MDGL (Madrigal Pharmaceuticals) 3-Year Sortino Ratio: 1.36 (As of Aug. 31, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

MDGL Madrigal Pharmaceuticals Inc MDGL
31 GF Score
Price $540.03
! 4 Warning Signs
View Full Analysis

What is Madrigal Pharmaceuticals 3-Year Sortino Ratio?

Madrigal Pharmaceuticals MDGL +1.02% 31 3-Year Sortino Ratio is 1.36 as of Aug. 31, 2026. GuruFocus rates MDGL with a GF Score™ of 31/100. The stock has 4 warning signs investors should review.

The 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. As of today (2026-08-31), Madrigal Pharmaceuticals's 3-Year Sortino Ratio is 1.36.

Madrigal Pharmaceuticals  (NAS:MDGL) 3-Year Sortino Ratio Explanation

The 3-Year Sortino Ratio inidicates the risk-adjusted return of an investment over the past three year. It is calculated as the annualized result of the average three-year monthly excess returns divided by the standard deviation of negative returns in the three-year period. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

Differnt from the Sharpe Ratio that penalizes both upside and downside volatility equally, the Sortino Ratio penalizes only those returns falling below a user-specified target or required rate of return. The expected returns here is set to the risk-free rate as well.

Madrigal Pharmaceuticals 3-Year Sortino Ratio Related Terms

MDGL vs CORT, BMRN, ARWR: 3-Year Sortino Ratio Comparison

For the Biotechnology subindustry, Madrigal Pharmaceuticals's 3-Year Sortino Ratio, along with its competitors' market caps and 3-Year Sortino Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Madrigal Pharmaceuticals 3-Year Sortino Ratio vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Madrigal Pharmaceuticals's 3-Year Sortino Ratio distribution charts can be found below:

* The bar in red indicates where Madrigal Pharmaceuticals's 3-Year Sortino Ratio falls into.


MDGL
31GF Score
Madrigal Pharmaceuticals Inc MDGL
3-Year Sortino Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Madrigal Pharmaceuticals 3-Year Sortino Ratio Calculation

The 3-Year Sortino Ratio measures the risk-adjusted return of an investment asset or portfolio in the last three year, focusing specifically on downside risk rather than total risk. A stock / portfolio's 3-Year Sortino Ratio can be calculated by dividing the difference between the three-year average monthly returns of the investment and the risk-free rate, by the standard deviation of the downside risks over the past three year.

A downside risk is a potential loss from the asset or investment. The Downside risk here is measured by the downside deviation, which is the standard deviation of negative returns.

Frequently Asked Questions Learn more about 3-Year Sortino Ratio →
What does a 3-Year Sortino Ratio of 1.36 mean?
Madrigal Pharmaceuticals (MDGL) has a 3-Year Sortino Ratio of 1.36 as of Aug. 31, 2026. 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. View historical data for Madrigal Pharmaceuticals and its competitors.
Is Madrigal Pharmaceuticals' 3-Year Sortino Ratio too high?
Madrigal Pharmaceuticals' current 3-Year Sortino Ratio is 1.36. Overall, Madrigal Pharmaceuticals has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Madrigal Pharmaceuticals' 3-Year Sortino Ratio compare to CORT and BMRN?
Madrigal Pharmaceuticals' 3-Year Sortino Ratio of 1.36 can be compared against companies in the Biotechnology industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year Sortino Ratio for a Biotechnology company?
A good 3-Year Sortino Ratio depends on the Biotechnology industry context. However, 3-Year Sortino Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year Sortino Ratio mean?
A high 3-Year Sortino Ratio can signal that a stock is expensive relative to its fundamentals. 3-Year Sortino Ratio measures the additional return that an investor receives per unit of the downside risk over the past three years. View historical data for Madrigal Pharmaceuticals and its competitors. Madrigal Pharmaceuticals's current 3-Year Sortino Ratio is 1.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Madrigal Pharmaceuticals stock overvalued right now?
Madrigal Pharmaceuticals (MDGL) has a current 3-Year Sortino Ratio of 1.36. The current 3-Year Sortino Ratio is 1.36. Madrigal Pharmaceuticals' overall GF Score™ is 31/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year Sortino Ratio calculated?
3-Year Sortino Ratio is calculated from a company's financial statements. For Madrigal Pharmaceuticals (MDGL), the current 3-Year Sortino Ratio is 1.36 as of Aug. 31, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Madrigal Pharmaceuticals Business Description

Address 200 Barr Harbor Drive, Suite 200, Four Tower Bridge, West Conshohocken, PA, USA, 19428
Madrigal Pharmaceuticals Inc is a biopharmaceutical company focused on delivering novel therapeutics for metabolic dysfunction-associated steatohepatitis (MASH), a serious liver disease with high unmet medical need that can lead to cirrhosis, liver failure, liver cancer, need for liver transplantation and premature mortality. Its medication, Rezdiffra (resmetirom), is a once-daily, oral, liver-directed thyroid hormone receptor beta agonist designed to target key underlying causes of MASH.
31GF Score

Get the complete analysis for MDGL

3-Year Sortino Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$540.03
Price