MannKind Corporation (NASDAQ: MNKD)
Watching MannKind in the market over the past few months has been a lot like riding a roller coaster. However, the trend is moving up today following news that the company’s flagship product, Afrezza, has hit $1 million in sales. Today, we’ll talk about what $1 million in sales means for MNKD, what we’ve seen from the stock as a result of the landmark, and what we can expect to see moving forward. So, let’s get right to it.
Afrezza Reaches $1 Million In Sales
According to Symphony data, Afrezza has officially passed the $1 million mark in sales of Afrezza. This is said to have happened during the week of April 24th; with the MNKD generating an estimated $1,056,174 in sales of it’s inhaled insulin product. While a million dollars may seem like a big deal to the every day consumer; it’s really just a drop in the bucket when it comes to diabetic treatments. The reality is that at this pace, MNKD isn’t going to do too well. However, there are a couple of things that are important to keep in mind…
- MannKind’s Afrezza is still very new to the diabetes community.
- Because it’s a very new drug, the FDA requires patients who would like to be prescribed Afrezza to jump through various legal hoops, making sales in early stages difficult.
Keeping the two facts above in mind, it’s still going to take some time for Afrezza to reach its full potential in the market; and considering the hoops that patients need to jump through, this is a very big landmark! As a matter of fact, Afrezza isn’t expected to hit peak sales until the year 2020. Here’s what Olivier Brandicourt had to say about the insulin…
“In February, Afrezza the new inhaled insulin was also launched in the U.S. Market. It has only been a couple of months since the launch, because of requirements imposed by FDA for starting patients on the therapy and the necessary time to gain market access, it will take time for Afrezza to demonstrate full potential.”
How MNKD Reacted In The Market To The News
While there’s no doubt that it will take time for Afrezza to reach its full potential with regard to sales, investors seem to be incredibly happy about the recent $1 million sales landmark. Currently (11:28), MNKD is trading at $4.36 per share after a gain of 4.43% so far today.
What We Can Expect From MannKind Moving Forward
As I’ve mentioned in several previous posts, I’m a huge fan of MNKD. I understand that $1 million in sales isn’t a lot, but given the current hurdles that MNKD has to jump in order to sell the product, it’s a major landmark. In time, I’m expecting to see Afrezza take off. However, it’s important to remember that Afrezza represents far more than insulin. The technology used in the delivery of the insulin can be used to deliver other medications that are only administered through injections at the moment. There’s no doubt in my mind that this technology will have major value moving forward. So, I’m expecting to see long run growth.
What Do You Think?
Where do you think MNKD is headed and why? Let us know in the comments below!