April 29, 2021 7:35am
President Biden unveils $1.8T spending proposal; one key item “American interests will be defended “across the board”; it comes as relations between Washington and Beijing remain frosty …”
Earnings this week: Alnylam Pharmaceuticals (ALNY)
Pre-open indications: 1 BUY, 7 SELLs and 1 Maintain SELL
Mentions: ADVM, FIXX, CRSP, AGTC, AXGN, BCLI, BSTG, MDXG, SAGE, VCEL
My version of the morning’s “numbers” is written to be informative rather than just about changes to share pricing; it’s what happened or will materialize after the opening and what might happen during the session
Dow futures are UP +0.48% (+161 points), S&P futures are UP +0.68% (+29 points) and NASDAQ futures are UP +0.95% (+13 points)
U.S. stock index futures rose on Thursday after revenue jumps from tech earnings,
European stocks advanced as markets react to the U.S. Fed’s decision to hold interest rates near zero,
Asia-Pacific stocks were higher also following U.S. Fed’s decision to keep its easy money policy in place.
Data Docket: the progress of the economic recovery. Initial jobless claims numbers will be released, with economists surveyed by Dow Jones expecting a print of 528,000. Pending home sales figures will also be released.
- Europe include German unemployment data for April; euro zone consumer confidence and economic sentiment data for April; and flash inflation data for Germany and Spain in April.
Indexes posted losses for Wednesday’s session.
Global markets seem dominated by the U.S. central bank and earnings reports this week.
Wednesday’s evening’s recap: “I thought up-downs were an exercise; it just might be for a portfolio” … https://www.regmedinvestors.com/articles/11887
- The Nasdaq closed DOWN -39.19 points (-0.28%)
- The IBB closed down -0.70% and XBI closed up +0.24%
- Sector volume was LOW with 4 of the 20-upside having higher than the 3-month average volume with the volume of 1 of 12-downside having higher than the 3-month average volume;
- The CBOE Volatility Index (VVIX: INDEX) was down -0.28 points or -1.59% at 17.28
- Wednesday’s percentage (%) of the 20-upside were +0.38% (PGEN) to +9.97% (BLCM) while the 12-downside ranges from -0.02% (GBT) to -5.70% (CLLS);
Q2/21 and April: 9 negative and 10 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:
Biostage (BSTG): Questions continue … Maintaining Sell
Biostage (BSTG) closed down -$0.02 to $1.26 with 830 shares traded after Tuesday’s +$0.18 to $1.28 with 1,458 shares traded, Monday’s $1.10 with 407 shares traded, Friday’s -$0.05 to $1.10 with 151 shares traded and last Thursday’s +$0.15 to $1.15 with 1,202 shares traded.
Question#1: WHY do they NOT update their website as more of their leadership walks away? WHY do they NEED to misrepresent their management team?
Question#2: WHERE is the next level of funding coming from, is it further warrant execution - the only source of cash generation for further funding? Will the $1 million dollars remaining in the “till” last through the quarter? Should its “runway” be considered extremely short or even non-existent?
Question#3: Notice the volume numbers per session. WHY the need to “pump, promote and inflate” the share price as the volume reflects the manipulation to execute the last remaining warrants?
MINORITY PUBLIC shareholders are waiting, watching and weighing responses to MAINTAIN their RIGHTS.
The morning’s indications, from what I discern are in store:
SELL from BUY:
- Adverum Biotechnologies (ADVM) closed up +$0.30 after Tuesday’s -$0.10 after Monday’s -+$0.46 and Friday’s -$0.06 with a negative -$5.09 or -50.10% pre-market indication. ADVM announced a Suspected Unexpected Serious Adverse Reaction (SUSAR) of hypotony (clinically-relevant decrease in ocular pressure) in its INFINITY clinical trial evaluating ADVM-022 gene therapy for the treatment of diabetic macular edema (DME). This event occurred 30 weeks after randomization in one patient treated with a single intravitreal injection of the high dose (6 x 10^11 vg/eye) of ADVM-022 who has developed hypotony, with panuveitis and loss of vision in the treated eye.
SELL into strength:
- Applied Genetic Technologies (AGTC) closed up +$0.22 after Tuesday’s -$0.38 and last Monday’s -$0.09 with a positive +$0.15 or +3.60% pre-market indication.
- AxoGen (AXGN) closed up +$0.34 after Tuesday’s -$1.02 and Monday’s -$0.09 with a negative -$0.35 or -1.92% aftermarket indication.
- Brainstorm Cell Therapeutics (BCLI) closed up +$0.10 after Tuesday’s -$0.08 and Monday’s +$0.15 with a negative -$0.08 or -2.20% aftermarket indication – post earning’s reporting.
- CRISPR Indication (CRSP) closed up +$2.50 after Tuesday’s -$2.68, Monday’s +$9.17 and Friday’s +$0.66 with a negative -$0.04 or -0.03% aftermarket indication;
- MiMedx (MDXG) closed up +$0.23 after Tuesday’s $ and Monday’s $ with a negative -$0.57 or -5.32% aftermarket indication after reporting Q1 earnings. Net loss of $8.4 million, reflecting $7.2 million of investigation, restatement and related expenses, for Q1/21, compared to a net loss of $4.8 million for Q1/20.
- Vericel (VCEL) closed down -$0.46 after Tuesday’s -0.37, Monday’s +$4.46 and Friday’s +$1.96 with a positive +$1.77 or +2.80% aftermarket indicator;
A Falling Knife:
- Sage Therapeutics (SAGE) closed down -$0.11 after Tuesday’s -$0.92 and Monday’s +$1.93 with a negative -$2.02 or -2.60% aftermarket indication.
- Homology Medicine (FIXX) closed up +$0.08 after Tuesday’s -$0.01, Monday’s +$0.12 and Friday’s +$0.06 with a positive +0.03 or +0.43% aftermarket indication;
The BOTTOM LINE: I see trouble ahead in the markets and any prognostication will be something difficult or unpleasant thus I anticipate hesitating over until the overview comes clear about “biting the bullet".
At the moment, the only “thing” we’ve got to look forward to is the next wave of Q1 earnings or as I call them LPS (loss-per-share) numbers. Will reporting take the sector down – probable?
My focus has always been “warning analysis” … my advice, trim and skim any new highs if one can!” I also see some lows that could be in the “pick-up” stock game.
I say, re-asses your risk as some questionable earnings are on the horizon.
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.