MannKind Corporation (NASDAQ:MNKD) fell 6.5% in pre-market trading down to $3.02 after the pharmaceutical company was downgraded by Adnan Butt of RBC Capital. Butt downgraded the stock from Outperform to Underperform and slashed his price target from $9 to $1. The analyst attributes his downgrade to disappointing Afrezza growth; the over-hyped inhalable insulin for adults with diabetes. Analysts were expecting the drug to become a blockbuster hit, though this vision never came to fruition. Lackluster sales were recently revealed in Sanofi’s earnings this week as the two drug companies partnered on the drug. Butt points to several reasons for Afrezza’s poor performance, including, “modest patient interest/ awareness, cost and access issues, and slow growth.” Two analysts polled by TipRanks in the last 3 months are bearish on the stock; none are bullish or neutral. The average 12-month price target between these 2 bearish analysts is $1.25, marking a 61% potential downside from where shares last closed.
Tesla Motors Inc (NASDAQ:TSLA) shares rose 7.27% this morning to $223.80 after the company released its Q3 earnings yesterday after market close. Tesla posted revenue of $1.24 billion, up 33% from last quarter. However, due to high overhead costs associated with their Model X production, the company posted a loss of $229.9 million in Q3. Investors remain positive on Telsa, as the company narrowly exceeded its delivery expectations, something they were not able to do in in the past 2 quarters. Tesla announced plans to produce up to 19,000 models next quarter as well as raise vehicle sale prices. In light of the earnings report, James Albertine of Stifel reaffirmed his bullish outlook on the company, noting, “While [the vehicle delivery guidance] is lower than previous guidance for 50-55k deliveries, we believe TSLA’s target for 17-19k deliveries is better than expected, including our model estimating 15,500 4Q15 deliveries.” According to the 18 analysts polled by TipRanks in the last 3 months, 7 are bullish on the company, 5 are bearish, and 6 remain on the sidelines. The average 12-month price target for the stock is $285.85, marking a 37% potential upside from where shares last closed.
Groupon Inc (NASDAQ:GRPN) plummeted 23.30% in pre-market trading down to $2.93 after the ecommerce space posted disappointing earnings yesterday after market close. The company posted earnings of $0.01, falling very short of analysts’ expectations of $0.07. The company forecasts sales for the quarter of $815 million to $865 million, missing analysts’ estimates of $956 million. Amid the news, CEO Eric Lefkofsky announced that he will be stepping down immediately and returning to his prior position as Chairman, to be replaced by COO Rich Williams. As a result of the disappointing earnngs, Piper Jaffray analyst Gene Munster downgraded the company from Overweight to Neutral and slashed his price target from $7.50 to $2.50. Muntser explained, “At the core of our downgrade is a belief that Groupon should be more focused at improving the product and less focused on marketing. We understand the company’s investment in marketing approach but do not believe it solves the company’s underlying challenge, which is building a more compelling product that virally attracts users.” According to the 9 analysts polled by TipRanks in the last 3 months, 4 are bullish on the company, 2 are bearish, and 3 remain neutral. The average 12-month price target on the stock is $4.33, marking a 7.44% potential upside from where shares last closed.
Stratasys, Ltd. (NASDAQ:SSYS) fell 4.48% in pre-market trading down to $26.00 after the company posted a loss this morning for its third quarter earnings. The 3D printing company posted non-GAAP earnings per share of 0.01 on revenue of $167.6 million, falling short of analysts’ estimates of $0.08 and $184.6 million, respectively. CEO David Reis attributed the poor performance to the “difficult global macro-economic environment.” He continued, “We believe the current environment is primarily a result of weak investment in capital equipment, which has combined with the negative impact of excess capacity that we believe was created during a period of extraordinary growth for Stratasys, and the overall industry, during 2013 and 2014.” According to the 8 analysts polled by TipRanks in the last 3 months, 5 are bullish on SSYS, 2 are neutral, and 1 is bearish. The average 12-month price target between these 8 analysts is $31.75, marking a 16% potential upside from current levels.