J.P. Morgan’s healthcare analyst Cory Kasimov weighed in with his views on MannKind Corporation (NASDAQ:MNKD), after the company reported its fourth-quarter results and business update. The analyst rates the stock a Neutral with a $6 price target, which reflects a potential downside of -13.2% from last closing price.
Kasimov stated, “The company provided very limited info on Afrezza’s early launch, which is admittedly only 2 weeks in. Mgmt did note that they are pleased with initial demand for sample packs (10 day supply), though we will likely have to wait until the 1Q update in May to really start to glean any color on the launch. Additionally, MNKD is beginning to lay the groundwork for their focus post Afrezza (potential products based on the Technosphere technology).”
“However, given these potential programs are very early stage, they are unlikely to impact the investment thesis in the short-to-intermediate-term. Bottom line, we still remain skeptical that the commercial potential of Afrezza is enough to warrant meaningful upside to valuation. Indeed, we estimate that Afrezza has to match the leading mealtime insulin in the world just to justify MNKD’s prevailing valuation.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Cory Kasimov has a total average return of 15.5% and a 62.7% success rate. Kasimov has a 51.9% average return when recommending MNKD, and is ranked #352 out of 3483 analysts.