Madrigal's 15min chart triggers MACD Death Cross, KDJ Death Cross with caution.

Madrigal's 15-minute chart has recently triggered a MACD Death Cross and KDJ Death Cross, occurring on August 11, 2025, at 12:00. This indicates a potential downward trend for the stock price, with a shift in momentum towards the downside. Consequently, there is a high likelihood that the stock price may continue to decline.

Madrigal Pharmaceuticals (NASDAQ: MDGL) reported robust second-quarter earnings, with Rezdiffra sales significantly exceeding expectations. However, a recent technical analysis of the company's stock suggests potential downward momentum. On August 11, 2025, at 12:00, Madrigal's 15-minute chart triggered a MACD Death Cross and KDJ Death Cross, indicating a potential downward trend in the stock price [1].

Madrigal's Q2 results showed Rezdiffra sales of $212.8 million, a 55% quarter-over-quarter increase and substantially surpassing Goldman Sachs estimates of $150.9 million and FactSet consensus of $159.4 million [2]. The company's strong financial health, with a current ratio of 5.91x, supports its growth trajectory. Goldman Sachs maintained its Buy rating and $567.00 price target, noting that while 80% of the 6,000 target physicians have prescribed Rezdiffra, none have reached peak prescribing levels [2].

Despite the positive earnings, the technical indicators signal a bearish trend. The MACD (Moving Average Convergence Divergence) Death Cross and KDJ (Kaufman Adaptive Moving Average) Death Cross are technical indicators that suggest a shift in momentum towards the downside [1]. This indicates that investors should be prepared for potential further decreases in the stock price.

Madrigal has also announced significant developments, including a $500 million credit facility with Blue Owl Capital to advance its MASH pipeline and an exclusive global license agreement with CSPC Pharmaceutical Group for SYH2086, an oral GLP-1 receptor agonist [2]. These moves reflect a period of strategic growth and strengthened market position for the company.

Investors should closely monitor the technical analysis and analyst recommendations to make informed decisions about their investments in Madrigal Pharmaceuticals. The recent bearish technical analysis suggests that investors should be prepared for potential further decreases in the stock price.

References:
[1] https://www.ainvest.com/news/zoom-communications-stock-price-falls-macd-kdj-indicators-signal-bearish-trend-2508/
[2] https://www.investing.com/news/analyst-ratings/madrigal-pharmaceuticals-stock-surges-as-goldman-reiterates-buy-on-strong-sales-93CH-4171526