,804 shares during the last quarter. Jupiter Topco LLC acquired a new stake in Madrigal Pharmaceuticals during the second quarter worth approximately $1,039,650,000. Paulson & CO. Inc. acquired a new stake in Madrigal Pharmaceuticals during the second quarter worth approximately $719,524,000. BlackRock Inc. purchased a new stake in Madrigal Pharmaceuticals in the 2nd quarter worth approximately $644,753,000. Finally, Geode Capital Management LLC raised its holdings in Madrigal Pharmaceuticals by 1.2% in the 4th quarter. Geode Capital Management LLC now owns 451,743 shares of the biopharmaceutical company's stock valued at $263,114,000 after acquiring an additional 5,510 shares during the last quarter. 98.50% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other Madrigal Pharmaceuticals news, General Counsel Shannon T. Kelley sold 664 shares of the stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $514.97, for a total value of $341,940.08. Following the completion of the sale, the general counsel owned 11,474 shares of the company's stock, valued at $5,908,765.78. This trade represents a 5.47% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William Sibold sold 5,221 shares of the stock in a transaction that occurred on Friday, September 11th. The shares were sold at an average price of $542.39, for a total transaction of $2,831,818.19. Following the completion of the sale, the chief executive officer directly owned 197,746 shares of the company's stock, valued at $107,255,452.94. This trade represents a 2.57% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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. Insiders sold 12,247 shares of company stock valued at $6,581,182 in the last ninety days. Company insiders own 17.60% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts have issued reports on MDGL shares. HC Wainwright reissued a "buy" rating on shares of Madrigal Pharmaceuticals in a research note on Friday, July 31st. Barclays dropped their price objective on shares of Madrigal Pharmaceuticals from $964.00 to $962.00 and set an "overweight" rating for the company in a research note on Monday, August 3rd. Wells Fargo & Company started coverage on shares of Madrigal Pharmaceuticals in a research report on Monday, July 27th. They issued an "overweight" rating and a $685.00 target price on the stock. Wolfe Research upgraded shares of Madrigal Pharmaceuticals from a "peer perform" rating to an "outperform" rating and set a $605.00 target price for the company in a report on Tuesday, August 4th. Finally, Bank of America dropped their price target on shares of Madrigal Pharmaceuticals from $550.00 to $542.00 and set a "neutral" rating for the company in a research report on Thursday, June 11th. Fifteen equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $699.64.

Madrigal Pharmaceuticals Trading Down 0.5%

Shares of MDGL stock opened at $531.52 on Friday. The stock has a market cap of $12.28 billion, a price-to-earnings ratio of -41.24 and a beta of -0.98. The company has a quick ratio of 2.94, a current ratio of 3.20 and a debt-to-equity ratio of 0.65. Madrigal Pharmaceuticals, Inc. has a fifty-two week low of $393.61 and a fifty-two week high of $615.00. The firm's 50 day moving average price is $529.42 and its two-hundred day moving average price is $510.90.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last issued its earnings results on Thursday, July 30th. The biopharmaceutical company reported ($1.99) EPS for the quarter, beating analysts' consensus estimates of ($2.68) by $0.69. Madrigal Pharmaceuticals had a negative net margin of 25.32% and a negative return on equity of 56.65%. The business had revenue of $364.25 million for the quarter, compared to the consensus estimate of $352.13 million. During the same quarter last year, the firm posted ($1.90) EPS. The business's revenue for the quarter was up 71.2% compared to the same quarter last year. On average, analysts anticipate that Madrigal Pharmaceuticals, Inc. will post -7.03 EPS for the current year.

Madrigal Pharmaceuticals Profile

Madrigal Pharmaceuticals, Inc NASDAQ: MDGL is a biopharmaceutical company focused on developing and commercializing therapies for cardiometabolic diseases, particularly nonalcoholic steatohepatitis, now commonly referred to as metabolic dysfunction-associated steatohepatitis (MASH).

The company's lead product is Rezdiffra (resmetirom), an oral, thyroid hormone receptor beta agonist designed to target underlying liver disease. In 2024, the U.S. Food and Drug Administration approved Rezdiffra for use with diet and exercise to treat adults with noncirrhotic MASH and moderate to advanced liver fibrosis.

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