MannKind Corporation (NASDAQ: MNKD)
MNKD is a heavily debated stock; and understandably so. Investors in the company are heavily focused on Afrezza; an inhaled insulin that Goldman Sachs has said isn’t selling well. On the other hand, Jefferies recently published a survey that determined that 65% of responding endocrinologists stated that they have heard of and plan on using Afrezza more in the future. So, lately, the stock has been more bullish than bearish. I’ve got to say, it’s seeing the growth it deserves. In my opinion, MNKD is a great stock for the long run, here’s why…
Afrezza Is Still In Pre-Launch Mode
One thing that you have to remember when looking at MNKD and Afrezza is the fact that Afrezza is still in a pre-launch phase. There has been absolutely no advertising at all; and still there have been a decent number of sales. Nonetheless, this phase is nearing its end. Soon, Sanofi SA (ADR) (NYSE: SNY) and MannKind will be taking Afrezza to the next level. Within weeks, Afrezza will start the Direct-to-Consumer campaign that will lead to a boost in sales. As soon as this happens, investors are likely to be incredibly excited; leading to gains in the stock.
MNKD Created A Masterpiece With Afrezza
Unfortunately, I have a few family members that are diabetic. One of the biggest complaints they have is having to give themselves injections before meals. However, MannKind has figured out a way to solve this problem. Through the use of their proprietary technosphere technology, MNKD has found a way to deliver insulin to the human body through an inhaler. Not to mention that just reading through posts on Twitter from people in the diabetic community that are already using Afrezza will show that diabetic blood sugar spikes are at a minimum when compared to other insulin. All in all, Afrezza is an incredible product, and is likely to go far in the market.
MannKind Goes Far Beyond Afrezza
Another thing that’s important to keep in mind is that Afrezza isn’t the only big hit that MannKind is likely to put out moving forward. As a matter of fact, the company recently brought James S. Shannon on the board to assist with the development of new products that take advantage of the company’s technosphere technology. The bottom line is that MannKind is likely to come up with more injection only medications that will one day be able to be delivered through an inhaler; and I think I speak for the masses when I say that I’d rather inhale a medication than inject it!
If you’re only looking at the beginning of Afrezza sales, I can understand a bearish approach to the stock. However, when the lens is widened and all factors are taken into account, it’s clear to see that based on what is soon to happen with Afrezza, and what the company is doing with technosphere will eventually be incredibly profitable. So, now may be the time to start looking for good entrance opportunities.
What Do You Think?
Where do you think MNKD is headed and why? Let us know in the comments below!