Madrigal Pharmaceuticals (NASDAQ:MDGL) Given New $709.00 Price Target at Truist Financial

Key Points

• Truist Financial raised its price target on Madrigal Pharmaceuticals from $640 to $709 and kept a buy rating, implying about 38% upside from the prior close.
• Analyst sentiment is broadly positive overall, with the stock carrying a Moderate Buy consensus and an average target price of $687 across market analysts.
• Madrigal recently reported better-than-expected quarterly results, including EPS of ($3.25) versus estimates of ($3.61) and revenue of $311.34 million, while revenue jumped 126.8% year over year.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) had its price objective boosted by research analysts at Truist Financial from $640.00 to $709.00 in a report released on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the biopharmaceutical company's stock. Truist Financial's price objective points to a potential upside of 38.23% from the stock's previous close.

A number of other equities research analysts have also recently commented on MDGL. Barclays started coverage on shares of Madrigal Pharmaceuticals in a research note on Tuesday, January 27th. They set an "overweight" rating and a $964.00 target price on the stock. Citigroup restated an "outperform" rating on shares of Madrigal Pharmaceuticals in a research note on Tuesday, January 20th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Madrigal Pharmaceuticals in a report on Tuesday, April 21st. The Goldman Sachs Group reaffirmed a "buy" rating and set a $571.00 price objective on shares of Madrigal Pharmaceuticals in a report on Wednesday, January 14th. Finally, Canaccord Genuity Group cut their price objective on shares of Madrigal Pharmaceuticals from $587.00 to $578.00 and set a "buy" rating for the company in a report on Thursday, May 7th. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $687.00.

Madrigal Pharmaceuticals Stock Performance

Shares of NASDAQ:MDGL traded up $2.66 during trading on Wednesday, hitting $512.92. The company's stock had a trading volume of 72,890 shares, compared to its average volume of 346,145. The company has a 50-day moving average of $492.50 and a 200-day moving average of $508.78. Madrigal Pharmaceuticals has a 12 month low of $265.00 and a 12 month high of $615.00. The company has a debt-to-equity ratio of 0.63, a current ratio of 3.50 and a quick ratio of 3.16. The firm has a market cap of $11.83 billion, a price-to-earnings ratio of -40.09 and a beta of -1.04.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The biopharmaceutical company reported ($3.25) earnings per share for the quarter, topping the consensus estimate of ($3.61) by $0.36. Madrigal Pharmaceuticals had a negative net margin of 27.32% and a negative return on equity of 50.15%. The firm had revenue of $311.34 million for the quarter, compared to analysts' expectations of $301.05 million. During the same quarter in the prior year, the business earned ($3.32) EPS. The business's quarterly revenue was up 126.8% on a year-over-year basis. On average, sell-side analysts expect that Madrigal Pharmaceuticals will post -6.49 earnings per share for the current year.

Insider Activity at Madrigal Pharmaceuticals

In other Madrigal Pharmaceuticals news, insider Carole Huntsman sold 419 shares of Madrigal Pharmaceuticals stock in a transaction on Friday, March 6th. The shares were sold at an average price of $431.94, for a total transaction of $180,982.86. Following the completion of the transaction, the insider directly owned 12,692 shares of the company's stock, valued at $5,482,182.48. The trade was a 3.20% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO William John Sibold sold 1,663 shares of Madrigal Pharmaceuticals stock in a transaction on Friday, March 6th. The stock was sold at an average price of $431.94, for a total transaction of $718,316.22. Following the transaction, the chief executive officer directly owned 161,829 shares of the company's stock, valued at $69,900,418.26. The trade was a 1.02% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 6,098 shares of company stock valued at $2,626,254 over the last three months. Corporate insiders own 17.60% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. PNC Financial Services Group Inc. boosted its stake in Madrigal Pharmaceuticals by 209.0% during the first quarter. PNC Financial Services Group Inc. now owns 856 shares of the biopharmaceutical company's stock worth $448,000 after buying an additional 579 shares during the period. Harbor Advisors LLC purchased a new position in Madrigal Pharmaceuticals during the first quarter worth $262,000. WCM Investment Management LLC boosted its stake in Madrigal Pharmaceuticals by 36.5% during the first quarter. WCM Investment Management LLC now owns 23,560 shares of the biopharmaceutical company's stock worth $11,906,000 after buying an additional 6,306 shares during the period. AlphaCentric Advisors LLC purchased a new position in Madrigal Pharmaceuticals during the first quarter worth $93,000. Finally, KBC Group NV boosted its stake in Madrigal Pharmaceuticals by 16.9% during the first quarter. KBC Group NV now owns 484 shares of the biopharmaceutical company's stock worth $253,000 after buying an additional 70 shares during the period. 98.50% of the stock is owned by hedge funds and other institutional investors.

About Madrigal Pharmaceuticals

Madrigal Pharmaceuticals, Inc is a clinical-stage biopharmaceutical company focused on the development of innovative therapies for cardiovascular, metabolic and liver diseases. The company's pipeline centers on novel, liver-directed agents designed to address significant unmet medical needs, with an emphasis on nonalcoholic steatohepatitis (NASH) and related metabolic disorders.

The lead product candidate, resmetirom (MGL-3196), is an orally administered, selective thyroid hormone receptor-β agonist in Phase 3 development for the treatment of NASH.

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