ADA Day One Part One

Before we get into anything serious the coolest thing we’ve seen so far are members of the Toronto Raptors who happen to be staying at our hotel. Hey we know this has nothing to do with diabetes but still it is pretty cool.

Not sure this is diabetes related either but our wine drinking friends have announced that our good buddy Serge will have a new partner in crime as Olivier Brandicourt will be leaving the company September 1 and be replaced by Paul Hudson who’s leaving Novartis. The good news for Mr. Hudson when it comes to the company’s dwindling diabetes franchise about the only hard decision he’ll have when it comes to diabetes is whether to get out of the OnDuo partnership with Google or lets this partnership die a slow and natural death.

Senseonics is doing the happy dance today as the FDA has granted non-adjunctive dosing claim for the Eversense implantable CGM. Yes this is great news for Senseonics but in the grand scheme of things won’t change their long-term outlook all that much. There is no question there is a place for an implantable CGM but as we keep indicating given the competitive dynamics in this very crowded space which is dominated by Dexcom and Abbott the space for any implantable is limited. This doesn’t mean that Senseonics won’t make money just not the gobs of money Dexcom and Abbott are making.

We do find it interesting that still no word from the FDA about the Libre 2.0 and their quest for an iCGM designation. While we have absolutely no inside information here our gut, gray hairs and 20 plus years of covering this wacky world tells us something just isn’t right as this really shouldn’t take that long. Could it be the FDA is trying to correct an earlier mistake by even calling the Libre a CGM when in fact it does not deliver readings continuously. Still whatever the reason something just doesn’t seem right.

It’s been awhile since we talked about our friends at MannKind who continue to execute their plan of transforming the company from a diabetes story to a drug delivery story and we’re happy to report things are going exactly as expected. The company is not out of the woods just yet but has done much of the heavy lifting needed to have a chance at success. Will this be a Tandem like turnaround? Not just yet but at these levels investors who can stomach some risk just might want to dive into the pool before the pool becomes crowded.

With the new emphasis on TIR, Afrezza sales slowly improving and new partnerships in place the company can stop worrying about keeping the lights on and can turn their attention to growing their business. Again we don’t expect a 1000% increase as we saw with Tandem but with shares trading below $1.25 any upside move will yield a nice return. We wouldn’t bet rent money on the company but for grins and giggles MannKind is worth a look.

Well that’s all for now maybe more later maybe not all depends on the day.