Madrigal Pharmaceuticals (NASDAQ:MDGL) Shares Down 14.4% - Should You Sell?

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

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. HC Wainwright reissued a "buy" rating and issued a $390.00 price target on shares of Madrigal Pharmaceuticals in a report on Tuesday, October 22nd. UBS Group raised their target price on Madrigal Pharmaceuticals from $411.00 to $441.00 and gave the company a "buy" rating in a report on Friday, November 1st. JMP Securities reaffirmed a "market outperform" rating and set a $427.00 price target on shares of Madrigal Pharmaceuticals in a research note on Friday. StockNews.com upgraded shares of Madrigal Pharmaceuticals to a "sell" rating in a research note on Saturday, October 12th. Finally, B. Riley boosted their price objective on shares of Madrigal Pharmaceuticals from $194.00 to $236.00 and gave the stock a "neutral" rating in a report on Tuesday, November 5th. Two equities research analysts have rated the stock with a sell rating, two have assigned a hold rating and ten have issued a buy rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $350.83.

Madrigal Pharmaceuticals Trading Down 10.4 %

The stock has a market cap of $6.62 billion, a price-to-earnings ratio of -12.11 and a beta of -0.36. The business has a fifty day simple moving average of $320.07 and a 200 day simple moving average of $272.48. The company has a debt-to-equity ratio of 0.15, a quick ratio of 5.93 and a current ratio of 5.98.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last posted its quarterly earnings data on Thursday, October 31st. The biopharmaceutical company reported ($4.92) EPS for the quarter, topping analysts' consensus estimates of ($6.94) by $2.02. The company had revenue of $62.18 million for the quarter, compared to analysts' expectations of $34.60 million. During the same quarter in the prior year, the business posted ($5.34) EPS. As a group, equities analysts anticipate that Madrigal Pharmaceuticals, Inc. will post -23.77 EPS for the current year.

Insider Activity at Madrigal Pharmaceuticals

In related news, Director Richard S. Levy sold 5,000 shares of the firm's stock in a transaction that occurred on Friday, November 1st. The shares were 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 ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Fred B. Craves sold 3,400 shares of the company's stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $350.30, for a total transaction of $1,191,020.00. Following the transaction, the director now directly owns 14,600 shares of the company's stock, valued at $5,114,380. This trade represents a 18.89 % decrease in their position. The disclosure for this sale can be found here. Over 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 Trading of Madrigal Pharmaceuticals

Institutional investors and hedge funds have recently made changes to their positions in the company. Erste Asset Management GmbH acquired a new stake in Madrigal Pharmaceuticals during the third quarter worth about $49,749,000. Paulson & CO. Inc. increased its position in Madrigal Pharmaceuticals by 10.4% during the 3rd quarter. Paulson & CO. Inc. now owns 2,042,000 shares of the biopharmaceutical company's stock worth $433,353,000 after purchasing an additional 192,000 shares in the last quarter. Braidwell LP purchased a new position in Madrigal Pharmaceuticals in the third quarter valued at approximately $39,010,000. State Street Corp lifted its position in Madrigal Pharmaceuticals by 19.2% during the third quarter. State Street Corp now owns 887,752 shares of the biopharmaceutical company's stock valued at $188,399,000 after buying an additional 143,038 shares in the last quarter. Finally, Avoro Capital Advisors LLC raised its stake in shares of Madrigal Pharmaceuticals by 5.7% in the 2nd quarter. Avoro Capital Advisors LLC now owns 2,055,555 shares of the biopharmaceutical company's stock valued at $575,884,000 after acquiring an additional 111,111 shares during the period. 98.50% of the stock is currently owned by institutional investors and hedge funds.

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.