March 13, 2019 6:41pm
Five (5) positive closes in a row with seven (7) out of nine (9) positive closes.
Is it about covering; because I have an itch … it’s the volatility bug!
Volume remains low: 1 out of the 12 upside had higher (than the 3 month average) volume and 11 out of the 30 downside experienced greater volume (than the 3 month average)
Q4 and FY18 results: Solid Biosciences (SLDB)
Pre-open indications: 4 HITs and 3 MISS (it’s about selling into strength)
Review the snapshot of the daily ‘workings” of the sector composite of cell and gene therapy companies.
That’s why my “quantamental” blend of styles; must become the “tool” for investors and traders to portfolio enrichment.
Markets and indexes:
- The Dow closed down -98.22 points or -0.38% to 25,554.66
- The S&P closed up +8.22 points or +0.30% to 2,791.52
- The NASDAQ was up +32.97 points or +0.44% to 7,591.03
Sector equities rose on Wednesday assisted by investors’ cheered solid economic data. The S&P 500 rose 0.7% climbed back to a new high for the year.
Five (5) positive closes in a row with eight (8) out of nine (9) positive closes.
The move in cell and gene therapy almost feels like they’re sniffing out something is coming – “quadruple witching” and covering of short positions.
Is it about … covering … because I have an itch … it’s the volatility bug!
Equities also got a boost Wednesday after the Commerce Department said nondefense durable goods orders posted their largest increase in six months in January, rising 0.8%. Overall durable goods orders also rose 0.4% while economists polled by Refinitiv expected a decline of 0.5% <CNBC>.
Pre-open post, “uncertainty; be prepared, Friday is “quadruple witching” time, Brexit and LPS (loss-per-share) earnings from quarterly and FY18 results … Beware the Ides of March, it’s coming.”
The advance/decline line scenario of 45 covered companies:
- The open was negative with the A/DL to 16/25 and 4 flats;
- The mid-day was positive with an A/DL of 24/16 and 5 flats;
- The close was positive with an A/DL of 30/12 and 3 flats;
Pre-open indications: 4 HITs and 3 MISS
- Cellectis SA (CLLS) closed up +$0.16 – miss;
- CRISPR Therapeutics (CRSP) closed up +$0.02 – hit;
- Editas Medicine (EDIT) closed down -$0.05 – hit;
- Intellia therapeutics (NTLA) closed down -$0.34 – hit;
- Stemline Therapeutics (STML) closed up +$0.60 – miss;
- ReNeuron (RENE.L) closed (Tuesday) down at $2.00 – hit;
- Verastem Oncology (VSTM) closed up +$0.11 – miss;
Q4 and FY18 results: Solid Biosciences (SLDB)
Net loss for Q4 was $21.9 M or -$0.63, compared to $14.5 M or for Q4/17. Net loss for FY18 was $74.8 M or -$2.25 per share, compared to $53.2 M for FY127.
- Solid had $122.5 M in cash, cash equivalents and available-for-sale securities as compared to $69.1 M as of December 31, 2017.The increase was primarily the result of the completion of SLDB’s IPO on January 30, 2018.
- R&D expenses were $17.8 M, compared to $11.9 M for the prior year period. Research and development expenses for FY18 were $58 M, compared to $39.9 M for FY17.
- G&A expenses were $4.6 M, compared to $3.2 M for FY17. G&A expenses for FY18 were $17.7 M, compared to $15 M for FY17;
- a runway until early 2020
Tonight’s percentage (%) indicators:
- Range of the 30 upside was +0.05% (CRSP) to +6.80% (BTX) while the 12 downside ranged from -0.21% (EDIT) to -4.26% (KOOL -$0.014).
- 1 out of the 12 upside had higher (than the 3 month average) volume
- 11 out of the 30 downside experienced greater volume (than the 3 month average)
The iShares NASDAQ Biotechnology (IBB) indicator:
- Wednesday was up +1.31% after indicating a POSITIVE +0.82% UPSIDE in the pre-market;
- Tuesday was up +0.82% after NOT indicating;
- Monday was up +2.14% after indicating a NEGATIVE -0.49% in the pre-market;
- Friday was down -0.49% after NOT indicating;
- Thursday was down -0.66% after NOT indicating;
- Last Wednesday was down -3.13% after NOT indicating;
Wednesday closed POSITIVE with 12 decliners, 30 advancers and 3 flats;
Tuesday closed POSITIVE with 13 decliners, 30 advancers and 2 flats;
Monday closed POSITIVE with 7 decliners, 37 advancers and 1 flat;
Friday closed POSITIVE with 20 decliners, 22 advancers and 3 flats;
Thursday closed POSITIVE with 14 decliners, 29 advancers and 2 flats;
Wednesday closed NEGATIVE with 39 decliners, 5 advancers and 1 flat;
Tuesday (3/4) closed POSITIVE with 17 decliners, 23 advancers and 5 flats;
Monday (3/1) closed NEGATIVE with 24 decliners, 18 advancers and 3 flats;
Friday (3/1) closed POSITIVE with 11 decliners, 32 advancers and 2 flats;
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.