Madrigal Pharmaceuticals, Inc. has reported that Chief Financial Officer Mardi Dier sold 4,173 shares of the company on December 2, 2023. The transaction was executed at an average price of $578.34 per share, amounting to a total of $2,413,412.82. Following this sale, Dier now holds 10,440 shares in Madrigal, which are valued at approximately $6,037,869.60. This divestment represents a 28.56% decrease in her ownership stake in the company.
The sale of shares was disclosed in a legal filing with the Securities and Exchange Commission (SEC), which provides transparency into the financial activities of company executives. As of Thursday, shares of Madrigal Pharmaceuticals opened at $579.89. The firm boasts a market capitalization of $13.17 billion and has shown a price-to-earnings ratio of -44.57.
Madrigal Pharmaceuticals has experienced significant stock fluctuations over the past year, recording a 52-week low of $265.00 and a high of $605.00. The company’s financial indicators include a debt-to-equity ratio of 0.54, a quick ratio of 3.26, and a current ratio of 3.44. Its fifty-day moving average stands at $481.97, while the two-hundred-day moving average is $389.67.
In its latest quarterly earnings report, released on November 4, 2023, Madrigal Pharmaceuticals reported an earnings per share (EPS) of ($5.08), falling short of analysts’ expectations by $3.07. The company recorded a negative net margin of 39.04% and a negative return on equity of 41.50%. Analysts forecast that Madrigal Pharmaceuticals will report an EPS of ($23.47) for the current year.
Analyst Ratings and Price Targets
Several research firms have recently updated their ratings and price targets for Madrigal Pharmaceuticals. HC Wainwright increased its price target from $568.00 to $620.00, maintaining a “buy” rating. Bank of America upgraded its rating from “underperform” to “neutral,” raising the price target from $266.00 to $445.00.
Additionally, Truist Financial adjusted its target price from $580.00 to $640.00 with a “buy” recommendation. B. Riley raised its price target from $460.00 to $560.00, also assigning a “buy” rating. Cowen reaffirmed a “buy” rating in a note on August 26, 2023.
Overall, thirteen analysts have rated Madrigal Pharmaceuticals with a “Buy” rating, while one has issued a “Hold” rating and another a “Sell” rating. According to MarketBeat.com, the stock holds a consensus rating of “Moderate Buy” with an average price target of $553.50.
Madrigal Pharmaceuticals, a clinical-stage biopharmaceutical company, specializes in developing therapeutics for non-alcoholic steatohepatitis (NASH) in the United States. Its lead product candidate, resmetirom, is currently undergoing Phase 3 clinical trials aimed at treating this liver disease.
