MannKind Lowered to “Neutral” at Bank of America (MNKD)
MannKind (NASDAQ: MNKD) was downgraded by equities researchers at Bank of America from a “buy” rating to a “neutral” rating in a research report issued on Friday, AnalystRatingsNetwork reports. They currently have a $8.00 price objective on the stock, up from their previous price objective of $5.00. Bank of America’s target price would indicate a potential upside of 4.58% from the company’s current price.
The analysts wrote, “We are lowering our rating on MNKD shares to Neutral, given the sharp revaluation in shares over the last month. While we continue to expect favorable phase 3 data in coming months, we now see the shares as fairly valued. Our penetration forecasts for Afrezza in Type 1 and 2 patients are unchanged, but other model adjustments raised our DCF-derived PO to $8 (from $5). While most drug royalty agreements are set early in clinical development (see next page), we viewed our assumed 25% royalty rate for post-phase 3 data as too low. We now assume a 30% rate (net of COGS). We lowered our WACC to 11% (prev. 12%), in line with our models for other late-stage products, and we raised our assumed yearly price increase to 8% (prev. 4%), to be more in line with marketed insulins.”
MNKD has been the subject of a number of other recent research reports. Analysts at MLV Capital initiated coverage on shares of MannKind in a research note to investors on Wednesday, May 15th. They set a “buy” rating and a $6.00 price target on the stock. Separately, analysts at Zacks reiterated a “neutral” rating on shares of MannKind in a research note to investors on Tuesday, May 14th. They now have a $4.75 price target on the stock. Finally, analysts at Zacks reiterated a “neutral” rating on shares of MannKind in a research note to investors on Tuesday, April 2nd. They now have a $3.75 price target on the stock.
Four equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. MannKind presently has a consensus rating of “Hold” and an average price target of $6.19.
MannKind (NASDAQ: MNKD) traded down 1.57% on Friday, hitting $7.53. MannKind has a 1-year low of $1.57 and a 1-year high of $4.50. The stock’s 50-day moving average is currently $3.. The company’s market cap is $2.111 billion.
MannKind (NASDAQ: MNKD) last posted its quarterly earnings results on Thursday, May 9th. The company reported ($0.15) EPS for the quarter, meeting the Thomson Reuters consensus estimate of ($0.15). Analysts expect that MannKind will post $-0.48 EPS for the current fiscal year.
MannKind Corporation (NASDAQ: MNKD) is a biopharmaceutical company focused on the discovery, development and commercialization of therapeutic products for diseases, such as diabetes and cancer.
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