July 6, 2021 5:37pm

The Biostage (BSTG) Chronicles: the share price is being “pumped” so they can execute the remaining $2.00 warrants to add yet another layer of unregistered stock – 5,072 shares traded (3-month average =1,858 shares) from WHOM – as if we didn’t know?

Pre-open indications: 4 HITs and 7 MISS

My comments try to distinguish the temporary from real pricing digression or progress.

It takes courage to be not discouraged!

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

The Dow closed DOWN -208.98 points (-0.60%); the S&P closed DOWN -8.80 points (-0.20%) while the Nasdaq closed up +24.32 points (+0.17%)

 

Henry’omics:

Indexes pulled back from record levels on Tuesday, giving back many gains in the cell and gene therapy sector. The Nasdaq each eked out a record intraday high.

 

Data Docket: Investors await the release of June Federal Open Market Committee meeting minutes due Wednesday for clues about the central bank’s behind-the-scenes discussions on winding down its quantitative easing program. <CNBC>

 

RegMed Investors’ (RMi) pre-open: “fairly quiet, some bounces after Friday’s decline” … https://www.regmedinvestors.com/articles/11985  

 

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

  • Tuesday opened negative at 1/30, 3 flats and 1 acquired, stayed negative at the mid-day to 7/27 and 1 acquired, closing negative 7/26, 1 flat and 1 acquired;
  • Monday was a holiday,
  • Friday opened negative at 3/30, 1 flat and 1 acquired stayed negative at the mid-day at 7/27, and 1 acquired, closing negative at 9/24, 1 flat and 1 acquired;

 

The Biostage (BSTG) Chronicles: The “pump” is STILL promoting on Tuesday with 5,072 shares as BSTG tries to exercise the remaining private placement warrants to add more unregistered shares to the “outstanding” …

  • After trading Friday as 1,974 shares were expended to close -$0.00 TO CLOSE AT $1.35, Thursday with 408 shares “appearing” to boost the share price +$0.095 to $1.35 after Wednesday’s -$0.005 (was -$0.11) to $1.25 with 3,241 shares traded and last Tuesday as 1,860 shares “appeared” as the share price was sinking -$0.07 to lift it +$0.03 … WHO is buying this “zombie pig” as IF we didn’t know?  After yet another warrant execution and ever-increasing UN-REGIGISTERED share DILUTION with the potential THREAT is of de-listing if the share price was to trade without the “pump” below $1.00?

 

Pre-open Indications: 4 HITs <SELL: Precigen (PGEN -$0.16), CRISPR Therapeutics (CRSP -$7.78), Editas Medicine (EDIT -$6.76), Voyager Therapeutics (VYGR -$0.23)> and 7 MISS <Biostage (BSTG +$0.15); BUY: Applied Genetic Technologies (AGTC -$0.26), bluebird bio (BLUE -$0.34), Cellectis SA (CLLS -$0.30), Ionis Pharmaceuticals (IONS -$0.59), Intellia Therapeutics (NTLA -$14.26), Sangamo Therapeutics (SGMO -$0.46) >

 

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

 

There are clear winners and losers

Jumping with share pricing momentum:

  • Alnylam Pharmaceuticals (ALNY) - again, Vericel (VCEL), BioLife Solutions (BLFS), Biostage (BSTG) – pumped, AxoGen (AXGN), MiMedx (MDXG), Verastem VSTM) to name 7 of the 7 inclining of the 35

Hammered in today’s market:

  • Intellia Therapeutics (NTLA) - again, CRISPR Therapeutics (CRSP), Editas Medicine (EDIT) - again, Fate Therapeutics (FATE) - again, Ultragenyx (RARE) to name 5 of the 26 declining of the 35 covered

 

Key metrics:

  • Sector volume was LOW with 1 of the 7-upside having higher than the 3-month average volume with LOW volume of 5 of 26-downside having higher than the 3-month average volume;
  • Tuesday’s percentage (%) of the 7-upside were +0.51% (VSTM) to +11.11% (BSTG) while the 26-downside ranges from -0.65% (CLBS) to -12.31% (EDIT);

 

Tuesday’s (7 of 7) incliners:

  • Alnylam Pharmaceuticals (ALNY +$2.95 after Friday’s +$1.68);
  • Vericel (VCEL +$2.78 after Friday’s -$0.86);
  • BioLife Solutions (BLFS +$1.40 after Friday’s +$0.56);
  • Biostage (BSTG +$0.15 after Friday’s flat);
  • AxoGen (AXGN +$0.14);
  • MiMedx (MDXG +$0.07);
  • Verastem (VSTM +$0.02);

Tuesday’s (10 of 26) decliners:

  • Intellia therapeutics (NTLA -$14.26 after Friday’s -$7.94);
  • CRISPR Therapeutics (CRSP -$7.78 after Friday’s -$0.76);
  • Editas Medicine (EDIT -$6.76 after Friday’s -$1.62);
  • Fate Therapeutics (FATE -$5.41 after Friday’s -$1.49);
  • Ultragenyx (RARE -$2.79 after Friday’s +$0.10);
  • Sage Therapeutics (SAGE-$1.39 after Friday’s -$1.32);
  • Regenxbio (RGNX -$1.30 after Friday’s +$0.15);
  • uniQure NV (QURE -$1.06 after Friday’s -$0.76);
  • Global Blood Therapeutics (GBT -$0.95 after Friday’s -$2.95);
  • Ionis Pharmaceuticals (IONS -$0.59);

Closing 1 – ReNeuron (RENE.L) and Stemline Therapeutics (STML) – acquired

 

Stats:

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

  • Tuesday, the IBB closed down -1.14% and XBI closed down -2.15%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was up +1.37 points or +9.09% at 16.44

Upside volume: weak

  • Tuesday: 1 out of the 7-upside had higher than the 3-month average volume;

Downside volume:

  • Tuesday: 5 out of the 26-downside had higher than the 3-month average volume;

Percentage (%) movement/range statistics: price versus percentage …

  • Tuesday’s percentage (%) of the 7-upside were +0.51% (VSTM) to +11.11% (BSTG) while the 26-downside ranges from -0.65% (CLBS) to -12.31% (EDIT);

 

July, first month of Q3/21:

Tuesday closed negative with 7 advancers, 26 decliners, 1 flat and 1 acquired

Friday closed negative with 9 advancers, 24 decliners, 1 flat and 1 acquired

Thursday (7/1) closed positive with 25 advancers, 8 decliners, 1 flat and 1 acquired

 

The BOTTOM LINE:  What has changed, the sector was torn from any upside from profiteering on fears of risk, clinical news and market forces.

I expect smaller and choppier gains from the

Next few months – unless, news of clinical results or an M&A after a choppy and marginal performance in the first half.

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!”

July starts on a positive note, and be careful of a long, hot, volatile summer.

 

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.

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.