Mannkind Lands A Price-Target Hike After Partner United Therapeutics Reports Strong Lung Drug Trial Results

H.C. Wainwright on Tuesday raised its price target on MannKind to $11 from $9 and reiterated its buy rating on the shares, following positive late-stage study results from partner United Therapeutics for its Tyvaso Inhalation Solution.

The brokerage firm said the positive data removes“a significant overhang” on MannKind shares and supports a re-rating of the stock toward intrinsic value, with added upside from royalties and cash flows tied to Tyvaso.

The call comes after United Therapeutics said Tuesday that its phase 3 TETON-2 trial showed nebulized Tyvaso improved lung function in idiopathic pulmonary fibrosis patients versus placebo in a dose-dependent manner, meeting the trial's primary endpoint. 

Over 52 weeks, patients on Tyvaso saw lung capacity improve by 95.6 milliliters compared with placebo, a result the company said was highly statistically significant. 

Benefits were observed across patient subgroups, and significant gains were also reported in quality of life and other secondary measures. The treatment was well-tolerated with no new safety signals.

United Therapeutics said it plans to meet with the U.S. Food and Drug Administration before the end of the year to discuss adding IPF to Tyvaso's label, with additional data from the ongoing TETON-1 study expected in the first half of 2026.

Last week, MannKind said that United Therapeutics had exercised an option under their 2018 license and collaboration agreement to develop a second dry powder inhalation therapy. The partnership previously produced Tyvaso DPI, the first FDA-approved dry powder inhalation treatment for pulmonary hypertension, cleared in 2022.

MannKind will use its Technosphere platform to formulate a new investigational molecule, while United Therapeutics will conduct preclinical and clinical testing. MannKind will receive $5 million upfront, up to $35 million in milestone payments, and a 10% royalty on sales if the therapy reaches market. 

On Stocktwits, retail sentiment for both MannKind and United Therapeutics was 'extremely bullish' amid 'extremely high' message volume.

One user speculated that United Therapeutics' growing ties to MannKind reduce the likelihood of a buyout by another large pharmaceutical company, saying they expect a 13G filing showing a bigger ownership stake. 

Another user questioned whether it made more sense for United Therapeutics to continue paying MannKind a 10% royalty stream each year rather than pursue a full acquisition.

While MannKind's stock has declined 10.7% so far in 2025, United Therapeutics' stock has risen 14.7% over the same period.

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