Best Options Strategy for MDGL
Looking for the best options strategy for Madrigal Pharmaceuticals, Inc. (MDGL)? There is no single answer — the right play depends on your outlook, your risk tolerance and current implied volatility. Below, our free engine shows the highest-scoring defined-risk strategy on the live MDGL option chain right now, and a simple map from your view on MDGL to the strategy that fits it. Model any of them in the calculator before you trade.
About MDGL
Madrigal Pharmaceuticals, Inc. (MDGL) is a major company in Biotechnology. Options traders on MDGL tend to watch , since these can drive large moves in the share price.
About Madrigal Pharmaceuticals, Inc.
# About Madrigal Pharmaceuticals, Inc.
Madrigal Pharmaceuticals is a biopharmaceutical company developing treatments for metabolic dysfunction-associated steatohepatitis, commonly known as MASH. The condition involves fat accumulation and inflammation in the liver tied to metabolic problems. The company's primary asset is Rezdiffra, a specialized medication that works as a thyroid hormone receptor beta agonist designed to target liver function directly. Founded in 2016 and based in West Conshohocken, Pennsylvania, the company concentrates its efforts on addressing this liver disease in the U.S. market.
Madrigal generates revenue through commercialization of Rezdiffra for patients with MASH, which represents a significant therapeutic area given the prevalence of metabolic liver disease. The company operates within the specialty pharmaceutical segment, targeting a patient population that previously lacked approved treatment options. Its market focuses on the United States healthcare system, where it sells through distribution channels to reach hepatologists, gastroenterologists, and other relevant specialists treating MASH patients.
Today's top-scoring strategy for MDGL
Our engine ranks defined-risk strategies on the live MDGL chain by probability of profit and risk/reward, then surfaces the best-scoring one. It is an educational illustration, not advice.
| Action | Qty | Type | Strike | Premium |
|---|---|---|---|---|
| Buy | 1× | PUT | $420 | $0.66 |
| Sell | 1× | PUT | $470 | $5.89 |
Simulation
Forward simulation of 6,000 lognormal price paths to expiration — not a historical backtest.
Strategy analysis
Greeks vs price
Price × volatility (today)
| −30% | −15% | IV | +15% | +30% | |
|---|---|---|---|---|---|
| $635 | $523 | $523 | $521 | $516 | $503 |
| $610 | $523 | $522 | $517 | $502 | $475 |
| $585 | $522 | $517 | $500 | $466 | $414 |
| $559 | $517 | $494 | $448 | $378 | $290 |
| $534 | $480 | $410 | $309 | $188 | $59 |
| $508 | $314 | $158 | −$10 | −$174 | −$329 |
| $483 | −$213 | −$426 | −$613 | −$773 | −$911 |
| $457 | −$1,317 | −$1,436 | −$1,532 | −$1,610 | −$1,675 |
| $432 | −$2,775 | −$2,685 | −$2,619 | −$2,569 | −$2,533 |
| $407 | −$3,910 | −$3,731 | −$3,575 | −$3,443 | −$3,334 |
| $381 | −$4,380 | −$4,282 | −$4,167 | −$4,049 | −$3,934 |
Illustrative example at MDGL's latest available price, computed with the same engine as the tool. Live option fills and the real IV skew refresh during US market hours.
Implied volatility
MDGL is currently trading with moderate implied volatility, broadly in line with other large-cap stocks. On the options we scanned that was around 32% implied volatility, and higher implied volatility means richer premiums and wider expected moves.
Options on MDGL currently price in about 32% implied volatility, versus roughly 51% the stock has actually realised over the past month. That makes options relatively cheap — an edge for strategies that buy premium, such as long calls, long puts and debit spreads.
Off that volatility, the options market is pricing a move of about ±$49.83 (±10%) in MDGL by 2026-09-18 — a range of roughly $458 to $558. Strikes inside that band hold most of the premium and see most of the action.
Across strikes, downside puts on MDGL trade at a higher implied volatility than upside calls — the market is paying up for crash protection. That skew favours selling put spreads or buying calls over symmetric trades.
MDGL insider trading activity (SEC Form 4)
Open-market insider transactions at MDGL over roughly the last six months, from SEC Form 4 filings. Open-market buys are the rarer, more telling signal — routine selling under pre-arranged plans is common, so read a net-selling figure with that in mind.
| Insider | Action | Shares | Value | Date |
|---|---|---|---|---|
| Sibold William John | Sell | 280 | $155K | 2026-07-20 |
| Sibold William John | Sell | 1 | $551 | 2026-07-20 |
| Sibold William John | Sell | 153 | $84K | 2026-07-20 |
| Sibold William John | Sell | 47 | $26K | 2026-07-20 |
| Sibold William John | Sell | 680 | $372K | 2026-07-20 |
| Sibold William John | Sell | 269 | $147K | 2026-07-20 |
Source: SEC Form 4 filings via Finnhub. Open-market purchases (P) and sales (S) only — grants, option exercises, gifts and tax withholding are excluded. Informational context, not investment advice.
Key figures
- Market cap
- $11.9B
- Beta (vs market)
- -1.00
- 52-week range
- $331.00–$615.00 (62% up the range)
- Short interest
- 10.5% of float · 4.8 days to cover
With 10.5% of MDGL's float sold short, squeeze and gap risk are elevated — one reason its options can stay expensive.
How to choose an options strategy for MDGL
Start with your outlook on MDGL, then match it to a defined-risk structure. Here are the most common choices and when each makes sense:
Bullish
Buy a call for leverage with capped risk, or a bull call spread to lower the cost and breakeven when you have a target price.
Long Call → Bull Call Spread →Bearish
Buy a put to profit from a decline with defined risk, or a bear put spread to cheapen the trade when you expect a measured move down.
Long Put → Bear Put Spread →Neutral
Sell an iron condor to collect premium while MDGL stays between two strikes, or write a covered call against shares you already own.
Iron Condor → Covered Call →⧉ Embed this free calculator on your site →
How we pick the best strategy
For each ticker we pull the live option chain, build every supported strategy around the at-the-money strikes, and score them on probability of profit, risk/reward and capital efficiency — favouring defined-risk structures where the maximum loss is known up front. Methodology →
Open MDGL in the free calculator →
Frequently asked questions
What is the best options strategy for MDGL?
It depends on your outlook. Bullish traders often use a long call or bull call spread on MDGL; bearish traders a long put or bear put spread; neutral traders an iron condor or covered call. Our live scan above shows the current highest-scoring defined-risk play.
Are MDGL options liquid enough to trade?
Madrigal Pharmaceuticals, Inc. (MDGL) is among the most actively-traded US options, which usually means tight bid/ask spreads and plenty of strikes and expirations — though you should always check the open interest and spread on the exact contract.
How much money do I need to trade MDGL options?
Buying a single MDGL call or put can cost as little as the premium (often one to a few hundred dollars), while income strategies like a cash-secured put need enough capital to buy 100 shares if assigned.
Is this financial advice?
No. Everything here is educational and uses delayed, third-party data. It is not a recommendation to trade MDGL or any security. Do your own research.
What does Madrigal Pharmaceuticals, Inc. do?
Madrigal Pharmaceuticals, Inc. (MDGL) operates in the Biotechnology industry. The "About Madrigal Pharmaceuticals, Inc." section above gives a fuller picture of what the company does and how it earns money.
Does Madrigal Pharmaceuticals, Inc. pay a dividend?
We don't show a confirmed dividend yield for Madrigal Pharmaceuticals, Inc. here, so treat it as uncertain: before writing calls, check its current dividend and ex-dividend date with your broker — an approaching ex-dividend date can trigger early assignment on in-the-money short calls.
Price trend
Tickers related to MDGL
Comparing MDGL with similar names can help you choose the best options strategy:
Company information
- Headquarters
- Four Tower Bridge, 200 Barr Harbor Drive Suite 200, West Conshohocken, PA, 19428, United States
- Industry
- Biotechnology
- Employees
- 915
- CEO
- Mr. William J. Sibold
- Phone
- 267 824 2827
- Website
- www.madrigalpharma.com
- Investor relations
- ir.syntapharma.com/phoenix.zhtml?c=147988&p=irol-irhome
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