Theratechnologies Inc T.TH

mdgl downgrade

[palinc2000]

08:48 AM EDT, 07/08/2022 (MT Newswires) -- B Riley Securities downgrades Madrigal Pharmaceuticals (MDGL) to neutral from buy due to relatively lowered conviction in the Phase III MAESTRO-NASH study biopsy readout expected in Q4 to support regulatory approvals and successful commercialization.

The firm, in a Friday research report, also lowered the price target to $75 from $131, reflecting an incrementally lower probability of technical and regulatory success for resmetirom in NASH, and modest OpEx spend forecasted, and slight delay in market entry.

The firm also reaffirmed its positive view on the company's best-in-industry execution. Madrigal Pharmaceuticals has an average rating of outperform and price targets ranging from $75 to $203, according to analysts polled by Capital IQ.

[qwerty22]

The timing of this seems completely arbitrary.

[SPCEO1]

It can be an ugly world out there. I have seen many instances in recent years where it seemed pretty obvious that an analyst's recommendation was put out there to meet the needs of one of their larger hedge fund clients. I have not seen the whole report and do not know if the analyst offered aything more to justify the loweredd price target or not, but the  summary seems to suggest he

[qwerty22]

"incrementally lower probability of technical and regulatory success" If all he is saying is it's difficult to get the endpoints in NASH then I think you could have made that call any time in the last 2 years.

[palinc2000]

Madrigal cut to Neutral at B. Riley on concerns over upcoming NASH readout MDGL -7.28%Jul. 08, 2022 11:39 AM ET B Riley Securities has downgraded the clinical-stage biotech Madrigal Pharmaceuticals (NASDAQ:MDGL) to Neutral from Buy, questioning the potential of a late-stage study for the company’s NASH candidate resmetirom to generate positive results this