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Post by sportsrancho on Nov 6, 2021 9:49:11 GMT -5
Yes correct.
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Post by prcgorman2 on Nov 6, 2021 10:50:46 GMT -5
Didn't they just give themselves a ton of shares a few months ago? Right, Peppy. Why giveth when you can just taketh away  Stock compensation from the treasury (where it was deposited in a non-cash but dilutive transaction by the shareholders) is much cheaper than actual cash out the door. it’s smart money management and an EXTREMELY COMMON method of compensation and incentive. The result, in this case, might be executives are sitting on a nice pile of stock and don’t feel particularly concerned about dumping a bunch of their hard earned cash to add to the pile. I never expect company executives to pile a bunch of their own money into their company’s stock and I don’t think it is the norm. How many of us that have Employee Stock Purchase Plans available to us pile a bunch of our paycheck into buying company stock? I participate, but it’s just a modest amount, and my RSU grants add to it where I feel like I’m ok with the accumulation. I’ve always assumed accumulation by company execs is a nice-to-have and have always questioned whether it has a material and lasting effect on stock price. There are probably outlier examples to the contrary (and probably billionaires able to withstand a big loss) but those would be outlier examples. |
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Post by ryster505 on Nov 6, 2021 12:15:41 GMT -5
If the stock price doesn’t go up, they can’t cash out all their options…It is a major motivator for the executives to EXECUTE so they can vest those options..
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Post by Chris-C on Nov 6, 2021 13:21:04 GMT -5
If the stock price doesn’t go up, they can’t cash out all their options…It is a major motivator for the executives to EXECUTE so they can vest those options.. Agreed. Anyway you frame this, it adds up to a strong incentive to execute and shows that the CEO believes this company is destined for a bright future. It's reassuring to see that he sees things pretty much the way most of the posters on the board see them. Many of us were here pre-Castagna and saw things the way Al Mann did. All of this having been said, I still am surprised and disappointed that after years of research and development prior to approval (on a less than stellar non-inferiority study), MNKD did not fully understand the dosing of its own product. It appears that in the beginning, the plan was to get it approved and sell the company or the product; assuming (incorrectly and almost fatally) that the demand for an inhaled insulin would overshadow any other aspects of the product. The optimism was so bright that it blinded the leadership and company culture to the challenges of a different healthcare marketplace that had evolved since Al Mann had formed the company, a reluctant prescriber base wary of pulmonary issues and unimpressed by study outcomes, potential users who were not nearly as needle averse as MNKD thought, and potential investors who had seen the failure of exubera and were not pumped up about inhaled insulin no matter how convenient and cute the dreamboat inhaler was. It's an amazing story, really, with all kinds of twists and turns. I think we are overdue for the current untwisting and turn for the better. For Afrezza, understanding dosing is the key. For MNKD, technosphere is the key. All in my humble opinion, of course. GLTAL! |
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Post by prcgorman2 on Nov 6, 2021 13:50:46 GMT -5
If the stock price doesn’t go up, they can’t cash out all their options…It is a major motivator for the executives to EXECUTE so they can vest those options.. Agreed. Anyway you frame this, it adds up to a strong incentive to execute and shows that the CEO believes this company is destined for a bright future. It's reassuring to see that he sees things pretty much the way most of the posters on the board see them. Many of us were here pre-Castagna and saw things the way Al Mann did. All of this having been said, I still am surprised and disappointed that after years of research and development prior to approval (on a less than stellar non-inferiority study), MNKD did not fully understand the dosing of its own product. It appears that in the beginning, the plan was to get it approved and sell the company or the product; assuming (incorrectly and almost fatally) that the demand for an inhaled insulin would overshadow any other aspects of the product. The optimism was so bright that it blinded the leadership and company culture to the challenges of a different healthcare marketplace that had evolved since Al Mann had formed the company, a reluctant prescriber base wary of pulmonary issues and unimpressed by study outcomes, potential users who were not nearly as needle averse as MNKD thought, and potential investors who had seen the failure of exubera and were not pumped up about inhaled insulin no matter how convenient and cute the dreamboat inhaler was. It's an amazing story, really, with all kinds of twists and turns. I think we are overdue for the current untwisting and turn for the better. For Afrezza, understanding dosing is the key. For MNKD, technosphere is the key. All in my humble opinion, of course. GLTAL! Another insightful post. Thank you Chris-C. The only nuanced difference in my view is that Al and team did anticipate headwinds after the inferior non-inferiority study largely caused by the 2nd CRL and fear of the FDA delivering a 3rd CRL which obviously was a real concern and probably would have happened if not for the unanimous recommendation of the non-FDA Advisory Committee (which still seems like a bit of a miracle). I think the worldwide marketing agreement with Sanofi was the the right move because it allowed Mannkind to remain focused on developing the TechnoSphere franchise while acquiring $1B+ in milestones and useful revenue from royalties. The biggest issue with all of it was insufficient disincentives (and/or incentives) in the agreement to prevent what happened when Chris Viehbacher was fired by the Sanofi BoD and replaced with the idiot formerly in charge of the Exubera disaster at Pfizer and who led Sanofi to a sustained 25% loss of shareholder value before he himself was fired and replaced. This put Mannkind in position for utter failure and bankruptcy and invited large scale shorting which might have been contributed to by Sanofi who could use the money to pay off the divorce decree. Ugly, bloody, painful, brutal and no wonder longs have endured so much mocking as bagholders and chumps. The fact that money is available for studies to prove what was known to those who only respect studies is literally a monument to yeoman-like leadership. If the story is ever “epic” (in a good way), “yeoman-like” may instead be upgraded to “brilliant” in retrospect. |
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Post by sportsrancho on Nov 6, 2021 14:32:30 GMT -5
I think that is the writing that Mike saw on the wall.
I was blinded by not understanding diabetics at the time and how resistant they are to change.
Bill comes from a family of doctors, father, brother etc. and did understand how Endo’s would fight this.
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Post by prcgorman2 on Nov 7, 2021 10:25:46 GMT -5
I think that is the writing that Mike saw on the wall. I was blinded by not understanding diabetics at the time and how resistant they are to change. Bill comes from a family of doctors, father, brother etc. and did understand how Endo’s would fight this. And yet Bill took on VDEX anyway. Remarkable. I hope he and VDEX are richly rewarded for their faith and effort. |
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Post by Chris-C on Nov 7, 2021 10:46:55 GMT -5
I think that is the writing that Mike saw on the wall. I was blinded by not understanding diabetics at the time and how resistant they are to change. Bill comes from a family of doctors, father, brother etc. and did understand how Endo’s would fight this. And yet Bill took on VDEX anyway. Remarkable. I hope he and VDEX are richly rewarded for their faith and effort. Agreed 100%!! |
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Post by casualinvestor on Nov 8, 2021 10:50:24 GMT -5
With stock options and regular purchases (for some), the executives at MNKD have plenty of skin in the game.
I never understood the idea that individual people at a company "should" be investing their own money in the company they work for. Imagine something comes out of left field and MNKD goes bankwupt (or there's a scandal with an individual so they lose their job and benefits). They've now lost their job, their options *AND* their savings.
Diversification is important in all parts of financial health!
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Post by porkini on Nov 8, 2021 10:55:05 GMT -5
With stock options and regular purchases (for some), the executives at MNKD have plenty of skin in the game. I never understood the idea that individual people at a company "should" be investing their own money in the company they work for. Imagine something comes out of left field and MNKD goes bankwupt (or there's a scandal with an individual so they lose their job and benefits). They've now lost their job, their options *AND* their savings. Diversification is important in all parts of financial health! Elmer @keyboard   |
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Post by cedafuntennis on Nov 8, 2021 11:27:17 GMT -5
I don't think anyone was suggesting that executives sell their homes and put all their money in Mannkind. Nobody. However, your negative argument could also swing the other way where something wildly positive comes out the the stock triples overnight. Not suggesting it will, but as you brought up the BK risk, I am bringing this up too. Pendulum swings both ways.
Some personal conviction outside of the free shares would be very positive for the shareholder morale as well as the SP, even though this seems to take care of itself lately based on improving fundamentals, cash and pipeline.
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Post by casualinvestor on Nov 8, 2021 13:40:19 GMT -5
You're missing the point. If MNKD is wildly successful, their stock options are worth a lot more, there will be more raises/bonuses all around and their jobs will be secure for longer. They ALREADY have plenty of skin in the game. You're asking for more.
And even if they do buy today, in 6 months it'll be the same old "What have you done for me lately". IE, why are they not buying!?!?!? Have they lost faith?!?!?!
Bonuses paid in shares are not "free shares" (despite MNKD execs having awarded themselves ludicrously well). I get a cash bonus, and that's earned money same as bonuses paid in shares no matter what we think of their performance/metrics. And I really hate their bonus metrics.
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Post by MnkdWASmyRtrmntPlan on Nov 8, 2021 16:08:36 GMT -5
I totally agree with you on Mikey's lack of moral and ethical character. A noble man he is not. Just buy some stock, Mike. It's one of the responsibilities of your job already. You always look cocky, but if you don't buy your own stock, you just don't appear confident in yourself. Not what I said, or implied about Mike or Mike's leadership "with his wallet." (just clarifying) Would I like to see him be more aggressive with his wallet, yes. But, I don't judge his moral and ethical character by what he does or doesn't do with his wallet. Unethical and immoral conduct? Nobility? Are you thinking of "The Christmas Massacre", Indy Sponsorships, Afrezza TV commercials and other corporate marketing or financial decisions that don't always materialize as having had a great ROI? I don't think you are talking about these but, I have to ask because they're overused by the short cabal, even as the SP has been rising over the last 18 months. HD, Sorry about that. My bad. I did not mean to twist what you said. What I meant to say is that I totally agreed with you that “At some point, there has to be a statement of conviction with their own wallets” … and I also believe that Castagna’s refusal to buy his own stock since his first year on the job displays his lack of moral and ethical responsibility, and to say the least, it is not noble of him. Here’s the deal: I believe that CEOs have a moral and ethical responsibility to buy their own stock: • Arguably, the CEO’s primary responsibility is to drive the price of the stock up. • When stocks are bought, even if they are bought by the CEO, it drives the price up. • A CEO buying their own stock makes a statement that they are working hard, and it displays their confidence that their work will pay off and drive the stock price up. When potential investors see that the CEO is putting their own money where their mouth is, they buy too. That, in turn, can be the biggest catalyst possible to drive up the share price. And, on the flipside, if a CEO is not buying large and buying often, especially when the company has (in, dare I say, “OUR” opinion) as much upside potential that MNKD now has, well, that speaks volumes to potential investors about the CEO’s lack of conviction and confidence in himself and his disbelief in the future of the company’s stock price, so it can also drive (or, keep) the price down as effectively as shorts can. HD, the x-mas thing, etc., all build the case that our CEO is not exactly always believable. Making promises to your shareholders and then breaking them shortly afterward is not only immoral and not noble, but it’s also disgusting. It really bothered me the time he totally mucked up his forecast, and he basically said it happened because he is being forced to do it, but it’s just too hard. Figuratively, putting his hands on his hips and saying with a pout “I’m just not doing it anymore … so, THERE!”. What kind of CEO does that, anyway? All CEO’s that I know of do quarterly forecasts. Since he took the CEO helm in March, 2016, when the stock price in today’s terms was $10 and he drove it to 88 cents with the dire threat of bankruptcy. It has since bounced back to $5 and is rising now on the belief in Al Mann’s science. Sure, anyone can point to the last 18 months and campaign that Mikey should have more raises and bonuses. Or, we can talk about any time periods. How about Sept 2004 when it was $116 and then dropped to $.88 cents (in the middle of Mike’s tenure). None of that means much when the time-periods are cherry-picked. It seems to me that the good things that have driven MNKD in the last few years were driven by Mike’s staff (Steve Binder has done wonderful work with restructuring debt; Joe Kocinsky with the channels and with Alejandro it seems that Mannkind has finally taken the direction to acknowledge that more Afrezza needs to be dosed. That acknowledgement is a cornerstone that should lift Afrezza’s anchor. As far as me being a short, well, whatever. My first buy in 2015 was at $3.80 pre-split ($19 after-split price). I have never sold a share yet and I have averaged-down my current average price to the black as low as $3.40 and is now about $3.53 all in today’s after-split prices. So, my fortitude for holding my MNKD stock long and continuing to invest in it is kinda indisputable. I believe in Al Mann’s science, ad I also believe in Mannkind’s staff, but, our CEO in my humble opinion, is mediocre at best. I believe that MNKD is turning the corner in spite of him … not because of him. I continue to hold and have faith in Al’s science. And I stay true to my name MNKD is My Retirement Plan. MNKD is by far the largest investment that I have. I used to say that I would retire when it hits $20, but I don’t think I can wait that long anymore. I have no doubts that with a better CEO, we would certainly be at $20 by now. But, Mikey is what we have, so we will have to make do with him and wait patiently. Obviously, everything in this post is strictly my opinions. Keep holding on! GLTAL |
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Post by hellodolly on Nov 9, 2021 9:09:07 GMT -5
Not what I said, or implied about Mike or Mike's leadership "with his wallet." (just clarifying) Would I like to see him be more aggressive with his wallet, yes. But, I don't judge his moral and ethical character by what he does or doesn't do with his wallet. Unethical and immoral conduct? Nobility? Are you thinking of "The Christmas Massacre", Indy Sponsorships, Afrezza TV commercials and other corporate marketing or financial decisions that don't always materialize as having had a great ROI? I don't think you are talking about these but, I have to ask because they're overused by the short cabal, even as the SP has been rising over the last 18 months. HD, Sorry about that. My bad. I did not mean to twist what you said. What I meant to say is that I totally agreed with you that “At some point, there has to be a statement of conviction with their own wallets” … and I also believe that Castagna’s refusal to buy his own stock since his first year on the job displays his lack of moral and ethical responsibility, and to say the least, it is not noble of him. Here’s the deal: I believe that CEOs have a moral and ethical responsibility to buy their own stock: • Arguably, the CEO’s primary responsibility is to drive the price of the stock up. • When stocks are bought, even if they are bought by the CEO, it drives the price up. • A CEO buying their own stock makes a statement that they are working hard, and it displays their confidence that their work will pay off and drive the stock price up. When potential investors see that the CEO is putting their own money where their mouth is, they buy too. That, in turn, can be the biggest catalyst possible to drive up the share price. And, on the flipside, if a CEO is not buying large and buying often, especially when the company has (in, dare I say, “OUR” opinion) as much upside potential that MNKD now has, well, that speaks volumes to potential investors about the CEO’s lack of conviction and confidence in himself and his disbelief in the future of the company’s stock price, so it can also drive (or, keep) the price down as effectively as shorts can. HD, the x-mas thing, etc., all build the case that our CEO is not exactly always believable. Making promises to your shareholders and then breaking them shortly afterward is not only immoral and not noble, but it’s also disgusting. It really bothered me the time he totally mucked up his forecast, and he basically said it happened because he is being forced to do it, but it’s just too hard. Figuratively, putting his hands on his hips and saying with a pout “I’m just not doing it anymore … so, THERE!”. What kind of CEO does that, anyway? All CEO’s that I know of do quarterly forecasts. Since he took the CEO helm in March, 2016, when the stock price in today’s terms was $10 and he drove it to 88 cents with the dire threat of bankruptcy. It has since bounced back to $5 and is rising now on the belief in Al Mann’s science. Sure, anyone can point to the last 18 months and campaign that Mikey should have more raises and bonuses. Or, we can talk about any time periods. How about Sept 2004 when it was $116 and then dropped to $.88 cents (in the middle of Mike’s tenure). None of that means much when the time-periods are cherry-picked. It seems to me that the good things that have driven MNKD in the last few years were driven by Mike’s staff (Steve Binder has done wonderful work with restructuring debt; Joe Kocinsky with the channels and with Alejandro it seems that Mannkind has finally taken the direction to acknowledge that more Afrezza needs to be dosed. That acknowledgement is a cornerstone that should lift Afrezza’s anchor. As far as me being a short, well, whatever. My first buy in 2015 was at $3.80 pre-split ($19 after-split price). I have never sold a share yet and I have averaged-down my current average price to the black as low as $3.40 and is now about $3.53 all in today’s after-split prices. So, my fortitude for holding my MNKD stock long and continuing to invest in it is kinda indisputable. I believe in Al Mann’s science, ad I also believe in Mannkind’s staff, but, our CEO in my humble opinion, is mediocre at best. I believe that MNKD is turning the corner in spite of him … not because of him. I continue to hold and have faith in Al’s science. And I stay true to my name MNKD is My Retirement Plan. MNKD is by far the largest investment that I have. I used to say that I would retire when it hits $20, but I don’t think I can wait that long anymore. I have no doubts that with a better CEO, we would certainly be at $20 by now. But, Mikey is what we have, so we will have to make do with him and wait patiently. Obviously, everything in this post is strictly my opinions. Keep holding on! GLTAL All well said. Not implying you are short, although they add liquidity to the market, too. |
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Post by markado on Nov 9, 2021 12:29:27 GMT -5
HD, Sorry about that. My bad. I did not mean to twist what you said. What I meant to say is that I totally agreed with you that “At some point, there has to be a statement of conviction with their own wallets” … and I also believe that Castagna’s refusal to buy his own stock since his first year on the job displays his lack of moral and ethical responsibility, and to say the least, it is not noble of him. Here’s the deal: I believe that CEOs have a moral and ethical responsibility to buy their own stock: • Arguably, the CEO’s primary responsibility is to drive the price of the stock up. • When stocks are bought, even if they are bought by the CEO, it drives the price up. • A CEO buying their own stock makes a statement that they are working hard, and it displays their confidence that their work will pay off and drive the stock price up. When potential investors see that the CEO is putting their own money where their mouth is, they buy too. That, in turn, can be the biggest catalyst possible to drive up the share price. And, on the flipside, if a CEO is not buying large and buying often, especially when the company has (in, dare I say, “OUR” opinion) as much upside potential that MNKD now has, well, that speaks volumes to potential investors about the CEO’s lack of conviction and confidence in himself and his disbelief in the future of the company’s stock price, so it can also drive (or, keep) the price down as effectively as shorts can. HD, the x-mas thing, etc., all build the case that our CEO is not exactly always believable. Making promises to your shareholders and then breaking them shortly afterward is not only immoral and not noble, but it’s also disgusting. It really bothered me the time he totally mucked up his forecast, and he basically said it happened because he is being forced to do it, but it’s just too hard. Figuratively, putting his hands on his hips and saying with a pout “I’m just not doing it anymore … so, THERE!”. What kind of CEO does that, anyway? All CEO’s that I know of do quarterly forecasts. Since he took the CEO helm in March, 2016, when the stock price in today’s terms was $10 and he drove it to 88 cents with the dire threat of bankruptcy. It has since bounced back to $5 and is rising now on the belief in Al Mann’s science. Sure, anyone can point to the last 18 months and campaign that Mikey should have more raises and bonuses. Or, we can talk about any time periods. How about Sept 2004 when it was $116 and then dropped to $.88 cents (in the middle of Mike’s tenure). None of that means much when the time-periods are cherry-picked. It seems to me that the good things that have driven MNKD in the last few years were driven by Mike’s staff (Steve Binder has done wonderful work with restructuring debt; Joe Kocinsky with the channels and with Alejandro it seems that Mannkind has finally taken the direction to acknowledge that more Afrezza needs to be dosed. That acknowledgement is a cornerstone that should lift Afrezza’s anchor. As far as me being a short, well, whatever. My first buy in 2015 was at $3.80 pre-split ($19 after-split price). I have never sold a share yet and I have averaged-down my current average price to the black as low as $3.40 and is now about $3.53 all in today’s after-split prices. So, my fortitude for holding my MNKD stock long and continuing to invest in it is kinda indisputable. I believe in Al Mann’s science, ad I also believe in Mannkind’s staff, but, our CEO in my humble opinion, is mediocre at best. I believe that MNKD is turning the corner in spite of him … not because of him. I continue to hold and have faith in Al’s science. And I stay true to my name MNKD is My Retirement Plan. MNKD is by far the largest investment that I have. I used to say that I would retire when it hits $20, but I don’t think I can wait that long anymore. I have no doubts that with a better CEO, we would certainly be at $20 by now. But, Mikey is what we have, so we will have to make do with him and wait patiently. Obviously, everything in this post is strictly my opinions. Keep holding on! GLTAL All well said. Not implying you are short, although they add liquidity to the market, too. If by "adding liquidity to the market," you mean they pi$$ all over and make a mess of it - to the wild detriment of average self-directed individual investors, then I fully agree with you. Otherwise, the liquidity argument is used as justification to maliciously short some competitive innovations out of existence, and let's not begin to pretend that doesn't happen, every day. Hedge funds and big banks love to hold up one or two bad actors every year to say shorting is a form of self-policing in the market. But, it's not hard to find one or two bad apples at the bottom of the barrel. Shorting isn't necessary. It's unfortunate that it's allowed. That said, I won't complain about the $1.00 share blocks I bought a while ago when the MNKD short interest was over 40mm shares. I'll take that windfall and the risk/reward that was/is associated with it. GLTAL's. |
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