MannKind Corporation (NASDAQ:MNKD) senior executives are reaping the benefits of soaring stock prices. Shares of the biopharmaceutical company have surged to a 3-year high amid widespread expectations that its diabetes drug Afrezza would win FDA approval in the next few weeks. Analysts estimate that, if approved, Afrezza could easily generate more than $3.65 billion in annual sales by 2025.
MannKind executives go on a selling spree
MannKind Corporation (NASDAQ:MNKD) VP Diane Palumbo is the latest executive to unload the company shares. According to her latest regulatory filing, Ms Palumbo sold 17,902 shares in an open market transaction on June 16. The stock was sold at $10.59 apiece for a total value of $189,582. Following the transaction, Diane Palumbo still owns 140,956 shares of MannKind, valued at $1.49 million.
It's not the first time Palumbo has sold MannKind Corporation (NASDAQ:MNKD) shares. She unloaded 52,957 shares of the company on June 3 at an average price of $9.50. Before that, Palumbo had sold 121,900 shares at $7.50 apiece on May 19. Other MannKind executives are not far behind in the race. Vice president Juergen Martens sold 120,000 shares on June 5. Chief financial officer Matthew Pfeffer unloaded 10,000 shares on June 5. General Counsel David Thomson sold a whopping 133,000 shares in a transaction dated June 4.
RBC Capital sets an 'Outperform' rating on MannKind
MannKind Corporation (NASDAQ:MNKD) stock got a big boost last Thursday after RBC Capital Markets initiated coverage of the stock with Outperform rating at $16 price target. RBC's price target reflects a 60% upside. Though Afrezza is yet to be approved by USFDA, RBC Capital Markets said that many potential partners are trying to woo MannKind for a commercialization deal.
Afrezza has a clear advantage over any existing diabetes treatment in the market. The drug is inhaled, so patients won't have to jab needles multiple times a day. It has a faster onset and peaks higher than traditional treatments. There are also rumors that some big pharmaceutical companies including Merck & Co., Inc (NYSE:MRK) might make a bid to acquire MannKind Corporation (NASDAQ:MNKD).
MannKind Corporation (NASDAQ:MNKD) shares fell 1.13% to $10.48 at 12:45 PM EDT on Wednesday.