March 14, 2017 8:22am
Weighing the benefit of the upside while risks are mounting
Dow futures are DOWN -0.33% and NASDAQ futures are DOWN -0.27
Critical information ahead of “our” universe’s open! I provide intelligence and analysis for short and near-term investment.
Companies in my trading headlights: eleven (11) – 4 BUYS and 7 SELLS
You can’t afford not to listen to expert advice providing readers with the ability to liquidate their investments when circumstances require
Expectation will be the word for 2017 – meeting the unknowns with the soon to be exposed concerns will be the subject of investing decisions throughout this year.
Dow futures are DOWN -0.33% and NASDAQ futures are DOWN -0.27%
U.S. stock index futures pointed to a lower open on Tuesday morning as traders awaited fresh economic data and eyed a probable March rate hike
European markets were lower as investors digested political events across the continent and looked ahead to a rate decision by the U.S. Fed.
Asian equities were mixed, ahead of the U.S. Fed's two-day monetary policy meeting and as European political uncertainty weighs on sentiment.
Data docket: National Federation of Independent Business (NFIB) survey results for February at 6.00 a.m ET with Producer Price Index (PPI) data for the month previous scheduled for 8.30 a.m ET.
The stem, cell, gene and regenerative therapy (SCG&RT) closed POSITIVE on Monday, NEUTRAL on Friday, POSITIVE on Thursday and Wednesday and NEGATIVE last Tuesday.
The SCG&RT sector’s record after the last 5 days (of 43 covered companies):
· Monday closed POSITIVE with 14 decliners, 24 advancers and 5 flats;
· Friday closed NEUTRAL with 19 decliners, 19 advancers and 5 flats;
· Thursday closed POSITIVE with 16 decliners, 24 advancers and 3 flats;
· Wednesday closed POSITIVE with 7 decliners, 35 advancers and 1 flat;
· Last Tuesday closed NEGATIVE with 28 decliners, 15 advancers and 0 flats;
Remembering Monday’s closing bell newsletter, “The pressing challenge to the sector, inevitability?”
Reiterating, “It’s not a time to be aggressive buyers; fact or fiction, many of the “usual suspects” don’t parallel park with investors! It’s better if investors have someone to watch from the outside as to how and when a stock appreciates. I am the one to wave a stop -- believe me, you don’t want to take some of these hits!”
Storm clouds are everywhere and snow covers many sins until it is shoveled!
You’ve made it to the office, turned on the monitor, having just gotten your coffee and it hits you - what could be today’s trades?
Watch list:
· The iShares Nasdaq Biotechnology (IBB) closed Monday flat 0.00% and is NOT indicating in Tuesday’s pre-market;
· The SPDR S&P Biotech ETF (XBI) closed Monday up +0.18% and is NOT indicating in Tuesday’s after-market;
· The Health Care Select Sector SPDR ETF (XLV) closed down -0.08% Monday and is NOT indicating in Tuesday’s pre-market;
· The iShares Russell 2000 (IWM) closed up +0.24% on Monday and is DOWN -0.12% in Tuesday’s pre-market
Companies in my headlights:
Understanding the tone of the sector is paramount – watch the trends <volume, advance/decline lines, momentum and relative strength etc.>, the peaks and valleys as well as the hesitancy of flats!
The stem, cell, gene and regenerative therapy sector move in and out of investing favor far too quick, and investors should at all times take advantage of both, making nuanced and smart adjustments as I focus on the time of appreciation as well as depreciation layered by cock-eyed sentiment .
BUY –
Applied Genetic Technologies (AGTC) closed UP +$0.15 to $7.80. AGTC is presenting at the Roth Capital conference which should encourage investors to jump in - Maintaining BUY;
bluebird bio (BLUE) closed UP +$1.95 to $90.50. The aftermarket indication is a positive +$3.50 – BUY;
Juno Therapeutics (JUNO) closed up $0.72 to $23.20 following Friday’s $22.48 (+$0.05)after Thursday’s $22.43 (+$0.59). the aftermarket indication is positive +$0.13 – Maintaining BUY;
Kite Pharma (KITE) closed up +$1.94 to $85.92 following Friday’s +$6.01 to $81.79 and has an aftermarket indication - positive +$0.45 – Maintaining BUY;
SELL –
Biostage (BSTG) closed UP at $0.03 to $0.39 after Friday’s at $0.35. How does the old adage go, putting lipstick on a pig is a term used by many, generally in reference to executives who hype a company by distraction or trickery and make it look appealing or attractive when it quite clearly will not work, or will only deceive the dumbest of investors. Harsh, wait for the annual report – Maintaining SELL;
Bellicum Pharmaceuticals (BLCM) closed UP +$0.92 to $14.09, but after the release of Q4/16 finacial results, the aftermarket indication is negative -$0.49 – SELL;
Capricor (CAPR) closed UP +$0.09 to $2.92. Tuesday closed at $2.51, that leaves $0.41 in ups that are worth taking especially before Q4/16’s financial results are released on Wednesday 3/15/17. CAPR is suspending development of its heart failure drug, Cenderitide, and is terminating the license agreement it has with the Mayo Clinic for the natriuretic peptide receptor agonist program. Spending is high and the cash position is vulnerable as capital market access is dependent on depreciation and dilution – Maintaining SELL;
Osiris (OSIR) closed down -$1.34 to $3.86 after Friday’s $5.20 (-$0.23)after receiving a letter from the NASDAQ Stock Market stating that trading will be suspended at the opening of business on Tuesday, March 14, 2017 following filing isuues and criminal actions. The aftermarket indication is a negative -$0.15 – Maintaining SELL;
Cellectis SA (CLLS) closed UP +$0.11 to $23.01 after Friday’s $22.90 (-$0.19) after Thursday’s+$0.44 to $23.09. The week has been good following Wednesday’s $22.65, Tuesday’s $21.43 and Monday’s $22.26 – time to lighten the load and come back another day. The aftermarket indication is a negative -$0.08 – Maintaining SELL;
Neuralstem (CUR) closed UP +$0.18 to $5.35 after Friday’s $5.17 (-$0.13)after Thursday’s +$0.87 to $5.30, after Wednesday’s $4.43 and last Tuesday’s $4.29. Never have I been a “believer” in CUR – animal models don’t do it for me. CUR recently published a pre-clinical data on NSI-566 spinal cord-derived neural stem cells in Journal of Neurotrauma. These data showed robust engraftment and long-term survival of NSI-566 post transplantation in a rat model of penetrating ballistic-like brain injury (PBBI). All their trials are early and there is too much emphasis on future, not past, events which may often be identified by words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek” versus - “will. Time to take some profit – Maintaining SELL;
Verastem (VSTM) closed UP +$0.30 to $1.54 and has jumped enough for the profit takers to “grab” a piece of those ups. The aftermarket indication is a negative -$0.02 – SELL;
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.
Henry’s comments are for informational purposes only and are not a substitute for personalized advice. Consult your advisor about what is best for you.
