Madrigal Pharmaceuticals (NASDAQ:MDGL) Posts Quarterly Earnings Results, Beats Estimates By $1.58 EPS

Key Points

• Madrigal Pharmaceuticals reported a quarterly earnings loss of ($1.90) EPS, significantly outperforming analysts' expectations of ($3.64) by $1.74, with a revenue increase of 1357.5% year-over-year.
• The company's stock price rose to $337.97 during trading, with insider sales decreasing their ownership percentage and analysts generally maintaining a positive outlook, reflected in a consensus rating of "Moderate Buy."
• UBS Group and other analyst firms have increased their price targets for Madrigal Pharmaceuticals, with ranges between $420.00 and $458.00, indicating strong growth expectations for the company's lead product in development for NASH.

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

Madrigal Pharmaceuticals Stock Up 1.0%

Shares of NASDAQ:MDGL traded up $3.44 on Friday, reaching $345.73. The company had a trading volume of 353,096 shares, compared to its average volume of 441,104. Madrigal Pharmaceuticals has a twelve month low of $200.63 and a twelve month high of $377.46. The stock has a 50-day moving average price of $301.66 and a 200 day moving average price of $313.02. The stock has a market capitalization of $7.68 billion, a P/E ratio of -26.91 and a beta of -1.02. The company has a quick ratio of 5.58, a current ratio of 5.11 and a debt-to-equity ratio of 0.17.

Analyst Upgrades and Downgrades

MDGL has been the topic of a number of recent research reports. JMP Securities restated a "market outperform" rating and issued a $443.00 target price on shares of Madrigal Pharmaceuticals in a research note on Thursday, April 24th. Wall Street Zen upgraded Madrigal Pharmaceuticals from a "sell" rating to a "hold" rating in a research note on Monday, May 5th. B. Riley restated a "buy" rating and issued a $460.00 target price (up previously from $422.00) on shares of Madrigal Pharmaceuticals in a research note on Friday, May 2nd. UBS Group boosted their target price on Madrigal Pharmaceuticals from $441.00 to $458.00 and gave the company a "buy" rating in a research note on Friday, May 2nd. Finally, Canaccord Genuity Group boosted their target price on Madrigal Pharmaceuticals from $420.00 to $428.00 and gave the company a "buy" rating in a research note on Wednesday. Two investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company's stock. According to MarketBeat.com, Madrigal Pharmaceuticals has a consensus rating of "Moderate Buy" and an average target price of $430.43.

Insider Transactions at Madrigal Pharmaceuticals

In other Madrigal Pharmaceuticals news, Director Paul A. Friedman sold 1,400 shares of the business's stock in a transaction dated Friday, July 18th. The stock was sold at an average price of $350.03, for a total value of $490,042.00. Following the completion of the sale, the director owned 187,164 shares of the company's stock, valued at $65,513,014.92. The trade was a 0.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Rebecca Taub sold 1,000 shares of the business's stock in a transaction dated Friday, July 18th. The stock was sold at an average price of $350.00, for a total value of $350,000.00. Following the transaction, the director directly owned 461,044 shares of the company's stock, valued at $161,365,400. This represents a 0.22% decrease in their position. The disclosure for this sale can be found here. Insiders sold 60,377 shares of company stock valued at $21,316,969 in the last ninety days. Insiders own 21.50% of the company's stock.

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.