RegMed Investors’ (RMi) closing bell analysis, some sniffed the ugly as many bargains were recognized

February 10, 2017 6:10pm

Impetus to where it’s due, a number of the “usual suspects” are UP

But who was in the sector’s crosshairs today? Trading volume was low

Out and about: Biostage (BSTG) offering executed at $0.40. Review the gloomy update of the last six offerings since 12/14/16 and the swings post the week’s financial results

Pre-open indication’s tally:  6 hit (AGTC, BSTG, BTX, CLBS, ONVO and VSTM) and 2 miss (BLCM and OSIR)

What happened, what does it all mean and why is it important in today’s sector outcomes …?

I live it hourly, you get to read it …

Stocks concluded the week on a high note Friday, climbing to new record highs …

The NASDAQ closed UP +18.95 or +0.33% to 5734.13 and the DOW closed UP +96.97 or +0.48% to 20,269.37.

A day in the life of the stem, cell, gene and regenerative therapy (SCGT & RT) sector – the advance/decline line scenario of our 43 covered companies:   

• The open was positive with an A/DL of 25/13 and 5 flats;
• The mid-day continued positive with an A/DL of 23/18 and 2 flats;
• The close stayed positive with an A/DL of 24/15 and 4 flats;

Henry’omics:

From the mid-day’s investor’s letter title, “look under the sector’s hood. I believe the battery is drained but, can it be charged?”

Who do you call for “share side” assistance?  It’s not AAA … try RMi

• Reiterating, “RMi’s daily and continual “reads” of the goings-on of the SCG&RT sector can improve investors or trader’s odds, and just because a stock underperforms the market doesn’t mean … you have to lose money.”

Grow your awareness of the difficulty of stock picking by staying tuned to this site!

• It should be kept in mind that the stem, cell, gene and regenerative therapy stocks are eroding investor’s risk appetite as momentum and offerings have jeopardized and weighed sentiment downward.

I hear from funds i.e. mostly hedge funds as well as investors -- retail and institutional  brokers because they’re in the dugout or on the field to take a swing hoping that what I have imparted comes to fruition and … I haven’t been that wrong -  hitting above 300.

• I also abhor the group-think that prevails in near and long-term think as far as the SCG&RT sector is concerned.

It’s still a trading solution …

Look what happened to the past financings – Athersys (ATHX), Biostage (BSTG), Pluristem (PSTI), Stemline (STML) and the latest BioTime (NYSEMKT: BTX); depreciation and discounts have slaughtered share pricing pre the offering execution and post the completion!

• BioTime (NYSEMKT: BTX) was offered at $2.70 having traded at $3.01 and is trading $2.88 (-$0.13);

• Biostage (BSTG) was offered at $0.40 having traded 1/31/17 at $0.81 and is trading at $0.32 (-$0.206);

• Athersys (ATHX) was offered at $1.01 having traded 1/26/17 at $1.52 and is trading today at $1.19 (-$0.02);

• Pluristem (PSTI) was offered at $1.225 having traded 1/16/17 at $1.47 and is trading today at $1.14 (+$0.04);

• Stemline (STML) was offered at $10.00 having traded 1/12/17 at $13.25 and is trading today at $7.00 (-$%0.10);

• In December, Vericel was offered at $2.75 having traded 12/14/16 at $4.10 and is trading today at $2.72 (FLAT);

The most recent quarterly result announcements of Applied Genetic Technologies (AGTC), Pluristem (PSTI) and Onganovo Holdings (ONVO) have also experienced serious pre announcement depreciation jitters. AGTC jumped post their release while ONVO is taking a dive!

• ONVO has a problem; fixable over time concerning revenue and time to complete projects while PSTI just doesn’t tell or explain what is happening which usually leaves them as unaccountable;

• AGTC closed UP +$0.45 to $7.30;

• Organovo Holdings (ONVO) dived -$0.58 to $3.19 – take the hit, ONVO is a near term VALUE;

• Pluristem (PSTI) closed UP +$0.04 to $1.14

Indexes, the ebb and flow:

• The iShares Russell 2000 (IWM) indicated a negative -0.01% in the pre- open and closed UP +0.76%.
• The iShares NASDAQ Biotechnology (IBB) indicated a negative -0.50% in the pre-open and closed DOWN -0.07%.

Pre-open indication’s tally:  6 hit (AGTC, BSTG, BTX, CLBS, ONVO and VSTM) and 2 miss (BLCM and OSIR)

• Applied Genetic Technologies (AGTC) closed UP +$0.65 – hit;
• Biostage (BSTG) closed DOWN -$0.20 – hit;
• Organovo Holdings (ONVO) closed DOWN -$0.58 – hit;
•  Verastem (VSTM) closed FLAT +$0.00 – hit;
• Bellicum Pharma (BLCM) closed UP +$0.18 – miss;
• BioTime (NYSEMKT: BTX) closed DOWN -$0.13 – hit;
• Caladrius Biosciences (CLBS) closed DOWN -$0.19 – hit;
• Osiris (OSIR) closed UP +$0.02 – miss;

Today’s 5 top dollar gainers included:

• Cellectis SA (CLLS) +$0.86 after Thursday’s +$0.86 after Wednesday’s +$0.27 after Tuesday’s $0.40;
• Applied Genetic Technologies (AGTC) +$0.45;
• uniQure (QURE) +$0.39;
• Juno therapeutics (JUNO) +$0.30 after Thursday’s +$1.33 after Wednesday’s -$0.44;
• Adverum (ADVM) +$0.30 after Thursday’s-$0.10;

Today’s 5 largest dollar losers of the session were:

• Spark Therapeutics (ONCE) -$o.74 after Thursday’s +$1.37 after Wednesday’s-$0.37 after Tuesday’s -$1.11 after Monday’s -$0.39;
• Organovo (ONVO) -$0.58;
• Biostage (BSTG) -$0.206 after Thursday’s -$0.117;
• Caladrius Biosciences (CLBS) -$0.19 after Thursday’s +$0.94;
• BioTime (NYSEMKT: BTX) -0.13

Flat:

• Histogenics (HSGX) at $1.76;
• Vericel (VCEL) at $2.75
• Verastem (VSTM) at $1.21;
• Northwest Bio (NWBO) at $0.46;

The downside trend reflects a pricing trend of:

• Friday’s decliners ranged from -0.07% <BLUE> to -40.68% <BSTG> in 15 equities;
• Thursday’s decliners ranged from -0.31% <BCLI> to -18.87% <BSTG> in 11 equities;
• Wednesday’s decliners ranged from -0.14% <BLUE> to -12.56% <BSTG> in 29 equities;
• Tuesday’s decliners ranged from -0.09% <XON> to -6.52% <AGTC> in 22 equities;
• Monday’s decliners ranged from -0.42% <JUNO> to -7.02% <ISCO> in 22 equities;
• Last Friday’s decliners ranged from -0.88% <PSTI> to -11.64% <HSGX> in 9 equities;

The upside shows a pricing trend of:

• Friday’s gainers ranged from +0.34% <OSIR> to +22.39% <BLFS> in 24 equities;
• Thursday’s gainers ranged from +0.34% <KOOL> to +19.67% <CLBS> in 28 equities;
• Wednesday’s gainers ranged from +0.27% <ONVO> to +7.26% <STML> in 10 equities;
• Tuesday’s gainers ranged from +0.33% <BTX> to +5.61% <VTGN> in 18 equities;
• Monday’s gainers ranged from +0.05% <CLLS> to +8.80% <NWBO> in 11 equities;
• Last Friday’s gainers ranged from +0.17% <ONCE> to +16.96% <STML> in 29 equities;

As the week ends:

• Friday’s 24 gainers followed Thursday’s 28, Wednesday’s 10, Tuesday’s 18, Monday’s 19 and last Friday’s 29
• Friday’s 15 decliners followed Thursday’s 11, Wednesday’s 29, Tuesday’s 22, Monday’s 22 and last Friday’s 9  

Review my fear gauge or the CBOE Volatility Index (VIX):

·         Friday traded near 10.88;

·         Wednesday closed near 11.4;

·         Thursday traded near 11;

·         Tuesday traded near 11.5;

·         Monday traded near 11.3;

·         Last Friday traded near 10.81

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.