MannKind Corporation (NASDAQ:MNKD) New Drug Release Facing Slow Start

MannKind Corporation (NASDAQ:MNKD) recently released their new drug, Afrezza, for public use but the blood glucose treatment is facing a slow start and also some bad reviews by industry professionals. A new report by the Medical Letter, an independent, non-profit organization, stated that the drug was only modestly effective in the treatment of the illness and also its long-term safety for users is unknown.

What does the Relative Strength Indicator (RSI) say about future trends with MNKD?

New Product

The MannKind Corporation (NASDAQ:MNKD) had developed Afrezza and attained US regulatory approval for the sale of it in June of 2014. It is intended for use during the mealtime period for users with Type 1 and Type 2 diabetes. It was launched commercially full-scale last month by the company’s marketing partner, Sanofi. The Medical Letter is a highly influential publication and goes a long way on convincing doctors and hospitals to prescribe drugs that either receive their endorsement of not. The organization accepts no monetary influence of any sort and that lends to the authenticity of its recommendations.

New Report

In the two-page report, the Medical Letter states that the drug, despite being the only offering that is not required to be injected by the user, only had moderate effects on the conditions it was created to treat. Afrezza is an inhaler which makes its application more attractive than its injectable counterparts, but if the effectiveness is minimal than the convenience is outweighed. The Medical Paper also noted that there were some expected side effects from the drug including a cough and the long-term potential effects of using a inhaling system based on insulin. The Medical Paper report also notes that Afrezza is more expensive than its competitors making the drug less attractive economically. Competitors include Novo Nordisk, Eli Lilly and Sanofi. During the first four weeks of the products launch, doctors wrote 290 prescriptions for the drug.

Technicals

The stock suffered some damage on the news release and is currently trading below its 50-day moving average. It needs to move about that before it can be considered healthy.

About the Author

Adam is a staff reporter for US Markets Daily Publications & Media, covering foreign affairs and domestic policy.

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