MannKind Shares Soar to Over 8-Year Highs on United Therapeutics’ Tyvaso Revenue Surge: Retail Is Optimistic

Shares of MannKind Corp. ($MNKD) were up over 2% on Wednesday hitting an 8-year high driven by its investment in United Therapeutics’ ($UTHR) Tyvaso medication.

United Therapeutics’ third quarter earnings saw its revenue rise 23% year-on-year (YoY) to $748.9 million. The biggest growth driver accounting for 33% of its revenue was pulmonary arterial hypertension (PAH) drug Tyvaso.

Retail is counting on MannKind benefiting from the boost in sales. The company has a 9% royalty stake in the product because United used MannKind’s proprietary technosphere technology in Tyvaso’s development. 

In the last quarter, MannKind’s revenue rose 49% YoY to $72 million, largely due to Tyvaso royalties and manufacturing income. 

Retail sentiment around MannKind's stock surged to ‘extremely bullish’ (80/100) with chatter continuing to be ‘extremely high’ (76/100).

In January, MannKind announced it would sell 10% of its stake in Tyvaso for an upfront payment of $150 million, and an additional $50 million tied to sales milestones. 

This transaction suggested that MannKind's remaining stake was valued at approximately $1.8 billion.

Despite the reduction in stake, retail is enthusiastic about Tyvaso’s impact on MannKind’s third quarter earnings scheduled for Nov. 5. 

Wall Street projects the company’s revenue to reach $73.32 million with earnings per share at $0.03, per Stocktwits data. Last quarter, the company missed EPS estimates with a $0.01 per share loss but exceeded revenue expectations by 11%, posting $72.39 million.

The stock has gained 79% so far in 2024.

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