Indication intelligence, analysis and sector perception

RegMed Investors’ (RMi) closing bell; the sector closed up and positive with a 30/8 advance/decline line

December 13, 2017 5:31pm

The question remains, who is making money in cell and gene therapy?

… Investment banks and management teams who salaries increase as their company’s share pricing drops like gutter balls

Retail investors are mad as hell as even traders are perplexed by reversals and spurts

… As several cell and gene therapy companies popped and flopped following presentations at the American Society of Hematology

Pre-open indications: 3 hits and 4 miss

Out and about: bluebird bio (BLUE -$6.05) tumbles big on offering announcement while Juno Therapeutics (JUNO +$1.66), Spark Therapeutics (ONCE +$1.15), Regenxbio (RGNX +$1.00) regained ground as Fate Therapeutics (FATE +$0.22) jumped even with an offering in-play

Wednesday’s results have implications to Thursday’s sector activity as a daily report may say little or a lot and it serves as insurance that all indications are being examined and evaluated!

Henry’omics:

From the pre-open’s newsletter, “… hoping to regain a standing position but, sentiment is like a flu that keeps infecting the sector. We need am antibiotic.”

This evening’s title speaks for itself …!!

Investors are seeing double Tuesday as two Cambridge, Massachusetts-based firms whose names start with "Blue" head to the equity market to raise cash for promising treatments in blood disorders.

Bluebird Bio Inc. and Blueprint Medicines Corp. launched secondary offerings Monday after data presented at the American Society of Hematology meeting in Atlanta spurred their shares to record high closes.

The decision to raise money at a 52-week high is not a surprise as biotech’s need a lot of capital,” Wedbush’s David Nierengarten, one of the few analysts who covers both companies, said in a telephone interview.

“If you know you need to raise money, you should take advantage of the high stock prices.”

Nierengarten said he’d recommend Blueprint if forced to choose between the two offerings, though both may present discounted entry points for the stocks. While rating both stocks at outperform, he sees Blueprint as having a “large opportunity in advanced systemic mastocytosis that is less well appreciated” by investors. (B. Lipschultz, Bloomberg)

The advance/decline line scenario of 40 SCGT & RT covered companies:

· The open was positive with an A/DL of 21/12 and 7 flat ;

· The mid-day was positive with an A/DL of 23/15 and 2 flats;

· The close was positive with an A/DL of 30/8 and 2 flat;

Pre-open indications: 3 hits and 4 miss

Bellicum Pharmaceuticals (BLCM) closed up +$0.36 – miss;
bluebird bio (BLUE) closed down -$6.05 – miss;
BioLife Solutions (BLFS) closed up +$0.21 – hit;
Fate Therapeutics (FATE) closed up +$0.22 – miss;
Juno Therapeutics (JUNO) closed up +$1.66 – hit;
MiMedx Group (MDXG) closed down -$0.25 – miss;
Regenxbio (RGNX) closed up +$1.00 – hit;

MY working trend lines or indications:

… The greatest volume to the downside: IMUC, BLUE, MDXG, CYTX and ADVM

… Upside volume was weighted to: JUNO, CUR, FATE, ONCE and CAPR

… Biggest $ downside: BLUE (-$6.05), MDXG (-$0.26), ADVM (-$0.05), CLBS (-$0.05) and AGTC (-$0.025)

… Largest $ upside: CLLS (+$2.78), JUNO (+$1.66), ONCE (+1.15), RGNX (+$1.00) and XON (+$0.46)

… Flat: VTGN and BSTG

Daily analytics:

U.S. stocks mostly rose on Wednesday, with the Dow ending at a record for a fourth straight session after the Federal Reserve raised interest rates, as had been widely expected.

· The Dow gained 80.63 points, or 0.3%, to 24,585.43. The average closed at a record trading and extended its streak of positive sessions to a fifth straight day.

· The S&P fell 1.26 point to 2,662.85, a drop of less than 0.1%. The decline put an end to a four-day rise in the benchmark index.

· The NASDAQ rose 13.48 points, or 0.2%, to 6,875.8.

The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market; Wednesday traded at 10.18, up +2.62% …

Tuesday traded at 9.92, up +6.21% after Monday traded at 9.34, down -2.51% after Friday traded at 9.58, down -5.71% after Thursday traded at 10.22, down -7.26% and last Wednesday traded at 11.02, down -2.74% …

Welcome to another day of the sector’s roller coaster …

… The iShares Russell 2000 (IWM) indicated:

· Wednesday was up +0.58%

· Tuesday -0.31%

· Monday -0.05%

· Friday +0.10%

· Thursday +0.69%

· Last Wednesday -0.48%

… The iShares NASDAQ Biotechnology (IBB) indicated:

· Wednesday was up +0.91%

· Tuesday -0.44%

· Monday +0.15%

· Friday +1.94%

· Thursday +1.53%

· Last Wednesday -0.73%

The count - decliners versus gainers:

……. look at the differences in the spreads as decliners jump and %

· Wednesday’s decliners ranged from -0.69% <AGTC -$0.025> to -3.88% <CYTX -$0.0097> in 8 equities;

· Tuesday’s decliners ranged from -0.91% <IMUC -$0.0021> to -5.38% <BLUE -$10.85> in 27 equities;

· Monday’s decliners ranged from -0.56% <MESO -$0.03> to -34.97% <ONCE -$25.66> in 27 equities;

· Friday’s decliners ranged from -0.48% <FATE -$0.02> to -11.33% <VTGN -$0.23> in 19 equities;

· Last Wednesday’s decliners ranged from -0.57% <BLFS -$0.03> to -34.95% <CUR -$1.08> in 29 equities;

Versus

… Look at the percentage’s (%) and spreads …

· Wednesday’s gainers ranged from +0.26% <BCLI +$0.01> to +14.21% <CUR +$0.26> in 30 equities;

· Tuesday’s gainers ranged from +0.76% <CYTX +$0.00> to +5.15% <MDXG +$0.60> in 11 equities;

· Monday’s gainers ranged from +0.88% <CLLS +$0.22> to +17.91% <BLUE +$30.65> in 12 equities;

· Friday’s gainers ranged from +0.69% <CLLS +$0.17> to +9.07% <VSTM +$0.36> in 19 equities;

· Thursday’s gainers ranged from +0.54% <ATHX +$0.01> to +13.47% <QURE +$2.02> in 24 equities;

· Last Wednesday’s gainers ranged from +0.65% <AGTC +0.03> to +93.55% <VTGN +$0.87> in 7 equities;

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.

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Editor and Publisher ... Henry McCusker enters his tenth (10th) year at RegMed Investors with past experience in sell-side analysis, buy-side management, corporate management and due diligence.

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