April 3, 2019 8:06am

I believe in replacing and repairing portfolios in with a therapeutic device or biologic – liquidity and money

News: Editas Medicine (EDIT) and BlueRock Therapeutics, LP, a leading engineered cell therapy company, initiated strategic research collaboration and cross-licensing agreement to combine their respective genome editing and cell therapy technologies to discover, develop, and manufacture novel engineered cell medicines.

Pre-open indications: 2 BUY, 3 SELLs and 3 TRADES

 

I still hold to the action of …

You’d be reading if you were a subscriber!

My pre-open focus is indication analysis. An indication can be a development of almost any kind. Specifically, it may be a confirmed fact, a possible fact, or an absence of “something”, a fragment of information or even an observation!

 

Dow futures are UP +0.46% (+120 points), S&P futures are UP +0.57% (+17 points) and NASDAQ futures are UP +0.63% (+48 points)

 

U.S. stock futures rose Wednesday on optimism over U.S.-China trade talks;

European stocks were higher, as market participants’ monitored signs of progress in U.S.-China trade talks;

Asian stock markets closed higher

 

Data docket: weekly mortgage applications, private payrolls, the services PMI, and ISM’s non-manufacturing index are due to be released throughout the morning.

 

Wednesday’s indications in the pre-market:

The iShares Nasdaq Biotechnology (IBB) is NOT indicating;

The SPDR S&P Biotech ETF (XBI) is indicating a POSITIVE +0.84% UPSIDE;

The Health Care Select Sector SPDR ETF (XLV) is NOT indicating;

The iShares Russell 2000 (IWM) is indicating a POSITIVE +0.55% UPSIDE;

 

Henry’omics:

American and Chinese officials are reportedly closing in on a trade deal, having resolved most of the outstanding issues in their protracted trade dispute

  • Beijing wants Washington to remove existing U.S. duties on Chinese imports, while the Trump administration wants China to agree to enforcement measures that ensure the country sticks to the deal.

I still hold to the action of SELLING into STRENGTH!

While I also HATE collaborations with NO bucks and BANG!

 

From Tuesday’s closing bell post, “the sector stays up; I had recommended selling into strength.”

  • Range of the 32 upside was +0.52% (HSGX) to +28.96% (SGMO) while the 11 downside ranged from -0.17% (KOOL) to -1.20% (RENE.L).
  • 8 out of the 32 upside had higher (than the 3 month average) volume
  • 4 out of the 11 downside experienced greater volume (than the 3 month average)
  • April started with 2 positive close;
  • In March’s 21 sessions, there were 7 negative and 14 positive closes;
  • In the last six (6) sessions, the IBB has been up +4.23% (down 1 session, last Wednesday -1.39%)
  • Out of the last 6 sessions, 5 were positive; 7 of the last 10 were positive and 11 out of the last 15 sessions were positive – I perceive a decline, it’s coming!

 

News: continued …

Editas Medicine (EDIT) and BlueRock Therapeutics, LP, combine their respective genome editing and cell therapy technologies to discover, develop, and manufacture novel engineered cell medicines …

The research collaboration will further enable the creation of engineered, differentiated, off-the-shelf cell medicines in the respective fields of oncology, including solid tumors and blood cancers, for Editas Medicine and neurology, cardiology, and immunology for BlueRock. As part of the cross-licensing agreement, BlueRock gains non-exclusive rights to Editas Medicine’s CRISPR technology and intellectual property and Editas Medicine gains non-exclusive rights to BlueRock’s iPSC and cell differentiation technology and intellectual property, in each of their respective fields. 

Under the terms of the agreement, each party is responsible for the payment of development, regulatory, and commercial milestones to their respective partner for any licensed engineered cell medicine developed in their respective field as well as royalties on global net product sales.

 

Companies in my headlights – It’s your decision; I provide an idea and context:

bluebird bio (BLUE) closed up +$1.82 to $160.00 after Monday’s +$0.85 to $158.18 and after six (6) sessions has approximately $11.30 in upside and the chart looks “toppy”; I’d be reaping any profit because one doesn’t know what the future brings while SGMO has news. There is a negative -$2.48 or -1.55% aftermarket indication – Maintaining SELL;

Biostage (BSTG) closed down -$0.02 to $2.18 with 5.519 after Friday’s -$0.15 to $2.20 with 7,759 shares traded. BSTG ended FY18 with $1.4 M in cash and spends $1.7 M per quarter (lately) – they are BROKE and probably scrounging for cash which brings dilution and price depreciation – Maintaining SELL;

CRISPR Therapeutics (CRSP) closed up +$2.45 to $37.90 after Friday’s -$0.27 to $35.45 and has NO aftermarket indication. In five (5) sessions, there was a $3.69 or +10% premium – TRADE;

Editas Medicine (EDIT) closed up +$1.31 to $26.02 after Friday’s +$0.26 to $24.71 and has a negative -$0.02 or -0.08%) aftermarket indication. In five (5) sessions, EDIT started at $22.95 – a $3.07 or +11.7% premium – TRADE;

Intellia Therapeutics (NTLA) closed up +$0.84 to $17.97 after Friday’s +$0.05 to $17.13 and has NO aftermarket indication. In eight (8) sessions NTLA was priced at $16.16, another one with a 10% premium – TRADE;

ReNeuron Group (RENE.L) closed down -$1.50 to $123.00 after Friday’s +$22.00 or +21.46% to $124.50 after Friday’s $102.50, Thursday’s $90.50, Wednesday’s $75.00 and last Tuesday’s $71.50. It’s getting too rich – RENE.L is down in the pre-market -$1.65 - Maintaining SELL;

Sangamo Therapeutics (SGMO) closed up +$2.76 to $12.29 after Monday’s -$0.01 to $9.53 and has a positive +$0.07 or +0.57% on news after the genomic medicine company and Pfizer (PFE) announced "encouraging" results from a P1/2 study of SB-525 gene therapy for the treatment of severe hemophilia A. The companies said SB-525 was generally well tolerated and demonstrated a dose-dependent increase in Factor VIII levels across the four dosage cohorts. Based on the study's results, the Safety Monitoring Committee (SMC) recommended expansion at a specific dose. These interim results suggest that SB-525 may be well-tolerated and may prove to have the predictability and sustained treatment effect that can bring clinical benefit in patients with hemophilia A – Maintaining BUY;

Verastem Oncology (VSTM) closed up +$0.08 to $3.03 after Monday’s -$0.01 to $2.95 and NO aftermarket indication. I am still of the opinion that VSTM is still OVERSOLD – Maintaining BUY;

 

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.