William Blair Investment Management LLC Trims Stock Holdings in Madrigal Pharmaceuticals, Inc. $MDGL

Key Points

• William Blair Investment Management LLC reduced its stake in Madrigal Pharmaceuticals by 0.8%, holding 350,289 shares after selling 2,866 shares during the 2nd quarter, valued at approximately $106 million.
• Madrigal Pharmaceuticals reported substantial growth in revenue, achieving $212.80 million in the last quarter, a 1357.5% increase from the same quarter last year, while beating earnings estimates.
• Several research firms have raised their target prices for Madrigal Pharmaceuticals, with Canaccord Genuity increasing theirs from $428.00 to $526.00, affirming a 'buy' rating.

William Blair Investment Management LLC reduced its stake in Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL - Free Report) by 0.8% during the 2nd quarter, according to the company in its most recent filing with the SEC. The fund owned 350,289 shares of the biopharmaceutical company's stock after selling 2,866 shares during the quarter. William Blair Investment Management LLC owned 1.58% of Madrigal Pharmaceuticals worth $106,011,000 at the end of the most recent reporting period.

Other hedge funds have also recently bought and sold shares of the company. Bayforest Capital Ltd purchased a new position in Madrigal Pharmaceuticals in the 2nd quarter valued at approximately $638,000. TD Asset Management Inc boosted its stake in Madrigal Pharmaceuticals by 4.5% in the second quarter. TD Asset Management Inc now owns 23,240 shares of the biopharmaceutical company's stock valued at $7,033,000 after acquiring an additional 1,000 shares in the last quarter. Sivik Global Healthcare LLC purchased a new position in Madrigal Pharmaceuticals during the 2nd quarter worth approximately $1,513,000. KLP Kapitalforvaltning AS grew its position in shares of Madrigal Pharmaceuticals by 15.4% during the second quarter. KLP Kapitalforvaltning AS now owns 3,000 shares of the biopharmaceutical company's stock worth $908,000 after acquiring an additional 400 shares during the last quarter. Finally, Knights of Columbus Asset Advisors LLC grew its position in Madrigal Pharmaceuticals by 19.0% during the 2nd quarter. Knights of Columbus Asset Advisors LLC now owns 4,603 shares of the biopharmaceutical company's stock worth $1,393,000 after purchasing an additional 736 shares during the last quarter. Institutional investors and hedge funds own 98.50% of the company's stock.

Madrigal Pharmaceuticals Stock Performance

Shares of NASDAQ:MDGL opened at $438.90 on Friday. The business's 50-day simple moving average is $424.54 and its 200 day simple moving average is $344.32. Madrigal Pharmaceuticals, Inc. has a one year low of $200.63 and a one year high of $463.63. 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 company has a market cap of $9.74 billion, a P/E ratio of -34.16 and a beta of -1.02.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last announced its earnings results 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. The business had revenue of $212.80 million during the quarter, compared to the consensus estimate of $158.94 million. Madrigal Pharmaceuticals had a negative net margin of 54.68% and a negative return on equity of 38.38%. The business's quarterly revenue was up 1357.5% compared to the same quarter last year. During the same period in the prior year, the firm earned ($7.10) earnings per share. On average, sell-side analysts forecast that Madrigal Pharmaceuticals, Inc. will post -23.47 earnings per share for the current fiscal year.

Insider Activity at Madrigal Pharmaceuticals

In related news, Director Kenneth Bate sold 10,000 shares of the business's stock in a transaction dated 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 completion of the sale, the director directly owned 2,627 shares of the company's stock, valued at $959,380.40. The trade was a 79.20% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO William John Sibold sold 7,616 shares of the business's stock in a transaction that occurred on Thursday, August 21st. The shares were sold at an average price of $400.18, for a total value of $3,047,770.88. Following the completion of the sale, the chief executive officer owned 109,753 shares of the company's stock, valued at $43,920,955.54. This trade represents a 6.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders bought 165,683 shares of company stock worth $61,921,142 and sold 248,642 shares worth $91,388,103. Corporate insiders own 21.50% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have recently issued reports on MDGL. Canaccord Genuity Group boosted their target price on Madrigal Pharmaceuticals from $428.00 to $526.00 and gave the company a "buy" rating in a report on Friday, September 12th. JMP Securities increased their target price on shares of Madrigal Pharmaceuticals from $483.00 to $485.00 and gave the company a "market outperform" rating in a report on Wednesday, August 20th. B. Riley lifted their price target on Madrigal Pharmaceuticals from $460.00 to $560.00 and gave the stock a "buy" rating in a research note on Monday, September 29th. Cowen reaffirmed a "buy" rating on shares of Madrigal Pharmaceuticals in a research note on Tuesday, August 26th. Finally, UBS Group restated a "buy" rating and issued a $523.00 target price (up from $458.00) on shares of Madrigal Pharmaceuticals in a report on Tuesday, August 12th. Eleven research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $532.70.

About Madrigal Pharmaceuticals

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.

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