February 18, 2022 4:58pm

Yet another cell and gene therapy sector sell-off facilitated by risk appetites, option expiration and the Ruskies

The Biostage (OTC: QB: BSTG) Chronicles: Who, What, When, Where, Why and one H (HOW) … https://www.regmedinvestors.com/articles/12306

Pre-open Indications: 8 HIT and 6 MISS

If I have learned one thing as a former research analyst, venture and public fund investor now a journalist; it is that your life and your bank account are largely tied to your knowledge of price movements and questioning pricing targets.

Who else is tracking a broad grouping of cell and gene therapy equities – with facts supported by real numbers?

The week in review … 

The Dow closed DOWN -232.85 points (-0.68%); the S&P closed DOWN -31.39 points (-0.72%) while the Nasdaq closed DOWN -168.65 points (-1.23%)

 

Henry’omics:

Indexes declined Friday as well after Thursday as the Russia-Ukraine conflict topped headlines.

  • For a second consecutive losing week as the Russia-Ukraine conflict emerged.

Friday was particularly volatile with trillions of dollars in options and futures on stocks, indexes and ETFs set to expire. Option expiration days, which generally occur on the third Friday of the month, can cause the market to swing in a wide range as these positions are closed out. <CNBC>

Investors have also been grappling with the outlook for Federal Reserve policy. St. Louis Fed President James Bullard, who had just called for aggressive action, warned that inflation could get out of control without rate hikes. <CNBC>

See you on Tuesday ...

 

52-week lows:

  • Solid Biosciences (SLDB) all-time low of 0.98
  • Editas Medicine (EDIT) all-time low of $15.27
  • Cellectis SA (CLLS) - all-time low of $5.17

 

RegMed Investors’ (RMi) pre-open: “a dry-up in liquidity. A TGIF with an option expiration Friday as markets are closed Monday, President’s Day” …  https://www.regmedinvestors.com/articles/12308

 

RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened …

  • Friday opened negative at 12 up/17 downs, 5 flats and 1 acquired, stayed negative at the mid-day at 3/29, 2 flat and 1 acquired, ending with a negative close of 3/28, 3 flats and 1 acquired;
  • Thursday opened negative at 1 up/65 downs, 7 flats and 1 acquired, stayed negative at the mid-day at 4/29, 1 flat and 1 acquired, ending with a negative close of 3/29, 1 flat and 1 acquired;
  • Wednesday opened negative at 7 up/25 downs, 2 flats and 1 acquired, stayed negative at the mid-day at 5/27, 2 flats and 1 acquired, ending with a negative close of 8/2, 4 flats and 1 acquired;
  • Tuesday opened positive at 29 up/3 downs, 2 flats and 1 acquired, stayed positive at the mid-day at 30/1, 3 flats and 1 acquired, ending with a positive close of 31/1, 2 flats and 1 acquired;
  • Monday opened negative at 11 up/17 downs, 6 flats and 1 acquired, stayed negative at the mid-day at 7/26, 1 flat and 1 acquired, ending with a negative close of 4/28, 2 flats and 1 acquired;

 

Pre-open indications: 8 Hit < Adverum Biotechnologies (ADVM $0.00), Sage Therapeutics (SAGE +$0.61), Verastem (VSTM $0.00), BioLife Solutions (BLFS -$1.07), bluebird bio (BLUE -$0.03), Cellectis SA (CLLS -$0.59), Mesoblast (MESO -$0.03), ReNeuron (RENE.L -$0.00)> 6 MISS < CRISPR Therapeutics (CRSP -$0.32), Fate Therapeutics (FATE -$0.57), Global Blood Therapeutics (GBT -$0.48), Ultragenyx (RARE -$0.52), Sangamo Therapeutics (SGMO -$0.03), Pluristem (PSTI +$0.11)

 

RegMed/Cell and Gene Therapy Earnings Scorecard Q4/21 and FY21 Results … https://www.regmedinvestors.com/articles/11628

 

The Biostage (BSTG) Chronicles: shows how the “pimp/pump and promote” works with the shares trading down -$0.68 with 103 shares traded after Thursday’s +$0.07 with 700 shares traded, Wednesday’s -$0.06 (after being down -$0.98) with 420 shares traded, Tuesday’s flat again with 200 shares traded and Monday’s flat with 1,899 shares traded

 

Key Metrics:

  • Friday - Sector volume was LOW with 1 of the 3-upside having higher than the 3-month average volume with LOW volume of 4 of 28-downside having higher than the 3-month average volume
  • Thursday - Sector volume was LOW with 1 of the 4-upside having higher than the 3-month average volume with LOW volume of 6 of 29-downside having higher than the 3-month average volume
  • Wednesday - Sector volume was LOW with 1 of the 8-upside having higher than the 3-month average volume with LOW volume of 2 of 22-downside having higher than the 3-month average volume
  • Tuesday - Sector volume was LOW with 4 of the 32-upside having higher than the 3-month average volume with LOW volume of 1 of 1-downside having higher than the 3-month average volume
  • Monday - Sector volume was LOW with 2 of the 4-upside having higher than the 3-month average volume with LOW volume of 5 of 28-downside having higher than the 3-month average volume;

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Friday the IBB closed down -0.76% and XBI closed down -1.38%
  • Thursday the IBB closed down -3.01% and XBI closed down -4.26%
  • Wednesday the IBB closed down -0.05% and XBI closed down -1.04%
  • Tuesday the IBB closed up +1.80% and XBI closed up +4.17%
  • Monday   the IBB closed down -1.84% and XBI closed down -1.65%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Friday was down -0.36 points or-1.28% at 27.75
  • Thursday was up +4.03 points or +16.59% at 28.32
  • Wednesday was down -1.39 points or -5.45% at 24.30
  • Tuesday was down -2.63 points or -9.28% at 25.70
  • Monday was up +0.97 points or +3.55% at 28.33

 

Jumping with share pricing momentum (3 of 3):

  • Sage Therapeutics (SAGE +$0.61 after Thursday’s -$2.33, Wednesday’s -$7.59, Tuesday’s +$1.21 and Monday’s -$0.75),
  • Chinook therapeutics (KDNY +$0.60),
  • Brainstorm Cell Therapeutics (BCLI +$0.02),

Hammered in today’s market (10 of 28):

  • Intellia Therapeutics (NTLA -$3.88 after Thursday’s -$5.46, Wednesday’s -$2.66, Tuesday’s +$8.21 and Monday’s -$1.11),
  • Alnylam Pharmaceuticals (ALNY -$2.45 after Thursday’s -$3.33),
  • Regenxbio (RGNX -$1.13),
  • BioLife Solutions (BLFS -$1.07 after Thursday’s -$2.01 and Wednesday’s -$1.17),
  • Biostage (BSTG -$0.68 after Thursday’s +$0.07, Wednesday's -$0.06, Tuesday's and Monday's  -$0.00),
  • Cellectis SA (CLLS -$0.59),
  • Fate Therapeutics (FATE -$0.57 after Thursday’s -$2.30, Wednesday’s -$1.87, Tuesday’s +$1.49 and Monday’s -$1.41),
  • Ultragenyx (RARE -$0.58 after Thursday’s -$3.94, Wednesday’s -$2.38, Tuesday’s +$2.30 and Monday’s -$1.66),
  • Global Blood Therapeutics (GBT -$0.48 after-$1.44, Wednesday’s -$2.41, Tuesday’s +$1.58 and Monday’s -$0.35),
  • Ionis Pharmaceuticals (IONS -$0.47),

Closing Flat:

  • 3 – Adverum Biotechnologies (ADVM), ReNeuron (RENE.L), Verastem (VSTM) and 1 - Stemline Therapeutics (STML) – acquired

 

February, Q1/2022:

  • Friday closed negative with 3 incliners, 28 decliners, 3 flats and 1 acquired
  • Thursday closed negative with 4 incliner, 29 decliners, 1 flat and 1 acquired
  • Wednesday closed negative with 8 incliner, 22 decliners, 4 flats and 1 acquired
  • Tuesday closed positive with 31 incliners, 1 decliner, 2 flat and 1 acquired
  • Monday (2/14) closed negative with 4 incliners, 28 decliners, 2 flats and 1 acquired

 

The BOTTOM LINE: Cell and gene therapy sector stocks dived, twisted and turned-on Wednesday’s Thursday and Friday’s headlines after jumping positive Tuesday after an apparent or superficial de-escalation of Russian advances in Ukraine.

We, the cell and gene therapy sector is dependent on the Nasdaq …

If the losses hold up, the Nasdaq could enter a "death cross," where the 50-day moving average closes below its 200-day moving average. Market watchers view that as the spot a shorter-term correction turns into a longer-term downtrend. But the last time that happened was April 16, 2020, when the Nasdaq was just starting a potent run. <IBD>

We are just going with the flow as we trip and fall to the weekend …

Investors will be watching earnings reports this week; Q4 and end-of-year earnings are about to be made aware of” more than even I thought.

Earnings’ reporting:

•             AxoGen AXGN) – Tuesday, 2/22

•             Global Blood Therapeutics (GBT) – Wednesday, 2/23

•             Sage Therapeutics (SAGE), Thursday, 2/24

•             Ionis Pharmaceuticals (IONS) - Thursday, 2/24

•             Sangamo Therapeutics (SGMO) - Thursday, 2/24

•             Editas Medicine (EDIT) - Thursday, 2/24

•             Fate therapeutics, Monday, 2/28

•             Athersys (ATHX), Tuesday, 3/15

 

Who is defining the metrics for investors and keeping you notified of the sector and market fluctuations?  What I provide is a trusted source of share pricing intelligence – it’s more than opinion, I deal in the facts and numbers that back them up.

 

WHY do I keep analyzing Biostage (BSTG): I WAS there to experience the lack of investor prerogatives and saw the decay of transparency and more; it takes courage, resolve and patience to stay the course of asking the questions without response!

 

Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.

Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.  All investments are subject to risks. Investors should consider investment objectives.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.