MannKind Continues To Decline

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

MannKind Corporation MNKD shares were trading lower $0.30 (5 percent) at $4.68 in Monday's session. It is now trading at its lowest level since it peaked at a double top on June 8 ($7.30) and June 9 ($7.32). It posted its high close for the move on June 8 at $7.23.

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The catalyst for the summer decline may be attributed to comments made by the company's CFO on June 10 that "we're not there yet" with its inhaled insulin product Afrezza. On that same day, the company was not very convincing when tough questions were posed to the management regarding the main drug in its pipeline. The two days following the renewed skepticism over Afrezza's success, the issue fell from its June 9 close ($6.70) to $5.71 on June 11.

Since that time, it has drifted lower and breached $5 on Friday, closing at $4.98. After not reclaiming the $5 level off today's open, peaking at $5.03, it has declined to $4.63.

That marks the lowest level for the issue since it put in a series of five consecutive lows between $4.43 and $4.53 from May 19 through May 26.