Madrigal Pharmaceuticals (NASDAQ:MDGL) Trading Down 14.4% - Here's What Happened

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

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on MDGL. Cantor Fitzgerald reissued a "neutral" rating on shares of Madrigal Pharmaceuticals in a research report on Wednesday, November 20th. JMP Securities reiterated a "market outperform" rating and set a $427.00 target price on shares of Madrigal Pharmaceuticals in a research report on Friday, January 10th. Oppenheimer decreased their price target on Madrigal Pharmaceuticals from $375.00 to $350.00 and set an "outperform" rating on the stock in a research report on Wednesday, October 23rd. B. Riley boosted their price target on Madrigal Pharmaceuticals from $194.00 to $236.00 and gave the company a "neutral" rating in a research note on Tuesday, November 5th. Finally, StockNews.com upgraded shares of Madrigal Pharmaceuticals to a "sell" rating in a research note on Saturday, October 12th. Two analysts have rated the stock with a sell rating, two have issued a hold rating and ten have given a buy rating to the stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $351.67.

Madrigal Pharmaceuticals Stock Performance

The firm has a market capitalization of $5.98 billion, a price-to-earnings ratio of -10.94 and a beta of -0.36. 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 stock's 50-day moving average is $316.98 and its 200-day moving average is $272.58.

Madrigal Pharmaceuticals (NASDAQ:MDGL - Get Free Report) last announced its quarterly earnings results on Thursday, October 31st. The biopharmaceutical company reported ($4.92) earnings per share (EPS) for the quarter, topping the consensus estimate of ($6.94) by $2.02. The company had revenue of $62.18 million for the quarter, compared to analyst estimates of $34.60 million. During the same quarter last year, the company posted ($5.34) earnings per share. On average, analysts predict that Madrigal Pharmaceuticals, Inc. will post -23.77 EPS for the current fiscal year.

Insider Buying and Selling at Madrigal Pharmaceuticals

In related news, Director Richard S. Levy sold 5,000 shares of Madrigal Pharmaceuticals stock in a transaction that occurred on Friday, November 1st. The shares were sold at an average price of $300.94, for a total transaction of $1,504,700.00. Following the sale, the director now directly owns 11,012 shares in the company, valued at $3,313,951.28. This trade represents a 31.23 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Fred B. Craves sold 3,400 shares of the company's stock in a transaction that occurred on Monday, November 25th. The shares were sold at an average price of $350.30, for a total transaction of $1,191,020.00. Following the completion of the transaction, the director now owns 14,600 shares of the company's stock, valued at approximately $5,114,380. This trade represents a 18.89 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 12,000 shares of company stock worth $3,830,836. 22.80% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Madrigal Pharmaceuticals

A number of hedge funds have recently modified their holdings of MDGL. Avoro Capital Advisors LLC raised its position in Madrigal Pharmaceuticals by 5.7% during the 2nd quarter. Avoro Capital Advisors LLC now owns 2,055,555 shares of the biopharmaceutical company's stock worth $575,884,000 after purchasing an additional 111,111 shares during the last quarter. Paulson & CO. Inc. raised its position in shares of Madrigal Pharmaceuticals by 10.4% during the third quarter. Paulson & CO. Inc. now owns 2,042,000 shares of the biopharmaceutical company's stock worth $433,353,000 after acquiring an additional 192,000 shares during the last quarter. RTW Investments LP lifted its stake in shares of Madrigal Pharmaceuticals by 4.1% in the third quarter. RTW Investments LP now owns 1,993,687 shares of the biopharmaceutical company's stock worth $423,100,000 after acquiring an additional 77,825 shares during the period. State Street Corp lifted its stake in shares of Madrigal Pharmaceuticals by 19.2% in the third quarter. State Street Corp now owns 887,752 shares of the biopharmaceutical company's stock worth $188,399,000 after acquiring an additional 143,038 shares during the period. Finally, Geode Capital Management LLC boosted its holdings in Madrigal Pharmaceuticals by 1.5% in the third quarter. Geode Capital Management LLC now owns 405,655 shares of the biopharmaceutical company's stock valued at $86,104,000 after acquiring an additional 5,801 shares during the last quarter. Institutional investors and hedge funds own 98.50% of the company's stock.

Madrigal Pharmaceuticals Company Profile

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.