Concluding another successful year, the 2016 JP Morgan Healthcare Conference has seen its share of announcements, discoveries and unveiling of things to come. Among the equities in focus are biotech company MannKind Corporation (NASDAQ:MNKD) and pharmaceutical company ZIOPHARM Oncology Inc. (NASDAQ:ZIOP). Let’s take a look and see what JP Morgan analysts have to say about MNKD and ZIOP.
J.P. Morgan analyst Cory Kasimov rates MannKind shares an Underweight.
Kasimov observed, “MannKind expressed confidence in its ability to commercialize Afrezza on its own. Management outlined preliminary new sales and marketing ideas that the company believes will have little to no costs. In addition, MNKD indicated it will implement a new pricing strategy to be on par with existing mealtime insulins.”
The analyst continued, “MannKind believes the keys to success for Afrezza are: increase market demand by pricing Afrezza at a more competitive level to existing mealtime insulin (Sanofi priced Afrezza at a premium; lower cost could lead to improved insurance coverage), implement a fulfillment channel strategy, expand WW presence in the longer term (high volume, low margin with potential for cash infusion from milestones), educate pts on Afrezza usage, and implement Afrezza Advocate Council marketing campaign.”
Furthermore, “[The company] believes its cash runway will last into 2H16 and will have the ability to raise capital, although the co doesn’t want to raise equity at the current market price.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Cory Kasimov has a yearly average return of -15% and a 20% success rate. Kasimov has a 49.9% average return when recommending MNKD, and is ranked #3557 out of 3585 analysts.
J.P. Morgan analyst Whitney Ijem rates Ziopharm shares a Neutral.
Ijem observed, “Not much new, largely in line with commentary from the company’s mid-December 2016 outlook call. Ad-RTS-IL-12 in GBM and breast cancer is encouraging though the FDA required low starting doses and delays between dosing/cohorts to monitor for safety. Working with the FDA to try to reduce between-patient waiting time to accelerate recruitment. Will provide additional data and an OS update at ASCO.”
According to TipRanks.com, analyst Whitney Ijem has a yearly average return of -26.9% and a 0% success rate. Ijem is ranked #3244 out of 3585 analysts.
Out of the 4 analysts polled by TipRanks, 3 rate Ziopharm stock a Hold, while 1 rates the stock a Buy. With a return potential of 135.6%, the stock’s consensus target price stands at $13.67.