Madrigal Pharmaceuticals (NASDAQ:MDGL) Trading Down 6.4% – Time to Sell?

Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL) shares traded down 6.4% during mid-day trading on Tuesday . The company traded as low as $553.00 and last traded at $550.7370. 113,716 shares changed hands during trading, a decline of 53% from the average session volume of 240,300 shares. The stock had previously closed at $588.40.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on MDGL shares. Truist Financial lifted their price objective on shares of Madrigal Pharmaceuticals from $580.00 to $640.00 and gave the stock a “buy” rating in a research note on Wednesday, November 19th. Citizens Jmp lifted their price target on shares of Madrigal Pharmaceuticals from $485.00 to $527.00 and gave the stock a “market outperform” rating in a research report on Wednesday, November 5th. Cantor Fitzgerald upgraded shares of Madrigal Pharmaceuticals from a “neutral” rating to an “overweight” rating in a research report on Tuesday, November 4th. B. Riley boosted their target price on Madrigal Pharmaceuticals from $560.00 to $670.00 and gave the company a “buy” rating in a research note on Thursday, December 11th. Finally, Canaccord Genuity Group raised their price target on Madrigal Pharmaceuticals from $526.00 to $587.00 and gave the stock a “buy” rating in a research report on Thursday, November 13th. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $620.62.

Madrigal Pharmaceuticals Trading Down 5.1%

The company has a current ratio of 3.44, a quick ratio of 3.26 and a debt-to-equity ratio of 0.54. The business has a 50 day moving average of $547.94 and a two-hundred day moving average of $438.77. The firm has a market cap of $12.68 billion, a P/E ratio of -42.90, a PEG ratio of 4.22 and a beta of -1.00.

Madrigal Pharmaceuticals (NASDAQ:MDGL) last issued its quarterly earnings data on Tuesday, November 4th. The biopharmaceutical company reported ($5.08) earnings per share (EPS) for the quarter, missing the consensus estimate of ($2.01) by ($3.07). Madrigal Pharmaceuticals had a negative return on equity of 41.50% and a negative net margin of 39.04%. Analysts predict that Madrigal Pharmaceuticals, Inc. will post -23.47 earnings per share for the current year.

Insider Activity

In other news, Director Richard S. Levy sold 8,500 shares of the company’s stock in a transaction that occurred on Thursday, November 13th. The shares were sold at an average price of $520.96, for a total transaction of $4,428,160.00. Following the completion of the sale, the director owned 21,197 shares of the company’s stock, valued at approximately $11,042,789.12. This represents a 28.62% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, Director Kenneth Bate sold 16,575 shares of Madrigal Pharmaceuticals stock in a transaction that occurred on Wednesday, November 5th. The shares were sold at an average price of $484.30, for a total transaction of $8,027,272.50. Following the completion of the transaction, the director directly owned 2,627 shares in the company, valued at $1,272,256.10. This trade represents a 86.32% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 77,056 shares of company stock worth $41,324,312. 21.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Mather Group LLC. bought a new position in shares of Madrigal Pharmaceuticals in the 3rd quarter valued at $33,000. Global Retirement Partners LLC raised its stake in shares of Madrigal Pharmaceuticals by 221.7% during the third quarter. Global Retirement Partners LLC now owns 74 shares of the biopharmaceutical company’s stock valued at $34,000 after acquiring an additional 51 shares during the last quarter. First Horizon Corp acquired a new position in shares of Madrigal Pharmaceuticals during the third quarter worth $34,000. AlphaQuest LLC grew its stake in shares of Madrigal Pharmaceuticals by 412.5% in the second quarter. AlphaQuest LLC now owns 82 shares of the biopharmaceutical company’s stock worth $25,000 after purchasing an additional 66 shares during the last quarter. Finally, Aster Capital Management DIFC Ltd bought a new position in Madrigal Pharmaceuticals during the 3rd quarter worth $39,000. Institutional investors own 98.50% of the company’s stock.

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.