October 2, 2019 9:44pm
We need some or any positive news as earnings season is soon to real LPS (loss-per-share) and lower revenues followed by lower estimates and forecasts
News: Organovo Holdings (ONVO +$0.0157) confirmed that it has received a proposal from Viscient Biosciences, an early-stage private company headquartered in San Diego, Ca, to acquire ownership control. ONVO’s BOD determined that it would be in the best interests of ONVO’s stockholders to evaluate strategic alternatives retaining Roth Capital Partners as its financial advisor.
I make a commitment to provide need-to-know “facts in evidence” as equity’s volatility is one tactical signal for stocks.
There are a variety of end uses to sector forecasts; the most prominent, they are used to protect your portfolio’s life and value.
The Dow closed down -494.42 (-1.86%), the S&P closed down – 52.64 (-1.79%) and the NASDAQ closed down – 123.44 (-1.56%)
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Wednesday the IBB closed down -0.78% while the XBI closed up +0.68%
- Tuesday the IBB closed down -1.50% while the XBI closed down -1.64%
- Monday the IBB closed up +0.20% while the XBI closed down -0.21%
Sector equities fell sharply on Wednesday, adding to the market’s poor start to Q4/19 as investors grapple with fears of an economic recession.
The sector is bidding down to the basement while investors are paralyzed by fear as their portfolio stays underwater.
Equities were down on the second day of the fourth quarter after the Institute for Supply Management said U.S. manufacturing activity fell last month to its lowest level in more than 10 years.
Bottoms are NOT unrestricted, it will be time to bottom pick but, not until the earnings release bell has rung!
The advance/decline line scenario of 45 covered companies:
- Wednesday the close was negative with an A/D line of 18/22, 3 flats and 2 acquired;
- Tuesday the close was negative with an A/D line of 5/36, 2 flats and 2 acquired;
- Monday the close was positive with an A/D line of 21/19, 3 flats and 2 acquired;
- ReNeuron (RENE.L -$64.00 after Tuesday’s -$20.00 and Monday’s +$17.50);
- Cellectis SA (-$0.88 after Tuesday’s +$0.73);
- bluebird bio (BLUE -$0.57 after Tuesday’s -$4.80 and Monday’s -$0.99);
- BioMarin Pharmaceuticals (BMRN -$0.49 after Tuesday’s -$2.54 and Monday’s -$0.91);
- Intellia Therapeutics (NTLA -$0.38);
- Audentes Therapeutics (BOLD +$1.34);
- Sage Therapeutics (SAGE +$1.25 after Tuesday’s -$4.01 after Monday’s -$2.46);
- Alnylam Pharmaceuticals (ALNY +$1.25 after Tuesday’s -$5.91)
- Regenxbio (RGNX +$0.98);
- Ions Pharmaceuticals (IONS +$0.71 after Tuesday’s -$2.77 and Monday’s +$0.85);
The percentage (%) indicators:
- Wednesday’s range of the 18 upside was +0.35% (SGMO) to +7.78% (XON) while the 22 downside ranged from -0.21% (ONCE) to -23.70% (RENE.L);
- Tuesday’s range of the 5 upside was +1.20% (CUR) to +8% (RENE.L) while the 36 downside ranged from -0.13% (ONCE) to -9.62% (BSTG);
- Monday’s range of the 21 upside was +0.22% (FIXX) to +7.53% (RENE.L) while the 20 downside ranged from -0.43% (QURE) to -30.65% (HSGX);
Upside volume stats: to compare
- Wednesday: 8 out of the 18 upside had higher than the 3 month average volume
- Tuesday: 3 out of the 5 upside had higher than the 3 month average volume;
- Monday: 9 out of the 21 upside had higher than the 3 month average volume;
Downside volume stats:
- Wednesday: 15 out of the 22 downside had higher than the 3 month average volume;
- Tuesday: 19 out of the 36 downside had higher than the 3 month average volume;
- Monday: 4 out of the 19 downside had higher than the 3 month average volume;
2 flat – ATHX, MDXG and MESO with 2 acquired (AST & OSIR) and Spark Therapeutics’ (ONCE) acquisition by Roche is still being delayed (October?)
Wednesday closed NEGATIVE with 22 decliners, 18 advancers, 3 flats and 2 acquired (AST & OSIR);
Tuesday closed NEGATIVE with 36 decliners, 5 advancers, 2 flat and 2 acquired (AST & OSIR);
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.