December 10, 2020 8:07am

The phoenix or bottoms do rise from the ashes … most times after trafficking in the downside

Pre-open indications: 8 BUY and 1 SELLs

News: Bellicum Pharmaceuticals (BLCM) announced enrollment and apheresis of the first patient in the P1/2 clinical trial for BPX-603 in patients with tumors that express human epidermal growth factor 2 (HER2). BPX-603 is BLCM’s first dual switch GoCAR-T® product candidate that incorporates the iMC activation and CaspaCIDe® safety switch technologies.

What I provide is a trusted source of share pricing intelligence that ensures that investors are kept apprised of “our” universe, the RegMed/cell and gene therapy sector and its surrounding markets

A pre-open briefing on what you need to know in the day ahead!

Dow futures are DOWN -0.05% (-14 points), S&P futures are DOWN -0.21% (-4 point) and NASDAQ futures are DOWN -0.49% (-60 points)

 

Futures are lower early Thursday as investors wait and listen to additional fiscal aid squabbles formerly called stimulus negotiations, as well as progresses on the Covid-19 vaccine front;

European stocks were lowering as markets tracked the parlous state of Brexit trade deal talks between the U.K. and EU this week;

Asia-Pacific markets mostly declined Thursday as investors kept an eye on Brexit trade talks as well as ongoing negotiations in the U.S. for a coronavirus relief package. Major indexes in Australia, Japan and South Korea struggled for gains.

 

Henry’omics:

Expectation versus investor sentiment in recent days has improved on the back of Pfizer’s (PFE) vaccine rollout in the U.K.

Wednesday stocks rose to record highs; but gains were ultimately short-lived and the major averages wound up closing in the red.

As the House of Representatives passed a government funding extension Wednesday that would keep the federal government running through Dec. 18 and buy time for further negotiations for a bigger relief bill.

EU leaders are gathering in Brussels Thursday for a two-day EU Council meeting. Talks remain at an impasse over several key issues, including fishing rights and competition rules. Downing Street said “very large gaps” remain, while Von der Leyen described the two sides as “far apart.” <CNBC>

 

An Update: RegMed/Cell and Gene Therapy Earnings Scorecard Q3/20 LPS Results https://www.regmedinvestors.com/articles/11628     

 

Wednesday’s night’s recap: RegMed Investors’ (RMi) closing bell: “a merry-go-round ride. Investors are tired of volatile rides even though the recent “run” has been trendy” … https://www.regmedinvestors.com/articles/11670

  • The Nasdaq closed DOWN -243.82 points (1.94%);
  • The IBB closed down -1.88% and XBI closed down -2.03%;
  • Sector volume was LOW with 8 of the 10-upside having higher than the 3-month average volume with the increased volume of 13 of 22-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was up +1.71 points or +8.27% at 22.39;
  • Wednesday’s percentage (%) of the 10-upside were +0.11% (CRSP) to +17.14% (EDIT) while the 22-downside ranges from -0.58% (VCEL) to -38.92% (PSTI);

Q4:

  • Q4’s December, so far: 1 neutral, 2 negative and 4 positive closes
  • Q4’s November: 16 positive and 3 negative closes
  • Q4’s October: 1 neutral, 11 positives with 1 negative closes
  • Q3: July through September: 1 neutral, 28 positive and 34 negative closes with 2 holidays

 

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

Maintaining Sell:

Biostage (BSTG) closed flat again at $1.35 with 384 shares traded after Tuesday’s at $1.35 with 761 shares traded, Monday’s -$0.07 to $1.35 with 5,098 shares traded, Friday’s +$0.07 to $1.42 with 3,514 shares traded and last Thursday’s -$0.00 to $1.35 with 2,418 shares traded. Continuing enquiries …

  • Question#1: WHY is BSTG considered a “zombie” company, consider the trading pattern?
  • Question#2: WHY NO communication re clinical trial strategy or just anything re froward motion? Is there a language gap or a deliberate message deficiency by key management?

Maintaining BUY:

Alnylam Pharmaceuticals (ALNY) closed down -$4.01 to $124.04 after Tuesday’s $128.05, Monday’s $126.81, Friday’s $129.56 and last Thursday’s $131.17 with a POSITIVE +$3.96 or +3.19% aftermarket indication;

Applied Genetic Technologies (AGTC) closed down again -$0.17 to $4.28 after Tuesday’s -$0.10 to $4.45, Monday’s -$0.14 to $4.55, Friday’s +$0.02 to $4.69 and last Thursday’s -$0.33 to $4.67 with a POSITIVE +$0.05 or +1.17% aftermarket indication and a sincere belief that it is OVERSOLD and I LOVE BOTTOMS;

Bellicum Pharmaceuticals (BLCM) closed down -$0.12 to $2.71 after Tuesday’s $2.83, Monday’s $2.79, Friday’s $3.09 and last Thursday’s $3.06 with a POSITIVE +$0.10 or +3.69% pre-market indication;

bluebird bio (BLUE) closed down again -$1.79 to $42.61 after Tuesday’s -$1.00 to $44.40, Monday’s $45.40, Friday’s $46.92 and last Thursday $46.98 with a POSITIVE +$0.59 or +1.38% aftermarket indication;

Cellectis SA (CLLS) closed down -$2.24 to $27.74 after Tuesday’s $29.98, Monday’s $30.19, Friday’s $29.44 and last Thursday’s $29.40 with a POSITIVE +$0.66 or +2.38% aftermarket indication;

Chinook Therapeutics (KDNY) closed down -$0.19 to $13.14 after Tuesday’s $13.33, Monday’s $13.57, Friday’s $14.68 and last Thursday’s $13.64 with a POSITIVE +$0.61 or +4.64% aftermarket indication;

Ionis Pharmaceuticals (IONS) closed down -$2.33 to $46.65 after Tuesday’s $48.98, Monday’s $50.31, Friday’s $51.22 and last Thursday’s $50.97 with a POSITIVE +$0.10 or +0.21% aftermarket indication;

Intellia Therapeutics (NTLA) closed up +$1.45 to $48.71 after Tuesday’s +$0.67 to $47.26, Monday’s $46.59, Friday’s $43.44 and last Thursday’s $42.92 with a POSITIVE +$0.30 or +0.62% aftermarket indication;

 

The BOTTOM LINE: Caution is warranted but indications say otherwise; although some valuations are stretched – some equity values are ready to recover from their downside.

As I have been saying, “a storm is coming” and “the sector has been trading water”.

I have also stated, ‘I love bottoms” because in most companies there are factors that will stimulate attrition management, attributive news to regain investors that recognize value!

I recognize BUYING bottoms of value when nobody else wants them and sell when new highs when others will overpay which then causes an overbought pricing.

What I also need to say is, I am NOT always the naysayer as contrarian thinking that realizes foresight can perceive hidden opportunities and seize them at just the right moment.

 

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.