May 17, 2021 8:05am

Who will buy the latest rotation now?

Pre-open indications:  1 Maintain SELL

Earnings: Applied Genetic Technologies (AGTC)

Mentions: BSTG

My version of the morning’s “indications” is written to be informative; it’s what could happen or materialize after the opening and what might happen during the session

Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors! 

 

Dow futures are DOWN -0.44% (-151 points), S&P futures are DOWN -0.44% (-18 points) and NASDAQ futures are DOWN -0.50% (-67 points)

 

Stock futures were lower early on Monday pointing to a morning opening loss.

European stocks were mixed

Asia-Pacific stocks were mixed as investors reacted to the release of Chinese economic data while also monitoring the Covid situation in places such as Taiwan, which has seen a recent spike in domestic infections.

 

Data Docket: The moves came following the release of a slew of Chinese economic data. China’s industrial output rose 9.8% year-on-year in April, according to data released Monday by the country’s National Bureau of Statistics. That figure was in line with expectations from a Reuters poll.

 

Henry’omics:

Indexes came off one of the wildest weeks of 2021 that saw the S&P 500 ended the week down 1.4%, the Nasdaq dropped 2.3% and the Dow fell 1.1% last week. All three (3) benchmarks posted their worst week since February 26.

 

RegMed/Cell and Gene Therapy Earnings Scorecard Q1/21 LPS Results … twenty-eight (28) to date …  https://www.regmedinvestors.com/articles/11628

 

Friday’s evening’s recap: “back on the upside ridge, after riding the roller-coaster since the beginning of May” … https://www.regmedinvestors.com/articles/11912

  • The Nasdaq closed UP +304.99 points (+2.32%);
  • The IBB closed up +2.43% and XBI closed up +3.63%;
  • Sector volume was LOW with 4 of the 29-upside having higher than the 3-month average volume with the volume of 1 of 3-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was down -4.32 point or -18.68% to 18.81;
  • Friday’s percentage (%) of the 29-upside were +0.71% (BLFS) to +13.42% (ATHX) while the 3-downside ranges from -0.55% (ADVM) to -21.40% (SLDB);

Q2/21:

May:  3 positive and 7 negative closes

April: 11 negative and 10 positive closes

Q1/21:

  • 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 flat with 54 shares traded after Thursday’s down -$0.10 to $1.15 with 950 shares traded.

Question#1: What is there to invest in, an IND a year old with NO clinical trial, NO management, barely any employees and huge overhead (buildings etc.) expense with WHAT capacity to finance?

Question#2: With only $1 million left in the “till” WHAT is the runway with a “spend” and “net cash in operations of $4 million during the year ended 12/ 31/20”. Don’t forget the PPP loan remaining as DEBT ($0.4 million).

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

 

The morning’s indications,  I am keeping my fingerprints OFF any prognostications re indications!

 

The BOTTOM LINE: Q1 earnings season is wrapping up – 28 of my 35 covered companies have reported with 1 more today.

 A quote to seriously ponder, “Not only are [last] week’s events a warning sign of how uncomfortable inflation prints can become but also a warning sign of how overbought equity markets have become,” Nikolaos Panigirtzoglou, a managing director at JPMorgan, said in a note.

Post earnings’ release, BUY some(few) short-term dips but, cautiously.

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.

My motto, never leave an investor uninformed about what I know!

 

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.