Madrigal Pharmaceuticals (NASDAQ:MDGL) Announces Quarterly Earnings Results

Madrigal Pharmaceuticals (NASDAQ:MDGL) posted its quarterly earnings results on Thursday. The biopharmaceutical company reported ($2.57) EPS for the quarter, missing the consensus estimate of $0.04 by ($2.61), FiscalAI reports. Madrigal Pharmaceuticals had a negative return on equity of 41.50% and a negative net margin of 39.04%.The company had revenue of $321.08 million for the quarter, compared to analyst estimates of $310.36 million. During the same quarter in the prior year, the business posted ($2.71) earnings per share. The business’s revenue for the quarter was up 210.8% compared to the same quarter last year.

Here are the key takeaways from Madrigal Pharmaceuticals’ conference call:

• Madrigal reported a market-leading launch for Rezdiffra with Q4 sales of $321M, ~ $958M in its first full year, and >36,250 patients on therapy as the U.S. MASH market has expanded ~50% since end-2023.
• Management has rapidly expanded the pipeline to more than 10 programs—adding an oral GLP‑1, a late‑stage DGAT2 inhibitor (ervogastat) and six preclinical siRNAs—with a Phase 1 for the oral GLP‑1 expected in Q2 and a DGAT2 combo Phase 2 planned for 2027.
• The company is pursuing indication expansion into compensated cirrhosis (F4c)—a ~245k patient opportunity—backed by 2‑year open‑label data showing 65% of CSPH patients moved to lower risk and an event‑driven outcomes readout targeted in 2027.
• Payer contracting will push gross‑to‑net into the high‑30% range in 2026 (a headwind to net sales) while R&D and SG&A remain elevated after deal upfronts, although the balance sheet holds roughly $989M in cash and marketable securities.

Madrigal Pharmaceuticals Price Performance

NASDAQ:MDGL traded down $37.55 during trading hours on Thursday, hitting $453.94. The company’s stock had a trading volume of 802,863 shares, compared to its average volume of 362,821. The company has a market capitalization of $10.31 billion, a P/E ratio of -34.90, a PEG ratio of 6.92 and a beta of -1.01. The company has a debt-to-equity ratio of 0.54, a current ratio of 3.44 and a quick ratio of 3.26. Madrigal Pharmaceuticals has a twelve month low of $265.00 and a twelve month high of $615.00. The stock has a fifty day simple moving average of $527.03 and a 200-day simple moving average of $480.76.

Wall Street Analyst Weigh In

Several equities analysts recently commented on the stock. Oppenheimer upped their target price on shares of Madrigal Pharmaceuticals from $600.00 to $650.00 and gave the company an “outperform” rating in a research note on Thursday, November 20th. The Goldman Sachs Group reiterated a “buy” rating and set a $571.00 price objective on shares of Madrigal Pharmaceuticals in a research note on Wednesday, January 14th. B. Riley Financial boosted their target price on Madrigal Pharmaceuticals from $560.00 to $670.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Citizens Jmp upped their price target on Madrigal Pharmaceuticals from $527.00 to $745.00 and gave the company a “market outperform” rating in a research note on Tuesday, January 20th. Finally, Wolfe Research set a $579.00 price target on shares of Madrigal Pharmaceuticals in a research report on Tuesday, January 6th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Madrigal Pharmaceuticals presently has a consensus rating of “Moderate Buy” and a consensus price target of $663.86.

Insider Transactions at Madrigal Pharmaceuticals

In other Madrigal Pharmaceuticals news, Director Paul A. Friedman sold 24,800 shares of the firm’s stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $552.18, for a total transaction of $13,694,064.00. Following the completion of the transaction, the director owned 187,164 shares in the company, valued at approximately $103,348,217.52. This trade represents a 11.70% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Rebecca Taub sold 18,650 shares of the stock in a transaction on Wednesday, December 10th. The stock was sold at an average price of $552.15, for a total transaction of $10,297,597.50. Following the sale, the director owned 461,044 shares of the company’s stock, valued at approximately $254,565,444.60. This trade represents a 3.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 101,495 shares of company stock valued at $54,568,691. 21.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in MDGL. Hsbc Holdings PLC acquired a new stake in Madrigal Pharmaceuticals during the second quarter worth approximately $309,000. Qube Research & Technologies Ltd bought a new position in shares of Madrigal Pharmaceuticals during the 2nd quarter worth approximately $1,163,000. Sei Investments Co. grew its position in shares of Madrigal Pharmaceuticals by 73.6% during the 2nd quarter. Sei Investments Co. now owns 17,542 shares of the biopharmaceutical company’s stock worth $5,309,000 after buying an additional 7,438 shares during the period. The Manufacturers Life Insurance Company grew its position in shares of Madrigal Pharmaceuticals by 2.1% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 23,416 shares of the biopharmaceutical company’s stock worth $7,087,000 after buying an additional 471 shares during the period. Finally, Bayesian Capital Management LP bought a new stake in shares of Madrigal Pharmaceuticals in the 2nd quarter valued at $418,000. 98.50% of the stock is owned by institutional investors and hedge funds.

Madrigal Pharmaceuticals Company Profile

Madrigal Pharmaceuticals, Inc is a clinical-stage biopharmaceutical company focused on the development of innovative therapies for cardiovascular, metabolic and liver diseases. The company’s pipeline centers on novel, liver-directed agents designed to address significant unmet medical needs, with an emphasis on nonalcoholic steatohepatitis (NASH) and related metabolic disorders.

The lead product candidate, resmetirom (MGL-3196), is an orally administered, selective thyroid hormone receptor-β agonist in Phase 3 development for the treatment of NASH.