Madrigal Pharmaceuticals downgraded to Sell at B. Riley after competitor data

As previously reported, B. Riley downgraded Madrigal Pharmaceuticals (MDGL) to Sell from Neutral with a price target of $155, down from $204, after Boehringer Ingelheim released “strong” 48-week advanced fibrosis liver biopsy results for its lead anti-obesity and nonalcoholic steatohepatitis, or NASH, treatment, survoditude. The firm views these “best-in-NASH” liver biopsy datasets to have materially surpassed investor expectations and given this argues that “nearly all stock scenarios” for Madrigal “point to higher likelihood of downside.” Meanwhile, the analyst argues that BI’s data is “particularly encouraging” for Altimmune (ALT), on which the firm maintains a Buy rating.