MannKind (NASDAQ:MNKD) Shares Down 5% - Time to Sell?

Key Points

• MannKind Corporation's shares fell by 5%, trading as low as $5.29, with a significant decline in trading volume compared to the average.
• Analysts are mixed on the stock, with targets ranging from $8.00 to $15.00, while one firm downgraded it from a "buy" to a "hold" rating.
• The company reported a moderate revenue increase of 5.7% year-over-year, along with a slight earnings per share beat, but had a negative return on equity of 32.60%.

Shares of MannKind Corporation (NASDAQ:MNKD - Get Free Report) fell 5% during mid-day trading on Tuesday . The stock traded as low as $5.33 and last traded at $5.29. 1,752,124 shares traded hands during trading, a decline of 37% from the average session volume of 2,785,299 shares. The stock had previously closed at $5.57.

Analysts Set New Price Targets

Several research firms have recently issued reports on MNKD. Royal Bank Of Canada raised their price objective on MannKind from $7.00 to $8.00 and gave the stock an "outperform" rating in a report on Tuesday, August 26th. Oppenheimer increased their target price on MannKind from $12.00 to $15.00 and gave the company an "outperform" rating in a research note on Friday, September 5th. HC Wainwright reaffirmed a "buy" rating and set a $11.00 target price on shares of MannKind in a research report on Thursday, September 18th. Wall Street Zen cut MannKind from a "buy" rating to a "hold" rating in a research note on Saturday, August 2nd. Finally, Wells Fargo & Company boosted their price target on MannKind from $9.00 to $10.00 and gave the stock an "overweight" rating in a research note on Wednesday, September 3rd. One investment analyst has rated the stock with a Strong Buy rating and five have assigned a Buy rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Buy" and a consensus price target of $11.17.

MannKind Price Performance

The stock has a market capitalization of $1.64 billion, a P/E ratio of 48.64 and a beta of 1.02. The company has a fifty day moving average of $4.39 and a two-hundred day moving average of $4.44.

MannKind (NASDAQ:MNKD - Get Free Report) last announced its quarterly earnings data on Wednesday, August 6th. The biopharmaceutical company reported $0.05 earnings per share for the quarter, beating the consensus estimate of $0.04 by $0.01. The firm had revenue of $76.53 million during the quarter, compared to analyst estimates of $77.82 million. MannKind had a negative return on equity of 32.60% and a net margin of 10.87%.MannKind's quarterly revenue was up 5.7% on a year-over-year basis. During the same period in the previous year, the company earned $0.05 earnings per share. As a group, equities research analysts predict that MannKind Corporation will post 0.1 EPS for the current fiscal year.

Insider Activity at MannKind

In other news, Director Steven B. Binder sold 75,367 shares of the company's stock in a transaction that occurred on Wednesday, July 16th. The stock was sold at an average price of $3.94, for a total transaction of $296,945.98. Following the completion of the transaction, the director directly owned 830,508 shares of the company's stock, valued at approximately $3,272,201.52. This represents a 8.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Stuart A. Tross sold 47,000 shares of the business's stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $5.34, for a total value of $250,980.00. Following the transaction, the insider owned 1,032,013 shares of the company's stock, valued at approximately $5,510,949.42. This represents a 4.36% decrease in their ownership of the stock. The disclosure for this sale can be found here. 3.00% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On MannKind

Hedge funds and other institutional investors have recently made changes to their positions in the business. Jacobs Levy Equity Management Inc. boosted its position in shares of MannKind by 5.8% during the first quarter. Jacobs Levy Equity Management Inc. now owns 2,029,319 shares of the biopharmaceutical company's stock worth $10,207,000 after buying an additional 110,945 shares during the period. Millennium Management LLC lifted its position in MannKind by 68.9% in the first quarter. Millennium Management LLC now owns 5,822,590 shares of the biopharmaceutical company's stock worth $29,288,000 after purchasing an additional 2,375,198 shares during the period. PDT Partners LLC acquired a new stake in MannKind in the first quarter worth approximately $443,000. SG Americas Securities LLC lifted its position in MannKind by 223.2% in the first quarter. SG Americas Securities LLC now owns 91,523 shares of the biopharmaceutical company's stock worth $460,000 after purchasing an additional 63,209 shares during the period. Finally, Trexquant Investment LP lifted its position in MannKind by 743.3% in the first quarter. Trexquant Investment LP now owns 702,240 shares of the biopharmaceutical company's stock worth $3,532,000 after purchasing an additional 618,972 shares during the period. 49.55% of the stock is currently owned by institutional investors and hedge funds.

About MannKind

MannKind Corporation, a biopharmaceutical company, focuses on the development and commercialization of inhaled therapeutic products for endocrine and orphan lung diseases in the United States. It offers Afrezza, an inhaled insulin used to improve glycemic control in adults with diabetes, and the V-Go wearable insulin delivery device, which provides continuous subcutaneous infusion of insulin in adults.

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