May 28, 2021 6:41pm

While only some of the oversold were on the receiving end with share pricing growth

My comments are important in trying to distinguish the temporary from real pricing digression or progress.

The week in review …

If you’re looking for sector intel, ideas and facts or numbers (which don’t lie) in a volatile climate, RMi defines the rigors of share pricing! My comments distinguish the temporary from real pricing digression or progress.

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The Dow closed UP +64.81 points (+0.19%); the S&P closed UP +3.23 points (+0.08%) while the Nasdaq closed UP +12.46 points (+0.09%)

 

Henry’omics:

Indexes climbed on Friday for a winning week amid growing optimism over the U.S. economic recovery.

For the week, the S&P 500 is up +1.2%, the Dow is also up +0.09% higher, while the Nasdaq has gained 2.1%.

For the month of May, the S&P 500 is up +0.06%, while the Dow is up +1.9% and the Nasdaq is off by about 1.5%.

 

Data Docket: A U.S. Commerce Department report showed that consumer prices accelerated 3.1% in the year to April, blowing past the Federal Reserve's 2% target and posting its largest annual gain since 1992.

  • Consumer spending, which accounts for more than two-thirds of U.S. economic activity, also rose at an 11.3% annualized rate in Q1.

 

RegMed Investors’ (RMi) pre-open: “escape, escape. The rush to the long holiday weekend goal” …  https://www.regmedinvestors.com/articles/11933

 

RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines:

  • Friday opened positive at 31/2, 1 flat and 1 acquired, stayed positive to the mid-day at 19/13, 2 flats and 1 acquired, closing negative at 13/19, 2 flats and 1 acquired;
  • Thursday opened negative at 9/24, 1 flat and 1 acquired, flipped positive before to the mid-day at 21/12, 1 flat and 1 acquired, closing positive at 19/13, 2 flats and 1 acquired;
  • Wednesday opened positive at 27/5, 2 flat and 1 acquired, stayed positive before to the mid-day at 26/5, 3 flats and 1 acquired, closing positive at 27/6, 1 flat and 1 acquired;
  • Tuesday opened positive at 23/9, 2 flat and 1 acquired, flipped negative before the mid-day to 13/19, 2 flats and 1 acquired, closing negative at 10/23, 1 flat and 1 acquired;
  • Monday opened positive at 17/15, 2 flat and 1 acquired, flipped negative by the mid-day to 8/25, 1 flat and 1 acquired, closing negative at 9/23, 2 flats and 1 acquired;

 

The Biostage (BSTG) Chronicles: Questions continue as RSM US LLP, their auditor “ceased the client-auditor relationship”.

  • “Wouldn’t quit, walked-away or resigned fit the action specifically.” … https://www.regmedinvestors.com/articles/11932 ,
  • BSTG was down -$0.20 to $1.12 with 600 shares traded after Thursday’s flat at $1.32 after Wednesday’s $1.32 after it had been down -$0.21 to $1.11 with 5,605 shares traded until the “promote and pump” kicked-in with shares bought to move it to -$0.00 with 5,617 shares trade.

 

RegMed/Cell and Gene Therapy Earnings Scorecard Q1/21 LPS Results … to date: https://www.regmedinvestors.com/articles/11628

 

There are clear winners and losers

Jumping with share pricing momentum:

  • Intellia Therapeutics (NTLA), Alnylam Pharmaceuticals (ALNY), Vericel (VCEL), MiMedx (MDXG), Ionis Pharmaceuticals (IONS) to name 5 of the 13 inclining of the 35 covered

Hammered in today’s market:

  • Sage Therapeutics (SAGE), Ultragenyx (RARE), Editas Medicine (EDIT), bluebird bio (BLUE), Chinook Therapeutics (KDNY) to name 5 of the 19 declining of the 35 covered

 

Key metrics:

  • Sector volume was LOW with 0 of the 13-upside having higher than the 3-month average volume with the volume of 3 of 19-downside having higher than the 3-month average volume;
  • Friday’s percentage (%) of the 13-upside were +0.06% (RGNX) to +4.46% (NTLA) while the 19-downside ranges from -019% (CRSP) to -15.55% (BSTG);

 

Friday’s (10 of 13) incliners:

  • Intellia Therapeutics (NTLA +$3.20 after Thursday’s -$0.40, Wednesday’s +$3.16, Tuesday’s +$2.06 and Monday’s +$3.52);
  • Alnylam Pharmaceuticals (ALNY +$1.76 after Thursday’s +$1.43, Wednesday’s -$0.84, Tuesday’s +$1.12);
  • Vericel (VCEL +$0.52 after Thursday’s +$1.73, Wednesday’s +$1.08, Tuesday’s +$0.12 and Monday’s +$0.11);
  • MiMedx (MDXG +$0.43);
  • Ionis Pharmaceuticals (IONS +$0.40 after Thursday’s +$1.33);
  • Fate Therapeutics (FATE +$0.35 after Thursday’s -$0.22, Wednesday’s +$1.55, Tuesday’s +$0.71 and Monday’s +$0.22);
  • Cellectis SA (CLLS +$0.26 after Thursday’s +$0.71);
  • Voyager therapeutics (VYGR +$0.09);
  • Bellicum Pharmaceuticals (BLCM +$0.07 after Thursday’s -$0.05);
  • BioLife Solutions (BLFS +$0.06 after Thursday’s +$1.23, Wednesday’s +$0.90, Tuesday’s -$0.32 and Monday’s -$1.14);

Friday’s (10 of 19) decliners:

  • Sage Therapeutics (SAGE -$2.16 after Thursday’s +$2.22, Wednesday’s +$0.88, Tuesday’s -$2.83 after Monday’s -$3.00);
  • Ultragenyx (RARE -$1.83 after Thursday’s +$0.64, Wednesday’s -$0.85 and Tuesday’s -$1.76);
  • Editas Medicine (EDIT -$0.64 after Thursday’s -$0.47, Wednesday’s +$2.43 and Tuesday’s -$0.25);
  • bluebird bio (BLUE -$0.60 after Thursday’s +$0.69);
  • Chinook Therapeutics (KDNY -$0.50);
  • Global Blood Therapeutics (GBT -$0.35 after Thursday’s -$0.43, Wednesday’s +$1.07 and Tuesday’s +$0.89);
  • Precigen (PGEN -$0.24);
  • CRISPR Therapeutics (CRSP -$0.22 after Thursday’s -$0.12, Wednesday’s +$2.10, Tuesday’s +$0.71 and Monday’s +$0.03);
  • Applied Genetic Technologies (AGTC -$0.22);
  • Biostage (BSTG -$0.20);

Closing 2 – Athersys (ATHX), ReNeuron (RENE.L) and 1 - Stemline Therapeutics (STML – acquired)

 

COVID-19 updates:

  • Average daily Covid case counts in the U.S. are at less than half of the level recorded at the start of May.

Tuesday’s COVID Data Tracker <Million>:

  • Cases: 34,017 M
  • Death rate totaled 608,874 - dipping <Johns Hopkins University>
  • Federal data shows the U.S. is reporting an average of 1.7 million daily vaccinations, and nearly 50% of the U.S. population has received one dose or more.

 

Stats:

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Friday, the IBB closed up +0.78% and XBI closed down -0.38%
  • Thursday, the IBB closed up +0.12% and XBI closed up +1.28%
  • Wednesday, the IBB closed up +0.60% and XBI closed up +2.17%
  • Tuesday, the IBB closed down -0.51% and XBI closed down -1.26%
  • Monday, the IBB closed down -0.61% and XBI closed down -0.66%

 

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Friday was up +0.02 points or +0.12% at 16.76
  • Thursday was down -0.62 points or -3.57% at 16.74
  • Wednesday was down -1.48 points or -7.86% at 17.36
  • Tuesday was up +0.44 points or +2.39% at 18.84
  • Monday was down -1.75 points or -8.68% at 18.40

 

Upside volume: low

  • Friday: 0 out of the 13-upside had higher than the 3-month average volume;
  • Thursday: 5 out of the 19-upside had higher than the 3-month average volume;
  • Wednesday: 3 out of the 28-upside had higher than the 3-month average volume;
  • Tuesday: 0 out of the10-upside had higher than the 3-month average volume;
  • Monday: 2 out of the 9-upside had higher than the 3-month average volume;

 

Downside volume: low

  • Friday: 3 out of the 19-downside had higher than the 3-month average volume;
  • Thursday: 2 out of the 13-downside had higher than the 3-month average volume;
  • Wednesday: 0 out of the 5-downside had higher than the 3-month average volume;
  • Tuesday: 5 out of the 23-downside had higher than the 3-month average volume;
  • Monday: 2 out of the 23-downside had higher than the 3-month average volume;

 

Percentage (%) movement/range statistics: LOW % with limited pricing drops as upside maintains

  • Friday’s percentage (%) of the 15-upside were +0.06% (RGNX) to +4.46% (NTLA) while the 17-downside ranges from -019% (CRSP) to -15.55% (BSTG);
  • Thursday’s percentage (%) of the 19-upside were +0.46% (SGMO) to +5% (QURE) while the 13-downside ranges from -0.10% (CRSP) to -4.40% (CLLS);
  • Wednesday’s percentage (%) of the 27-upside were +0.67% (CLBS) to +10.86% (BLCM) while the 5-downside ranges from -0.43% (ALNY) to -4.42% (KDNY);
  • Tuesday’s percentage (%) of the 10-upside were +0.23% (VCEL) to +3.07% (NTLA) while the 23-downside ranges from -0.19% (CLLS) to -4.21% (PSTI);
  • Monday’s percentage (%) of the 9-upside were +0.03% (CRSP) to +24.76% (VSTM) while the 23-downside ranges from -0.06% (EDIT) to -4.69% (AGTC);

 

May, second month of Q2/21:

Friday closed negative with 13 advancers, 19 decliners, 2 flats and 1 acquired

Thursday closed positive with 19 advancers, 13 decliners, 2 flats and 1 acquired

Wednesday closed positive with 27 advancers, 6 decliners, 1 flat and 1 acquired

Tuesday closed negative with 10 advancers, 23 decliners, 1 flat and 1 acquired

Monday (5/24) closed negative with 9 advancers, 23 decliners, 2 flat and 1 acquired

Friday closed positive with 14 advancers, 18 decliners, 2 flats and 1 acquired

Thursday closed positive with 28 advancers, 5 decliners, 1 flat and 1 acquired

Wednesday closed negative with 7 advancers, 27 decliners and 1 acquired

Tuesday closed positive with 21 advancers, 11 decliners, 2 flats and 1 acquired

Monday (5/17) closed negative with 14 advancers, 18 decliners, 2 flat and 1 acquired

Friday closed positive with 29 advancers, 3 decliners, 2 flats and 1 acquired

Thursday closed negative with 8 advancers, 25 decliners, 1 flat and 1 acquired

Wednesday closed negative with 10 advancers, 23 decliners, 1 flat and 1 acquired;

Tuesday closed positive with 23 advancers, 10 decliners, 1 flat and 1 acquired

Monday (5/10) closed negative with 3 advancers, 30 decliners, 1 flat and 1 acquired

Friday closed positive with 18 advancers, 14 decliners and 1 acquired

Thursday closed negative with 12 advancers, 22 decliners and 1 acquired

Wednesday closed negative with 12 advancers, 23 decliners and 1 acquired

Tuesday closed negative with 2 advancers, 32 decliners and 1 acquired

Monday (5/3) closed negative with 9 advancers, 23 decliners, 2 flats and 1 acquired

 

 

The BOTTOM LINE: This week, investors experienced the back-and-forth in the cell and gene therapy sector as three of the five week’s closes reflected negative sessions.

As I had stated “Expect the sector rotation trades to continue to play out.”

Q1 earnings season is wrapping up and my reaction to earnings LPS (loss-per-share) results reveals more than some skepticism that Q1 losses provide a reason for additional forward-looking less than optimistic and more pessimism through the mid-year.”

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!”

My time frame of measurement remains Friday to Friday and has been proved right again, don’t get complacent …

 

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.