13 Best Biotech Penny Stocks to Buy According to Hedge Funds

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10. MannKind Corp. (NASDAQ:MNKD)

Share Price as of April 14: $4.66

Number of Hedge Fund Holders: 29

MannKind Corp. (NASDAQ:MNKD) develops and commercializes therapeutic products and services for endocrine and orphan lung diseases in the US. It primarily offers Afrezza Inhalation Powder, the V-Go wearable insulin delivery device, and Tyvaso DPI. It has a supply and distribution agreement with Biomm S.A. for commercialization in Brazil and with Cipla Ltd. for marketing and distribution in India.

The company’s Afrezza business revolves around its inhaled insulin product for diabetes. In Q4 2024, Afrezza generated $18 million in net revenue, which was up 18% year-over-year. In the full year 2024, Afrezza’s revenue reached $64 million, which was a 17% improvement due to higher demand for the product as well as pricing adjustments

Afrezza’s growth is the pediatric market for children with Type 1 diabetes. MannKind anticipates filing for approval in this indication in H1 2025, with potential approval in early 2026. The company estimates that the US alone has more than 300,000 children with Type 1 diabetes. MannKind Corp. (NASDAQ:MNKD) projects that penetrating the pediatric market could propel Afrezza’s annual sales to over $200 million, which is ~3x its current revenue. MannKind estimates that holding just 10% of the pediatric market could generate ~$150 million in additional annual revenue.

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