MannKind Corporation (NASDAQ:MNKD)’s Afrezza report raises ratings
The California-based MannKind Corporation (NASDAQ:MNKD) has received a much-required $40M finance from Deerfield post the data readout. This is the 2nd of the 4 trances that are supposed to provide the company with a total of $160 million.
In a statement, the company said that the 2nd trance of convertible notes would depend on the achievement of Phase 3 data from the 171 and 175 studies. These met the primary efficacy-points of these specific studies and did not indicate any adverse safety issues that would stand in the way of the Afrezza approval.
Zacks reaffirmed their “neutral” rating on
MNKD shares, in the report that was released last Wednesday and have a $7.25 price target on the shares.
Zack’s analyst wrote that the net loss of $0.16 /share that MNKD experienced in the Q2 was not as wide as the $0.23 that it was a year ago. However, it was more than the Zacks estimate of $0.15. The analyst said that the firm expects investors to stay focused on the company; now that it has completed both the late stage studies and that the results are expected soon.
The Afrezza plan
The company is planning on resubmitting the NDA for Afrezza towards the end of 2013. However, the analyst went on to say that the firm was concerned about the fact that the company was depending on that one drug to such an extent. By the looks of it, it will take more than Afrezza to impress investors.
In Friday’s trading session MNKD stock dipped by 13.10%. The opening price of $6.75 touched an intraday high of $6.78 and closed at $5.72. More than 25.03 million shares were traded in Friday’s session while the average volume of shares sold
over a 30 day period was 8.75 million. The company has a market cap of 1.74 billion.