Madrigal Pharmaceuticals (NASDAQ:MDGL) Sees Strong Trading Volume Following Earnings Beat

Madrigal Pharmaceuticals, Inc. (NASDAQ:MDGL - Get Free Report) shares saw an uptick in trading volume on Friday following a stronger than expected earnings report. 560,141 shares traded hands during mid-day trading, an increase of 32% from the previous session's volume of 424,895 shares.The stock last traded at $289.60 and had previously closed at $259.34.

The biopharmaceutical company reported ($4.92) earnings per share for the quarter, topping the consensus estimate of ($6.94) by $2.02. The company had revenue of $62.18 million during the quarter, compared to the consensus estimate of $34.60 million. During the same quarter last year, the firm earned ($5.34) EPS.

Wall Street Analyst Weigh In

Several analysts have weighed in on MDGL shares. JMP Securities boosted their price objective on Madrigal Pharmaceuticals from $381.00 to $385.00 and gave the stock a "market outperform" rating in a report on Tuesday, July 16th. UBS Group increased their price objective on shares of Madrigal Pharmaceuticals from $411.00 to $441.00 and gave the company a "buy" rating in a report on Friday. Cantor Fitzgerald reiterated a "neutral" rating on shares of Madrigal Pharmaceuticals in a research report on Friday, October 11th. Oppenheimer decreased their price objective on Madrigal Pharmaceuticals from $375.00 to $350.00 and set an "outperform" rating for the company in a research note on Wednesday, October 23rd. Finally, HC Wainwright reissued a "buy" rating and set a $390.00 price objective on shares of Madrigal Pharmaceuticals in a research note on Tuesday, October 22nd. Two investment analysts have rated the stock with a sell rating, two have issued a hold rating and ten have issued a buy rating to the company. According to MarketBeat, Madrigal Pharmaceuticals has a consensus rating of "Moderate Buy" and an average target price of $344.33.

Insiders Place Their Bets

In other news, CEO William John Sibold sold 6,363 shares of the company's stock in a transaction dated Monday, September 9th. The stock was sold at an average price of $243.83, for a total transaction of $1,551,490.29. Following the completion of the transaction, the chief executive officer now directly owns 55,887 shares of the company's stock, valued at $13,626,927.21. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Corporate insiders own 22.80% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in MDGL. Castleark Management LLC acquired a new position in shares of Madrigal Pharmaceuticals during the 1st quarter worth about $2,459,000. Susquehanna Fundamental Investments LLC bought a new position in Madrigal Pharmaceuticals during the 1st quarter worth $584,000. Russell Investments Group Ltd. bought a new stake in shares of Madrigal Pharmaceuticals in the first quarter valued at about $1,466,000. Sofinnova Investments Inc. grew its stake in shares of Madrigal Pharmaceuticals by 133.4% in the second quarter. Sofinnova Investments Inc. now owns 44,417 shares of the biopharmaceutical company's stock valued at $12,444,000 after acquiring an additional 25,388 shares in the last quarter. Finally, Sheaff Brock Investment Advisors LLC bought a new position in Madrigal Pharmaceuticals during the first quarter worth about $961,000. Institutional investors and hedge funds own 98.50% of the company's stock.

Madrigal Pharmaceuticals Price Performance

The company has a market capitalization of $6.94 billion, a P/E ratio of -12.43 and a beta of -0.44. The company has a quick ratio of 8.67, a current ratio of 8.72 and a debt-to-equity ratio of 0.14. The company's fifty day moving average price is $226.07 and its 200 day moving average price is $242.02.

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.