Madrigal (MDGL) Expected to Beat Earnings Estimates: Should You Buy?

Core Insights - Wall Street anticipates a year-over-year increase in earnings for Madrigal (MDGL) due to higher revenues, with a focus on how actual results compare to estimates [1][2] - The upcoming earnings report is expected to be released on November 4, and stock movement will depend on whether key numbers exceed or fall short of expectations [2] Financial Expectations - Madrigal is projected to report a quarterly loss of $1.99 per share, reflecting a year-over-year change of +59.6% [3] - Revenues are expected to reach $249.15 million, representing a significant increase of 300.8% from the same quarter last year [3] Estimate Revisions - The consensus EPS estimate has been revised 10.44% higher in the last 30 days, indicating a positive reassessment by analysts [4] - The Most Accurate Estimate for Madrigal is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +27.84% [12] Earnings Surprise Prediction - A positive Earnings ESP reading suggests a likely earnings beat, especially when combined with a Zacks Rank of 2 (Buy) [10][12] - Madrigal has a history of beating consensus EPS estimates, having done so in the last four quarters [14] Industry Context - Another company in the Zacks Medical - Drugs industry, BioCryst Pharmaceuticals (BCRX), is expected to post earnings of $0.07 per share, indicating a year-over-year change of +200% [18] - BioCryst's revenues are projected to be $161.15 million, up 37.6% from the previous year, with an Earnings ESP of +17.12% [19][20]