August 3, 2021 7:48am
Earnings’ releases today: Sage Therapeutics (SAGE), Global Blood Therapeutics (GBT) and Alnylam Pharmaceuticals (ALNY)
News: Fate Therapeutics (FATE) the first patient has been treated with FT819, an off-the-shelf chimeric antigen receptor (CAR) T-cell therapy targeting CD19+ malignancies. FT819 is the first-ever CAR T-cell therapy derived from a clonal master induced pluripotent stem cell (iPSC) line, a renewable cell source that enables mass production of high quality, allogeneic CAR T cells with greater product consistency, off-the-shelf availability, and broader patient accessibility.
Pre-open indications: 5 BUYs: FATE, CRSP, EDIT, BLUE, SAGE; 2 SELLs: NTLA, VSTM; and 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
There is no breadline for fact and numbers-based share pricing intelligence!
Dow futures are UP +0.46% (+160 points), S&P futures are UP +0.34% (+15 points) and NASDAQ futures are UP +0.11% (+16 points)
Stock futures were higher in pre-market trade although the Nasdaq is slipping after yesterday’s sell-off,
European markets were higher
Asia-Pacific markets were mostly lower as Hong Kong-listed Chinese online gambling shares plunged after being described as “opium” by Chinese state media.
Data Docket: The 10-year Treasury yield rebounded on Tuesday, easing some of the concerns about slowing economic growth, after falling back to near 5-month lows on Monday.
Henry’omics:
Yesterday, a late-day sell-off in economically sensitive stocks (materials and industrials) eventually pushed the Dow and the S&P 500 into the red.
A sector bell-weather reports today – Amgen (AMGN), plus a few of our own cell and gene therapy companies.
Monday’s evening’s recap: “weekly expectation versus upcoming reality. A tepid outcome of continued low volume and percentage (%) moves; maybe not today but, the question is which earnings will light-up the sector or hamper share pricing growth” … https://www.regmedinvestors.com/articles/12030
- The Nasdaq closed UP +8.39 points (+0.06%);
- The IBB closed up +0.04% and XBI closed up +0.42%;
- Sector volume was LOW with 2 of the 21-upside having higher than the 3-month average volume with very LOW volume of 1 of 13-downside having higher than the 3-month average volume;
- The CBOE Volatility Index (VVIX: INDEX) was up +1.22 points or +6.69% at 19.46
- Monday’s percentage (%) of the 21-upside were +0.05% (AXGN) to +5.30% (VYGR) while the 13-downside ranges from -0.21% (QURE) to -4.91% (ATHX);
Q3/21:
August: 1 positive close
July: 6 positives, 1 holiday and 15 negative closes
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) Chronicles - Maintaining Sell – Could the share price stay up if it wasn’t being “pumped”?
Biostage (BSTG) closed down -$0.05 to $1.60 with 571 shares traded after three (3) flats in a row on Friday with 170 shares traded after Thursday with 1 share traded, Wednesday’s flat with 450 shares traded and last Tuesday’s down -$0.06 to $1.65 on.
Question#1: WHAT is the end game or play-book for this company, it has NOT done ANYTHING to monetize their asset of an approved IND with NO clinical trial initiative … so WHERE and WHAT is the value proposition?
Open ended Question#2: WHAT is the status of the $404,221.00 PPP Loan? Referencing the loan agreement, “In the event that any portion of the PPP Loan is not forgiven in accordance with the PPP, following a six-month deferred period that ends November 4, 2020, the Company will be required to pay the Bank monthly payments of principal and interest to repay the PPP Loan in full on or before the maturity date.”
MINORITY PUBLIC shareholders are waiting for the specific time, watching and weighing responses to MAINTAIN their RIGHTS.
Morning Indications:
BUY:
Fate Therapeutics (FATE) closed up +$2.28 to $85.08 and has news (read above)
Maintaining BUY on pre-open indications:
CRISPR Therapeutics (CRSP) closed up +$1.32 to $122.34 with a pre-open +0.96 or +0.78% indication;
Editas Medicine (EDIT) closed down -$0.32 to $41.54 with a pre-open +$0.86 or +2.07% indication;
bluebird bio (BLUE) closed up +$0.19 to $25.60 with a positive pre-open +$0.35 or +1.37% indication
Sage Therapeutics (SAGE) closed down -$0.36 to $43.37 with an extremely positive pre-open +$3.11 or +7.17% indication after reporting earnings this am
SELL:
Intellia Therapeutics (NTLA) closed down -$5.28 with a negative pre-open +$0.13 or +0.19% indication as earnings’ release is on Thursday
Verastem (VSTM) closed down -$0.02 to $3.12 with a negative $0.11 of-3.43% indication post earnings’ release last evening
Earnings preview:
Intellia therapeutics (NTLA) reports Thursday and is expected to deliver flat earnings compared to the year-ago quarter on lower revenues when it reports results for the quarter ended June 2021. EDIT is projected to report earnings of -$0.61 per share, which would represent no growth from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $12.03 million, down 26.03% from the year-ago period. NTLA's full-year Zacks Consensus Estimates are calling for earnings of -$2.56 per share and revenue of $36.32 million. These results would represent year-over-year changes of -6.67% and -37.37%.
Alnylam Pharmaceuticals (ALNY)reports earnings on Tuesday, 8/3 and is expected to post a quarterly loss of -$1.57 per share in its upcoming report, which represents a year-over-year change of -0.6%. Revenues are expected to be $199.77 million, up 92.2% from the year-ago quarter. < Zacks Consensus Estimates>
Editas Medicine (EDIT) reports Wednesday with analysts expecting EDIT to post earnings of -$0.85 per share. This would mark a year-over-year decline of 97.67%. Meanwhile, our latest consensus estimate is calling for revenue of $6.69 million, down 37.8% from the prior-year quarter. EDIT's full-year Zacks Consensus Estimates are calling for earnings of -$3.67 per share and revenue of $25.41 million. These results would represent year-over-year changes of -85.35% and -72%, respectively.
The BOTTOM LINE: Earnings truly begin this week after four (4) released to date … uniQure NV (QURE) and CRISPR Therapeutics (CRSP) released net income earnings’ reports. Ultragenyx Pharmaceuticals (RARE) and Verastem Oncology (VSTM) reported net losses …
Q2 earnings potential LPS (loss-per-share) later this week:
- Vericel (VCEL), MiMedx (MDXG), AxoGen (AXGN), and Editas Medicine (EDIT) on Wednesday, 8/4,
- Brainstorm Cell Therapeutics (BCLI) and Intellia therapeutics (NTLA) on Thursday,8/5]
- Cellectis SA (CLLS) on Friday, 8/6
Remember: Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out.
Risk is no doubt increasing as we head into the troublesome August and September months
RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.
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.
