Madrigal Pharmaceuticals’ (MDGL) “Buy” Rating Reiterated at Truist Financial

Truist Financial reaffirmed their buy rating on shares of Madrigal Pharmaceuticals (NASDAQ:MDGL) in a report issued on Wednesday,Benzinga reports. Truist Financial currently has a $743.00 price target on the biopharmaceutical company’s stock, up from their prior price target of $709.00.

MDGL has been the subject of a number of other research reports. Canaccord Genuity Group lifted their price objective on Madrigal Pharmaceuticals from $578.00 to $587.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. The Goldman Sachs Group assumed coverage on Madrigal Pharmaceuticals in a report on Thursday, September 24th. They issued a “buy” rating and a $704.00 price objective for the company. Wolfe Research upgraded Madrigal Pharmaceuticals from a “peer perform” rating to an “outperform” rating and set a $605.00 target price on the stock in a research note on Tuesday, August 4th. Wells Fargo & Company initiated coverage on Madrigal Pharmaceuticals in a report on Monday, July 27th. They set an “overweight” rating and a $685.00 target price on the stock. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Madrigal Pharmaceuticals in a research report on Thursday, October 15th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $706.87.

Madrigal Pharmaceuticals Stock Performance

Shares of NASDAQ:MDGL traded down $0.47 during midday trading on Wednesday, reaching $399.63. The company’s stock had a trading volume of 1,087,445 shares, compared to its average volume of 313,609. The firm has a market capitalization of $9.23 billion, a PE ratio of -66.83 and a beta of -0.98. Madrigal Pharmaceuticals has a twelve month low of $353.54 and a twelve month high of $615.00. The stock has a fifty day moving average of $486.74 and a 200 day moving average of $497.41. 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 (NASDAQ:MDGL) last posted its earnings results on Tuesday, November 3rd. The biopharmaceutical company reported $1.83 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($1.09) by $2.92. The company had revenue of $431.27 million during the quarter, compared to the consensus estimate of $404.17 million. Madrigal Pharmaceuticals had a negative net margin of 25.32% and a negative return on equity of 56.65%. During the same period in the previous year, the firm posted ($5.08) earnings per share. On average, equities analysts expect that Madrigal Pharmaceuticals will post -3.78 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO William Sibold sold 5,221 shares of the stock in a transaction 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 sale, the chief executive officer directly owned 197,746 shares of the company’s stock, valued at approximately $107,255,452.94. This represents a 2.57% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. 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. Also, General Counsel Shannon Kelley sold 1,077 shares of the firm’s stock in a transaction on Friday, November 6th. The shares were sold at an average price of $400.00, for a total transaction of $430,800.00. Following the sale, the general counsel owned 10,397 shares in the company, valued at approximately $4,158,800. This represents a 9.39% 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. Over the last three months, insiders have sold 13,324 shares of company stock valued at $7,011,982. Corporate insiders own 17.60% of the company’s stock.

Institutional Investors Weigh In On Madrigal Pharmaceuticals

Several hedge funds have recently modified their holdings of the company. Janus Henderson Group PLC increased its stake in shares of 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 in the last quarter. Jupiter Topco LLC acquired a new position in Madrigal Pharmaceuticals in the 2nd quarter worth about $1,039,650,000. Paulson & CO. Inc. acquired a new position in Madrigal Pharmaceuticals in the 2nd quarter worth about $719,524,000. BlackRock Inc. acquired a new position in Madrigal Pharmaceuticals in the 2nd quarter worth about $644,753,000. Finally, Wellington Management Group LLP boosted its position in Madrigal Pharmaceuticals by 18.8% during the second quarter. Wellington Management Group LLP now owns 825,714 shares of the biopharmaceutical company’s stock worth $443,367,000 after purchasing an additional 130,756 shares in the last quarter. 98.50% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Madrigal Pharmaceuticals

Here are the key news stories impacting Madrigal Pharmaceuticals this week:

• Positive Sentiment: Multiple real-world studies presented at AASLD reported improvements in liver stiffness and cardiometabolic health markers among patients treated with Rezdiffra, supporting the drug’s real-world potential. Rezdiffra real-world data
• Positive Sentiment: Madrigal’s latest quarterly results beat estimates: EPS was $1.83 versus consensus of a $1.09 loss, and revenue of $431.3 million exceeded the $404.2 million estimate. Madrigal stock jumps after earnings beat
• Positive Sentiment: HC Wainwright reiterated a Strong-Buy rating and projected rising EPS through 2030; Canaccord Genuity also raised its price target to $633 and maintained a Buy rating. These forecasts point to optimism about future growth, though they are analyst expectations, not guarantees.
• Neutral Sentiment: General Counsel Shannon Kelley sold 1,077 shares for about $430,800 under a pre-arranged Rule 10b5-1 plan. Kelley retained 10,397 shares, which may temper concern about the sale.
• Negative Sentiment: Several law firms announced investigations into potential securities-law violations after Madrigal’s November 3 quarterly filing. These are investigations and investor solicitations—not findings of wrongdoing—but could create legal and reputational uncertainty. Securities investigation announcement

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.