H.C. Wainwright sees MannKind selloff ‘potentially resetting’ value proposition

H.C. Wainwright analyst Brandon Folkes notes MannKind (MNKD) shares have declined 36% following United Therapeutics’ (UTHR) announcement of a soft mist inhaler formulation of treprostinil that may reduce cough by up to 90% versus dry powder inhalers, stating that “at face value” this introduces uncertainty around the long-term durability of Tyvaso DPI royalties. While the magnitude of the selloff reflects “legitimate concerns” about franchise migration risk, the firm sees the selloff “potentially resetting the value proposition” and believes the reaction “may be discounting a worst-case scenario before there is clarity on the role a DPI formulation could play in the long term broader franchise.” The firm, which sees a favorable risk/reward if MannKind can execute on its internal 2026 catalysts, reiterates a Buy rating and $11 price target on the shares.