Madrigal Pharmaceuticals (NASDAQ:MDGL) Shares Down 14.4% – What’s Next?

Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL) fell 14.4% during trading on Monday . The stock traded as low as $290.00 and last traded at $290.20. 116,860 shares were traded during trading, a decline of 55% from the average session volume of 257,653 shares. The stock had previously closed at $338.91.

Analyst Ratings Changes

A number of equities analysts recently issued reports on MDGL shares. JMP Securities reiterated a “market outperform” rating and set a $427.00 price objective on shares of Madrigal Pharmaceuticals in a research report on Friday. B. Riley increased their price objective on Madrigal Pharmaceuticals from $194.00 to $236.00 and gave the company a “neutral” rating in a report on Tuesday, November 5th. Oppenheimer cut their target price on Madrigal Pharmaceuticals from $375.00 to $350.00 and set an “outperform” rating on the stock in a report on Wednesday, October 23rd. Cantor Fitzgerald reissued a “neutral” rating on shares of Madrigal Pharmaceuticals in a research note on Wednesday, November 20th. Finally, StockNews.com raised Madrigal Pharmaceuticals to a “sell” rating in a research note on Saturday, October 12th. Two investment analysts have rated the stock with a sell rating, two have given a hold rating and ten have assigned a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $350.83.

Madrigal Pharmaceuticals Price Performance

The company has a current ratio of 5.98, a quick ratio of 5.93 and a debt-to-equity ratio of 0.15. The business’s fifty day moving average is $320.07 and its 200 day moving average is $272.48. The company has a market cap of $6.63 billion, a P/E ratio of -12.12 and a beta of -0.36.

Madrigal Pharmaceuticals (NASDAQ:MDGL) last announced its quarterly earnings results on Thursday, October 31st. The biopharmaceutical company reported ($4.92) earnings per share for the quarter, beating the consensus estimate of ($6.94) by $2.02. The company had revenue of $62.18 million during the quarter, compared to analysts’ expectations of $34.60 million. During the same quarter last year, the firm posted ($5.34) earnings per share. As a group, sell-side analysts anticipate that Madrigal Pharmaceuticals, Inc. will post -23.77 EPS for the current year.

Insider Buying and Selling

In related news, Director Fred B. Craves sold 3,600 shares of the stock in a transaction on Tuesday, December 3rd. The stock was sold at an average price of $315.31, for a total value of $1,135,116.00. Following the transaction, the director now owns 11,000 shares of the company’s stock, valued at $3,468,410. This represents a 24.66 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Richard S. Levy sold 5,000 shares of Madrigal Pharmaceuticals stock in a transaction dated Friday, November 1st. The stock was sold at an average price of $300.94, for a total value of $1,504,700.00. Following the sale, the director now directly owns 11,012 shares of the company’s stock, valued at approximately $3,313,951.28. This trade represents a 31.23 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 12,000 shares of company stock valued at $3,830,836. Company insiders own 22.80% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Commonwealth Equity Services LLC increased its stake in shares of Madrigal Pharmaceuticals by 116.8% in the second quarter. Commonwealth Equity Services LLC now owns 2,068 shares of the biopharmaceutical company’s stock worth $579,000 after buying an additional 1,114 shares during the period. Victory Capital Management Inc. grew its position in shares of Madrigal Pharmaceuticals by 5.8% in the 2nd quarter. Victory Capital Management Inc. now owns 2,252 shares of the biopharmaceutical company’s stock worth $631,000 after buying an additional 124 shares during the last quarter. Quest Partners LLC grew its position in shares of Madrigal Pharmaceuticals by 5,225.0% in the 2nd quarter. Quest Partners LLC now owns 213 shares of the biopharmaceutical company’s stock worth $60,000 after buying an additional 209 shares during the last quarter. American Century Companies Inc. grew its position in shares of Madrigal Pharmaceuticals by 13.7% in the 2nd quarter. American Century Companies Inc. now owns 111,113 shares of the biopharmaceutical company’s stock worth $31,130,000 after buying an additional 13,361 shares during the last quarter. Finally, Oppenheimer Asset Management Inc. bought a new stake in shares of Madrigal Pharmaceuticals in the 2nd quarter worth approximately $414,000. 98.50% of the stock is owned by institutional investors.

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.