RegMed Investors’ (RMi) pre-open: what’s normal in this market?

April 6, 2021 7:08am

Sentiment is “every which way but, loose” as electronic trading spins the sector

Pre-open indications:  4 BUYs, 4 SELLs and 1 Maintain SELL

Mentions: ALNY, BSTG, CLLS, CRSP, EDIT, NTLA, QURE, VCEL, VYGR

If you’re looking for sector intel, ideas and opinions or Insight in a volatile climate, RMi defines the mitigating factors of share pricing! 

RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.

Dow futures are DOWN -0.13% (-43 points), S&P futures are DOWN -0.23% (-9 points) and NASDAQ futures are DOWN -0.29% (-41 points)

Stock futures indicate a negative open on Tuesday after yesterday’s closing at new highs,

European markets advanced as trading resumed after the Easter holiday,

Asia-Pacific markets were mixed.

Data Docket: February’s euro zone unemployment rate is set for publication at 10 a.m. London time. Meanwhile the IMF releases its World Economic Outlook and Global Financial Stability Report. In Asia, Hong Kong was closed for holiday

Henry’omics:

Indexes rallied to record levels on Monday after a blowout jobs (Friday)report and a surge in the gauge of services industry activity showed the economic rebound gained momentum amid accelerated vaccine rollout.

Peripheral Sector Risk Profile: Acadia Pharmaceuticals (ACAD) Is plunging pre-market again -$0.33 or -1.56% after Monday’s drop of -$4.41 or -17.23% to $21.18 as the FDA rejected a drug application which had been expected; the rejection of Acadia's expansion involved the label of its drug pimavanserin, but the agency's letter seems particularly bad – still all about the … RISK which affects biotech

• Shares of Acadia Pharmaceuticals plunged -17.23% on Monday after the biopharmaceutical company received a Complete Response Letter (CRL) from the US Food and Drug Administration (FDA), which rejected the supplemental New Drug Application (sNDA) for NUPLAZID (pimavanserin). The therapy was designed for the treatment of hallucinations and delusions associated with dementia-related psychosis (DRP).

• The CRL indicated that the application cannot be approved in its present form because it lacks substantial evidence of effectiveness to support approval, despite prior agreements with the Division of Psychiatry regarding the pivotal P3 HARMONY study design targeting a broad DRP patient population analyzed as a single group,

Monday’s evening’s recap: “sector didn’t trend far from Thursday’s highs. Highs weren’t so high and lows were not that deep.” …

• The Nasdaq closed UP +225.49 points (+1.67%);
• The IBB closed up +0.43% and XBI closed up +1.17%;
• Sector volume was LOW with 2 of the 24-upside having higher than the 3-month average volume with the volume of 1 of 8-downside having higher than the 3-month average volume;
• The CBOE Volatility Index (VVIX: INDEX) was up +0.60 points or +3.46% at 17.03
• Monday’s percentage (%) of the 24-upside were +0.07% (EDIT) to +9.44% (PGEN) while the 8-downside ranges from -0.18% (SLDB) to -4.59% (AGTC);

April and Q2: 2 positive closes

March: 10 positive, 12 negative and 1 neutral closes

February: 9 positive, 10 negative closes and 1 holiday

January: 10 positive, 9 negative closes and 1 holiday

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

The Biostage (BSTG) Chronicles: Maintaining Sell, questions continue

Biostage (BSTG) closed down -$0.04 to $1.30 with 2401 shares traded after Thursday’s flat at 1.34 with 26 shares traded after Wednesday’s -$0.035 to $1.34 with 295 shares traded and last Tuesday’s -$0.125 to $1.375 with 758 shares traded.

Question#1: SEC form NT 10-K filed, Biostage (BSTG) “could not complete the filing of its Form 10-K for the period ended 12/31/2020 due to disruptions in staffing… delaying their ability to obtain and compile the information required to be included in the Form 10-K, which delay could not be eliminated … without unreasonable effort and expense.

Question#2: WHY, on 1/29/21, did Danforth Advisors terminate (8-K, filed 2/4/21) its (accounting and financial officer) consulting agreement and months later – STILL … NO qualified candidates?

Question#3: WHY does the BOD and its newest member, Herman Sanchez support the current management team? Shouldn’t these BOD members be considered liable for these issues of noncompliance?

Question#4: Are there MORE issues related to accrued liabilities NOT being recorded and WHAT about the previously awarded PPP loan coming due for repayment?

Question#5: is there more to this “story line” of multiple 8-K flings (let’s not forget, 8-K filed 2/19/21 reducing CSO’s William Fodor’s salary by half)? Also, is RSM US LLP still the auditor, notice there was NO statement in the SEC filing?

MINORITY PUBLIC shareholders are waiting, watching and weighing responses to MAINTAIN their RIGHTS.

SELL into Strength:

Alnylam Pharmaceuticals (ALNY) closed up +$0.84 to $142.65 with a negative -$6.24 or -4.37% aftermarket indication.

Intellia Therapeutics (NTLA) closed up +$0.17 to $80.23 after Thursday’s -$0.19 to $80.06 with NO pre-market aftermarket indication.

uniQure NV (QURE) closed up +$1.67 to $35.78 after Thursday’s +$0.42 to $34.11 with NO aftermarket indication.

Vericel (VCEL) closed up +$1.07 to $54.27 with a negative -$0.52 or -0.96% aftermarket indication.

Maintaining BUY:

Cellectis SA (CLLS) closed up +$1.19 to $20.93 after Thursday’s -$0.47 to $19.74 with a positive +$0.07 or +0.33% aftermarket indication.

CRISPR Therapeutics (CRSP) closed up +$2.58 to $121.99 after Thursday’s -$2.44 to $119.41 with a positive +$0.94 or +0.77% aftermarket indication.

Editas Medicine (EDIT) closed up +$0.03 to $42.86 after Thursday’s +$0.93 to $42.83 with a positive +$0.44 or +1.03% pre-market indication.

Voyager Therapeutics (VYGR) closed up +$0.19 to $5.04 with a positive +$0.20 or +3.97% pre-market indication.

The BOTTOM LINE: Watch-out as Dow and S&P spun yesterday with new highs while the Nasdaq exhibited no slouching … as Investors reacted to jobs data, vaccination increases and slowing COVID-19 deaths

I’m STILL a “beware or the cautious man” whose focus has always been “warning analysis” … earnings’ season is NOT over … my advice, trim and skim any new highs if one can!”

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.