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Post by otherottawaguy on Jan 12, 2015 15:23:46 GMT -5
Keith A. Markey, Ph.D., M.B.A.
kmarkey@griffinsecurities.com
212-514-7914
Stock Symbol NASDAQ: MNKD
Current Price $5.76
12 mos. Target Price $16.25
Market Cap $2,336.8 mln
Shares O/S 405.7 mln
Avg Daily Vol. (3 mos.) 4,732,415 shs.
52- Week Price Low/High $3.80 - $11.48
Fiscal Year End Dec
Dividend / Yield $0.00 / 0.0%
January 12, 2015
MannKind Corp. BUY
Company Update : Pharmaceuticals
A Smooth Transition as Commercialization Nears
Alfred Mann has handed the CEO reins to Hakan Edstrom
who has served as MannKind’s President, COO, and director
since 2001. Mr. Mann, who is 89, will continue as Chairman of
the Board and will attend monthly executive meetings as well as
board meetings. Mr. Edstrom has relinquished the role of COO
to Dr. Juergen Martens, who has held the role of Vice President
of Pharmaceutical Development and Technical Operations since
2011. The changes, which became effective on January 9th, do
not signal a significant change in the executive responsibilities of
late nor do they indicate a new strategic direction for MannKind.
Afrezza’s launch appears likely in February. MannKind is
running three shifts at its Connecticut manufacturing plant to build
inventory in anticipation of the rollout. Separately, we learned
that Sanofi will hold meetings in late January to prepare its sales
team for the official launch. Investors can anticipate a news
announcement from MannKind’s marketing partner to formally
announce its plans, but it appears that the company is dedicating
significant resources to introduce Afrezza® before launching its
new long-acting, basal insulin called Toujeo®.
MannKind received two $25 million milestones from Sanofi
recently. However, the Company’s auditors are having difficulty
deciding how these milestones and the $150 million upfront fee the
Company received should be treated. That’s because theoretically
the funds would have to be repaid if Afrezza fails commercially.
Several alternative methods exist and the issues should not be
that difficult to resolve, in our opinion, as Sanofi has a similar profitsharing
contract with Regeneron. The filing of MannKind’s Form
10-K is due by early March.
We continue to rate MannKind shares a BUY with a
price target of $16.25. Commercialization of Afrezza is fast
approaching and with it the potential for the Company to turn
profitable in the next 18 months. We will provide estimates for
2015 once the accounting treatment of the upfront and milestones
has been settled.
griffin.bluematrix.com/sellside/EmailDocViewer?encrypt=3018b8de-3822-448d-aca3-cfac3819d84b&mime=pdf&co=griffin&id=rdnewcom@rogers.com&source=mail
OOG |
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Post by daduke38 on Jan 12, 2015 17:51:51 GMT -5
I just don't know who to believe. A man that has an MBA and a PH.D or a guy (AF) who has never said a positive word about MNKD in his life. Think I will go with the MBA / PHD
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Post by seanismorris on Jan 12, 2015 21:17:05 GMT -5
Both have PHD's; AF's a PHD in BS
$16.25 is possible, but I'd like to hear more about the dialog with the FDA and a formal plan (before I'd stick out my neck that far)...the higher unit Afrezza Trial should have been completed by now. As far as I can tell, it hasn't even been started yet. Sanofi has been less 'on the ball' than I hoped or expected. Mannkind has done their part getting production ramped up.
Someone need to give Sanofi a kick in the ass...and hire a CEO already. (I'm an investor in Sanofi also)
I'll be a seller of Sanofi when they hire a CEO (assuming we see a pop). Their enormous Board seems at equal a disfunctional company. The ex CEO seems to have had the right idea in ignoring them.
I expect Afrezza to be a success (in spite of Sanofi) but it might take a while longer.
I'm expecting another volatile year for MNKD's stock price...time to open another trading position.
~5$ looks like a nice floor. I'll lighten up my long position at 12$
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Post by seanismorris on Jan 12, 2015 21:23:39 GMT -5
FYI
SERGE WEINBERG looks like the ultimate bureaucrat, when he's no longer CEO I will be a lot more bullish.
Serge Weinberg
Chairman of the Board of Directors
Interim Sanofi CEO since October 29, 2014
Serge Weinberg is a French citizen. He holds a Bachelor’s degree in Law, a Graduate Degree of « Institut d’Études Politiques » and is a Graduate of ENA (Ecole Nationale d’Administration).
Since 2009, he has been a Director of Sanofi and was appointed Chairman of the Board in May 2010. He is also Chairman of the Appointments and Governance Committee as well as Chairman of the Strategy Committee of Sanofi.
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Post by jpg on Jan 12, 2015 23:13:02 GMT -5
FYI SERGE WEINBERG looks like the ultimate bureaucrat, when he's no longer CEO I will be a lot more bullish. Serge Weinberg Chairman of the Board of Directors Interim Sanofi CEO since October 29, 2014 Serge Weinberg is a French citizen. He holds a Bachelor’s degree in Law, a Graduate Degree of « Institut d’Études Politiques » and is a Graduate of ENA (Ecole Nationale d’Administration). Since 2009, he has been a Director of Sanofi and was appointed Chairman of the Board in May 2010. He is also Chairman of the Appointments and Governance Committee as well as Chairman of the Strategy Committee of Sanofi. At first glance his training does seem like that of a civil servant but being a graduate from l'ENA is highly prestigious and is usually associated more with being 'inner circle' close to power then a bureaucrat. I don't know how he got to the ENA as a daddy's boy or on his own. If without family assistance it is a big positive and not something we should see as being a negative. I fully agree that the Board of .Sanofi is a black box which I have little faith in. The French business world mixes with politics in ways that are often not to the best interests of shareholders. I think this is changing but the recent circus at Sanofi makes me wonder how fast this is improving. JPG |
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Post by gamblerjag on Jan 12, 2015 23:54:22 GMT -5
you think AF would have the class and professionalism (guess not.. who am I kidding).. to say Yes. he was wrong about ADCOM, FDA Approval, Partner........... but this is why we should believe he is right about this!!! He would appear much more credible, though I still wouldn't believe him.. but it's all about perception.
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Post by babaoriley on Jan 13, 2015 1:41:08 GMT -5
I think we ought not put any blame on Sanofi, we have blamed enough third parties, and some with reason, Marty S., AF, FDA, etc. Think about the people we haven't blamed, although some do blame themselves.
Afrezza had better sell and sell well, or I'll blame no one but myself!
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