Who pays for recommended drugs? Drug insurance companies do and they will block the use of new drugs as they usually do with Protocols and High Co-Pays that no patient wants to pay. Especially with so many other generic products available with low Co-Pays and tiny needle insulin Pens that patients love. Also, some doc's have been recommending early start insulin for the T2's for many years...its not a new theory. Some of you think its "new" thinking", its not. I heard that talk over 15 years ago. So having an inhaled insulin will not see much of a bump on early insulin use. Sorry guys, this drug will be used in only a few "special cases " ( recurrent MRSA skin infections, severe bleeding disorders, poor vision, maybe documented Needle Phobia, etc ) . Maybe 1% of the Diabetic T1/T2's. The MNKD story is in the technology for other drugs...Not inhaled insulin...by the way - this has already failed the stockholders with such a poor showing-very low price targets etc, . Now if you want, take a little more Kool-Aid.
Do you even pay any attention?
All prior indications from MNKD (granted this is now in Sanofi's hands) have been that Afrezza is likely to be priced at the same premium pricing range as the pens (last I heard the insurance companies willingly paid for the pens). And your baseless assertion that "this drug will be used in only a few special cases" has been shown by a number of professionally conducted surveys to be flat out wrong! All indications are that a significant percentage of current insulin users, and a majority of insulin naive diabetics will prefer the inhalation delivery method over the barbaric steel shaft into the flesh method (masochists, troglodytes, drama queens and the mentally infirm excepted of course). Pretty lame attempt at FUD to be honest. You only have roughly 7 month window to voluntarily cover that huge short position, after that the market will force your hand. And, if by chance, there is a 'second act' equity stake by Sanofi to be announced within weeks.....well, your 7 month window just got a lot shorter.
Creepy_Wort_Night: You are the one that doesn't get it. The price will be competitive. Maybe you should dream up a new ad campaign for the spike. "Black and Blue is the new Black" or "Real Men Stick Themselves".
Sentiment: Strong Buy
First of all with few exceptions every biotech that releases a drug will say the price will be "competitive". You can ignore that till the drug is released and see what the price really is and how the drug insurance companies who pay for the drug deal with it. I'll let you figure it out, but consider if I am wrong, why is the price of this stock $7+? They have a "new drug " approved...they have a good partner...so why is the stock $7. If you think this drug will be a slam dunk...you are a fool soon to be departed from your money. Now you may continue your name calling argument.
In nightclub in dim light I saw a friend injecting herself. I asked if she was a drug user and was about to give her a lecture when she told me she was diabetic and had been drinking. How many awkward situations will the "dreamboat" inhaler solve? A million each year? More? This is the biggest no brainer in medical history and all the shorts are going to spend a lifetime watching this happen and remembering how much money they lost on something so obvious. This is your future enjoy it, I know I will.
Sentiment: Strong Buy
Using Einstein’s inversion maxim: if inhalable insulin was invented first and another pharmaceutical company developed an insulin treatment whose only major difference was that it was injectable, how many people would switch?
We believe the answer could not be any clearer: absolutely none.