Goyo

Mannkind: Overlooked Biotech With Excellent Prospects (Part VI)

You're a Zacks guy, right!?


On Jun 26 01:58 PM Mr BSG wrote:

> Are there any companies or segments of biotech you would recommend
> investors stay away from in the near term?
>
> We are currently negative on the inhaled insulin segment. Therefore,
> we have a Sell rating on Mannkind Corporation (MNKD), which develops
> inhaled insulin.
>
> The inhaled insulin program was once thought to be the garden of
> blockbusters for diabetes treatment. But things all changed since
> October 2007 when Pfizer (PFE) withdrew its marketing support of
> Exubera, the first FDA-approved inhaled insulin on the market. <br/>
>
> Following the withdrawal of marketing support of Exubera from Pfizer,
> Novo Nordisk (NVO)/Aradigm and Eli Lilly (LLY)/Alkermes (ALKS) discontinued
> their late stage inhaled insulin programs respectively in early 2008.
> The reason for the withdrawal or discontinuation is apparently the
> lack of market prospectus for inhaled insulin products which has
> been evidenced by the very slow uptake of Exubera sales (only $12
> million in the first three quarters of 2007). Another reason is the
> potential risk for lung cancer of inhaled insulin products.
>
> We have a Sell rating on Mannkind based on our general negative view
> on the inhaled insulin segment. MNKD relies heavily on its inhaled
> insulin program with a very weak pipeline. Also, the company is burning
> cash at too high a rate and cash position is a matter of great concern.
>
>

Mannkind: Overlooked Biotech With Excellent Prospects (Part VI)

> PFE has the largest Pharma Salesforce in the world and they couldn't
> convince Dr.s or patients to use exubera.

They didn't know how to sell INSULIN (or maybe even spell it).

> MNKD has an inferior product that has already been rejected by the
> market.

Getting your advice from a Phizzler analyst are you?

> MNKD will NEVER get FDA Approval.

Such sure words... amazing insight. Time will tell!

> MNKD will be out of cash by Nov. 2008

Your argument is starting to waffle a bit... it's November little buddy... seen their balance sheet lately?

> I stick by my prediction of $1.00 by Dec 2008 and bankrupt in 2009.
> In fact, both may come sooner than expected.

Tick tock, tick tock... you are running out of time little buddy...