Madrigal Pharmaceuticals (NASDAQ:MDGL) Announces Quarterly Earnings Results

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

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 $10.73 during trading hours on Friday, reaching $426.15. 48,630 shares of the company traded hands, compared to its average volume of 366,739. The company has a debt-to-equity ratio of 0.54, a current ratio of 3.44 and a quick ratio of 3.26. The firm’s 50-day moving average is $524.34 and its 200-day moving average is $480.46. The stock has a market cap of $9.68 billion, a P/E ratio of -32.89, a P/E/G ratio of 6.98 and a beta of -1.01. Madrigal Pharmaceuticals has a 1-year low of $265.00 and a 1-year high of $615.00.

Insider Transactions at Madrigal Pharmaceuticals

In other news, CFO Mardi Dier sold 4,173 shares of the business’s stock in a transaction that occurred on Tuesday, December 2nd. The shares were sold at an average price of $578.34, for a total value of $2,413,412.82. Following the completion of the transaction, the chief financial officer owned 10,440 shares of the company’s stock, valued at $6,037,869.60. The trade was a 28.56% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Paul A. Friedman sold 24,800 shares of the company’s stock in a transaction dated 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 transaction, the director directly owned 187,164 shares of the company’s stock, valued at approximately $103,348,217.52. This represents a 11.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 99,537 shares of company stock worth $53,485,702 in the last ninety days. Company insiders own 21.50% of the company’s stock.

Institutional Trading of Madrigal Pharmaceuticals

Several institutional investors have recently made changes to their positions in the stock. Wellington Management Group LLP boosted its holdings in Madrigal Pharmaceuticals by 5,381.2% in the third quarter. Wellington Management Group LLP now owns 404,455 shares of the biopharmaceutical company’s stock valued at $185,507,000 after acquiring an additional 397,076 shares during the last quarter. Deutsche Bank AG raised its holdings in shares of Madrigal Pharmaceuticals by 414.5% in the 4th quarter. Deutsche Bank AG now owns 192,109 shares of the biopharmaceutical company’s stock worth $111,873,000 after purchasing an additional 154,767 shares during the period. Invesco Ltd. lifted its stake in shares of Madrigal Pharmaceuticals by 49.5% in the 3rd quarter. Invesco Ltd. now owns 299,565 shares of the biopharmaceutical company’s stock valued at $137,398,000 after purchasing an additional 99,209 shares in the last quarter. BNP Paribas Financial Markets lifted its stake in shares of Madrigal Pharmaceuticals by 1,886.1% in the 2nd quarter. BNP Paribas Financial Markets now owns 69,037 shares of the biopharmaceutical company’s stock valued at $20,893,000 after purchasing an additional 65,561 shares in the last quarter. Finally, First Light Asset Management LLC grew its holdings in shares of Madrigal Pharmaceuticals by 479.2% during the 4th quarter. First Light Asset Management LLC now owns 66,831 shares of the biopharmaceutical company’s stock worth $38,918,000 after purchasing an additional 55,292 shares during the period. 98.50% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

MDGL has been the subject of several analyst reports. Barclays initiated coverage on shares of Madrigal Pharmaceuticals in a report on Tuesday, January 27th. They set an “overweight” rating and a $964.00 price target for the company. Citigroup reissued an “outperform” rating on shares of Madrigal Pharmaceuticals in a research note on Tuesday, January 20th. Truist Financial raised their price target on Madrigal Pharmaceuticals from $580.00 to $640.00 and gave the company a “buy” rating in a report on Wednesday, November 19th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Madrigal Pharmaceuticals in a report on Thursday, January 22nd. Finally, Piper Sandler raised their target price on Madrigal Pharmaceuticals from $540.00 to $900.00 and gave the company an “overweight” rating in a report on Friday, December 19th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, two have issued a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $669.86.

Trending Headlines about Madrigal Pharmaceuticals

Here are the key news stories impacting Madrigal Pharmaceuticals this week:

• Positive Sentiment: Revenue and product sales beat expectations: Q4 net sales of Rezdiffra (resmetirom) were $321.1M and full‑year Rezdiffra sales were $958.4M; overall revenue exceeded analyst estimates. Madrigal Reports Fourth-Quarter and Full-Year 2025 Financial Results
• Positive Sentiment: Strong balance sheet and commercial traction: company reported ~$988.6M in cash and equivalents and said >36,250 patients are on Rezdiffra; management highlighted a growing MASH pipeline (10+ programs). Madrigal Reports Fourth-Quarter and Full-Year 2025 Financial Results
• Neutral Sentiment: Earnings call materials and transcript available for more color on guidance and commercial cadence. Press Release / Slide Deck Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Pre-earnings coverage and previews summarized expectations ahead of release. Q4 2025 Earnings Preview
• Negative Sentiment: Large EPS miss: reported GAAP EPS of ($2.57) vs. consensus ~$0.04, prompting headlines about a wider‑than‑expected Q4 loss. That shortfall is the main driver of selling pressure today. Madrigal down after wider-than-expected Q4 loss
• Negative Sentiment: Analyst reaction: Bank of America lowered its price target from $570 to $529 and set a “neutral” rating, which removes some upside support and adds downward analyst pressure. Benzinga

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.