This 1 Setback for Novo Nordisk Is Bullish for Madrigal Pharmaceuticals Stock

It's not often that a biotech wins when a big pharma stumbles, but Madrigal Pharmaceuticals (NASDAQ: MDGL) is now in a better place than before because of a setback at Danish drug giant Novo Nordisk (NYSE: NVO). The two cardiometabolic drug developers will avoid direct competition for the time being, and now, any head-to-head match up in the future could favor Madrigal a bit more than before.But is the biotech still a buy? Let's clarify the question by looking at what just happened and why it matters.In its second-quarter earnings update for investors, Novo Nordisk disclosed a surprising failure. One of its programs, a unique investigational therapy for metabolic-associated steatohepatitis (MASH, formerly known as NASH), would be terminated immediately. The corresponding phase 1 clinical trial has already been halted well before its completion, and, by the looks of it, there are not any plans to try to revive the program at a later date.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool