July 1, 2021 7:42am

News: Mesoblast (MESO -pre-open +$1.12 or +14.97%) provided an update on the strategy for bringing rexlemestrocel-L to patients in the United States (US) with chronic low back pain (CLBP) due to degenerative disc disease (DDD) refractory to available therapies, including opioids.

Pre-open indications: 3 BUYs: GBT, CRSP, MESO; 4 Sells into Strength – Profit: IONS, NTLA, EDIT, CRSP; 1 Maintain SELL: BSTG

My version of the morning’s “indications” is about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session

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Dow futures are UP +0.06% (+22 points), S&P futures are UP +0.01% (+1 point) and NASDAQ futures are DOWN -0.17% (-25 points)

 

U.S. stock futures were about missed and dipping in the pre-market on Thursday as for the 2nd half and Q3 begin,

European markets advanced with major bourses trading in positive territory,

Asia-Pacific markets slipped as investors reacted to the release of Chinese economic data; markets in Hong Kong were closed on Thursday for a holiday.

  • A private survey released Thursday showed Chinese factory activity growth slowing in June. The Caixin/Markit manufacturing Purchasing Managers’ Index for June came in at 51.3 on Thursday, a lower reading than May’s 52.0. PMI readings above 50 represent expansion, while those below that indicate contraction.

 

Data Docket: The weekly unemployment data with economists expecting initial claims for unemployment totaled 390,000 last week, after totaling 411,000 for the week ended June 19.

 

Henry’omics:

A warning, the small cap Russell 2000 rose more than 17% in the first six months of the year

 

Wednesday’s evening’s recap: “could have been worse, gene editors drive the upside”: … https://www.regmedinvestors.com/articles/11980

  • The Nasdaq closed DOWN -24.38 points (-0.17%);
  • The IBB closed up +0.03% and XBI closed down -0.25%
  • Sector volume was HIGH with 7 of the 16-upside having higher than the 3-month average volume with LOW volume of 4 of 17-downside having higher than the 3-month average volume;
  • The CBOE Volatility Index (VVIX: INDEX) was down -0.19 points or -1.19% at 15.83;
  • Wednesday’s percentage (%) of the 16-upside were +0.25% (VSTM) to +22.86% (EDIT) while the 17-downside ranges from -0.08% (MDXG) to -9.12% (VCEL);

Q3/21: begins today

Q2/21:

  • June: 15 positive and 8 negative closes
  • May:  8 positive, 12 negative closes and 1 holiday
  • 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:

The Biostage (BSTG) - Maintaining Sell – Could the share price stay up if it wasn’t “pumped”?

Biostage (BSTG) closed down -$0.005 to $1.25 with 3,241 shares traded after Tuesday’s +$0.03 to $1.26 with 1,860 shares traded, Monday’s -$0.02 to $1.23 with 1,177 shares traded, Friday’s -$0.10 to $1.25 with 1,00 shares traded and last Thursday’s +$0.10 to $1.35 with 1,920 shares traded.

Question#1: WHAT role is DST Capital “playing” in these on-going “volume-pumping” pricing “moves” – to keep the company from being de-listed?

Question#2: Does anyone see the patterns that I see?

MINORITY PUBLIC shareholders are waiting for the specific time, watching and weighing responses to MAINTAIN their RIGHTS.

 

The morning’s indications:

BUY:

Mesoblast (MESO) closed down -$0.23 to $7.48 and has news of filing a request and expects to hold a Type C meeting with the US FDA during the current quarter to discuss the pathway to US regulatory approval for rexlemestrocel-L following the recently completed 404 patient P3 trial in patients with chronic inflammatory back pain due to degenerative disc disease with a positive +$1.12 or +14.97%

 

CRISPR Therapeutics (CRSP) closed up +$11.40 to $161.89 after Tuesday’s -$1.14 to $150.49 after Monday’s +$9.111 to $151.63, Friday’s +$4.76 to $142.52, Thursday's +$7.20 to $137.88 and last Wednesday’s +$1.48 to $130.48 with a positive +$0.71 or +0.44% pre-market indication.

 

Maintaining SELL into Strength:

Ionis Pharmaceuticals (IONS) closed up +$0.34 to $39.89 after Tuesday’s +$0.58 to $39.55 and Monday’s +$0.04 to $38.97 and has a negative -$0.38 or -0.95% aftermarket indication.

Intellia Therapeutics (NTLA) closed up +$10.30 to $161.91 after Tuesday’s +$18.18 to $151.61, Monday’s +$44.60 to $133.43, Friday’s +$1.99 to $88.83 and last Thursday’s +$3.25 to $86.84, and has a positive +$1.09 or +0.67% pre-market indication after jumping on news and pricing a $600 M offering at $145.00.

Editas Medicine (EDIT) closed up again +$10.54 to $56.64 after Tuesday’s +$2.11 to $46.10, Monday’s +$2.11 to $43.99, Friday’s +$1.01 to $41.88 and last Thursday’s +$3.05 to $40.87, and has a positive +$2.22 or +3.92% aftermarket indication.

 

Maintaining BUY:

Global Blood Therapeutics (GBT) closed up +$2.56 to $35.02 after Tuesday’s -$0.73 to $32.45, Tuesday’s $33.19 and Monday’s $36.44 with a positive +$0.31 or 0.89% pre-market indication.

 

The BOTTOM LINE: In my role as a research analyst and journalist, many times I scratch my head over how to cover volatile cell and gene therapy equities – it’s the INDICATIONS that focus my “leanings”.

I also continue to MAINTAIN, this is a confused sector as sentiment rages and fades, momentum is usurped, fundamentals are being ignored.

When you’re on a roller coaster, the only thing you can be sure of is you’ll end up back where you started

A true contrarian thought …

My focus has always been “warning analysis” … my advice, trim and skim any new highs if one can!” I also see a number of 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.

Regulation Analyst Certification ("Reg AC"): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.