Madrigal Pharmaceuticals (NASDAQ:MDGL) Shares Gap Down After Earnings Miss

Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL)’s stock price gapped down before the market opened on Tuesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $235.57, but opened at $222.00. Madrigal Pharmaceuticals shares last traded at $226.40, with a volume of 84,303 shares traded.

The biopharmaceutical company reported ($7.38) EPS for the quarter, missing analysts’ consensus estimates of ($6.06) by ($1.32). During the same period in the previous year, the business posted ($4.23) earnings per share.

Wall Street Analysts Forecast Growth

MDGL has been the topic of several analyst reports. TD Cowen raised their target price on Madrigal Pharmaceuticals from $349.00 to $390.00 and gave the stock an “outperform” rating in a report on Friday, March 15th. Canaccord Genuity Group boosted their price objective on shares of Madrigal Pharmaceuticals from $338.00 to $377.00 and gave the company a “buy” rating in a report on Friday, March 15th. B. Riley upgraded shares of Madrigal Pharmaceuticals from a “sell” rating to a “neutral” rating and increased their target price for the stock from $155.00 to $270.00 in a report on Friday, March 15th. Bank of America began coverage on shares of Madrigal Pharmaceuticals in a report on Monday, April 22nd. They issued an “underperform” rating and a $150.00 price target for the company. Finally, StockNews.com raised Madrigal Pharmaceuticals to a “sell” rating in a research note on Friday, April 12th. Two research analysts have rated the stock with a sell rating, one has given a hold rating and nine have assigned a buy rating to the company. Based on data from MarketBeat.com, Madrigal Pharmaceuticals has an average rating of “Moderate Buy” and a consensus price target of $351.45.

Insider Buying and Selling

In other Madrigal Pharmaceuticals news, Director James M. Daly sold 32,489 shares of Madrigal Pharmaceuticals stock in a transaction dated Monday, April 1st. The stock was sold at an average price of $102.77, for a total value of $3,338,894.53. Following the sale, the director now owns 1,198 shares of the company’s stock, valued at approximately $123,118.46. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In other Madrigal Pharmaceuticals news, Director Richard S. Levy sold 11,000 shares of the company’s stock in a transaction that occurred on Monday, April 1st. The stock was sold at an average price of $257.48, for a total transaction of $2,832,280.00. Following the completion of the transaction, the director now owns 10,298 shares of the company’s stock, valued at approximately $2,651,529.04. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director James M. Daly sold 32,489 shares of the firm’s stock in a transaction that occurred on Monday, April 1st. The stock was sold at an average price of $102.77, for a total transaction of $3,338,894.53. Following the transaction, the director now directly owns 1,198 shares of the company’s stock, valued at $123,118.46. The disclosure for this sale can be found here. In the last ninety days, insiders sold 146,496 shares of company stock valued at $31,362,420. Company insiders own 23.92% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the business. Montag A & Associates Inc. increased its stake in Madrigal Pharmaceuticals by 223.3% in the 3rd quarter. Montag A & Associates Inc. now owns 194 shares of the biopharmaceutical company’s stock valued at $28,000 after buying an additional 134 shares during the last quarter. Global Retirement Partners LLC increased its position in shares of Madrigal Pharmaceuticals by 454.5% in the fourth quarter. Global Retirement Partners LLC now owns 122 shares of the biopharmaceutical company’s stock valued at $30,000 after acquiring an additional 100 shares during the last quarter. UMB Bank n.a. bought a new stake in Madrigal Pharmaceuticals during the first quarter worth about $53,000. China Universal Asset Management Co. Ltd. boosted its position in Madrigal Pharmaceuticals by 95.0% during the third quarter. China Universal Asset Management Co. Ltd. now owns 468 shares of the biopharmaceutical company’s stock valued at $68,000 after purchasing an additional 228 shares during the last quarter. Finally, BNP Paribas bought a new position in Madrigal Pharmaceuticals in the first quarter valued at approximately $68,000. Institutional investors and hedge funds own 98.50% of the company’s stock.

Madrigal Pharmaceuticals Price Performance

The stock has a market cap of $4.40 billion, a price-to-earnings ratio of -10.38 and a beta of -0.33. The company has a debt-to-equity ratio of 0.28, a quick ratio of 5.38 and a current ratio of 5.38. The company has a 50-day simple moving average of $239.11 and a two-hundred day simple moving average of $216.95.

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.