October 20, 2021 5:08pm

The pump and promote is ... BACK: Biostage (BSTG) closed +$0.30 with 8,356 shares traded after Tuesday’s flat with 1,500 shares traded, Monday’s flat with 4,000 shares traded

Pre-open indication results: 1 Hit and 6 MISS

My version of the session’s “indications” is about what you need to know; it’s what did happen after the opening, mid-day and to the close

An objective, fact and numbers-based narrative – check the numbers!

The Dow closed UP +152.03 points (+0.43%); the S&P closed UP +16.56 points (+0.37%) while the Nasdaq closed DOWN -7.41 points (-0.05%)

 

Henry’omics:

The Dow gained, the S&P gained and the Nasdaq dived …

The market climbed a wall of worries over the last two months. Fears over the delta Covid surge, supply chain hiccups, a China property crisis, the Federal Reserve signaling the removal of stimulus and surging inflation reports rattled investors. But the Dow’s pullback from records was not that severe, reaching about 5% at its lowest closing point. <CNBC>

investors parsed the Fed's latest Beige Book showing the U.S. economy is growing at a modest to moderate pace, but remains under pressure from inflation and labor shortages.  Strong Q3 corporate earnings are helping investors overcome some doubts about the impact of the coronavirus delta variant, supply-chain disruptions and the Federal Reserve's likely move. <MarketWatch>

 

Interesting note: Merck (MRK +$1.58 or +1.99%) stock advanced nearly 1.99% Wednesday. In recent weeks, MRK’s Covid pill reduced the risk of hospitalization by half in a final-phase study.

Also, the White House outlined a plan to roll out Covid-19 vaccine doses for children aged five to 11 to 25,000 pediatricians’ offices and primary-care sites, along with children’s hospitals, pharmacies, and school-based clinics, among other sites.

  • The rollout could begin as soon as early November, when 28 million children in the U.S. become eligible for the two-dose vaccine. So far in the U.S., 189.5 million people have been fully vaccinated, including 12.4 million under the age of 18. <Baron’s>

 

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

  • Wednesday opened negative at 8/24, 2 flats and 1 acquired, stayed negative at the mid-day at 11/23 and 1 acquired, ending with a negative close of 12/21,1 flat and 1 acquired;

 

RegMed Investors’ (RMi) pre-open: “confidence, it’s a feeling, maybe a belief that one can rely on someone, something or markets – don’t; when you have doubts, there is no doubt.” … https://www.regmedinvestors.com/articles/12146

 

Pre-open indication results: 1 Hit: < Cellectis SA (CLLS +$0.12)> and 6 MISS <SELL: Biostage (BSTG +$0.30 with 8,356 shares traded); Intellia Therapeutics (NTLA -$3.54), Fate Therapeutics (FATE -$1.60), CRISPR Therapeutics (CRSP -$1.89), BioLife Solutions (BLFS +$0.38), bluebird bio (BLUE -$0.51),

 

Key Metric - volume:

  • Sector volume was LOW with 3 of the 12-upside having higher than the 3-month average volume with INCREASED volume of 2 of 21-downside having higher than the 3-month average volume;

 

There are clear winners and losers

Jumping with share pricing momentum (12 of 12):

  • Sage Therapeutics (SAGE +$0.61 after Tuesday’s -$3.78 and Monday’s -$-0.87),
  • BioLife Solutions (BLFS +$0.38 after Tuesday’s +$0.46 and Monday’s +$0.68),
  • Biostage (BSTG +$0.30 after Tuesday’s and Monday’s flat),
  • AxoGen (AXGN +$0.27 after Tuesday’s +$0.59 and Monday’s +$0.13),
  • MiMedx (MDXG +$0.14),
  • Cellectis SA (CLLS +$0.12),
  • Regenxbio (RGNX +$0.110 after Tuesday’s -$0.68 and Monday’s -$0.57),
  • Mesoblast (MESO +$0.09),
  • Pluristem (PSTI +$0.08),
  • Applied Genetic Technologies (AGTC +$0.01)
  • Athersys (ATHX +$0.01),
  • Bellicum Pharmaceuticals (BLCM +$0.01),

Hammered in today’s market (10 of 21):

  • ReNeuron (RENE.L -$4.50 after Tuesday’s flat)
  • Intellia Therapeutics (NTLA -$3.54 after Tuesday’s +$1.85 and Monday’s +$0.34),
  • Alnylam Pharmaceuticals (ALNY -$2.77 after Tuesday’s +$2.69 and Monday’s -$4.66),
  • CRISPR Therapeutics (CRSP -$1.89 after Tuesday’s +$4.05 after Monday’s -$0.79),
  • Vericel (VCEL -$1.87 after Tuesday’s +$0.55 after Monday’s +$1.26),
  • Fate Therapeutics (FATE -$1.60 after Tuesday’s +$1.06 and Monday’s -$1.13),
  • Ultragenyx (RARE -$1.08),
  • Editas Medicine (EDIT -$0.84 after Tuesday’s +$0.97 and Monday’s +$0.26),
  • Ionis Pharmaceuticals (IONS -$0.76 after Tuesday’s +$1.03 and Monday’s -$4.85),
  • Global Blood Therapeutics (GBT -$0.52 after Tuesday’s -$0.40 after Monday’s +$0.19),

Closing Flat:

  • 1 – Caladrius Biosciences (CLBS) and 1 - Stemline Therapeutics (STML) – acquired

 

Stats:

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

  • Wednesday, the IBB closed up +0.19% and XBI closed down -0.34%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Wednesday was down -0.22 points or -1.40% at 15.48

 

October, the first month of Q3/21:

Wednesday closed negative with 12 advancers, 21 decliners, 1 flat and 1 acquired

Tuesday closed positive with 26 advancers, 6 decliners, 2 flats and 1 acquired

Monday (10/18) closed negative with 13 advancers, 21 decliners and 1 acquired

 

The BOTTOM LINE: I will east some dust … re prognostications and how many right calls will be offset by wrong if not … early calls!

Big pharma healthcare sector has investors grinning on solid Q3 reports even as some worry that I our universe of stem, cell and gene therapy releases is too early to consider celebration.

We'll be seeing the results in the next couple of weeks as Alnylam Pharmaceuticals (ALNY) on 10/28 followed by Sage Therapeutics (SAGE) on 11/2 and Athersys (ATHX) on 11/15 – so far.

Once again, a large number of stem, cell and gene therapy stocks showed strength with lackluster moves meaning – low volume.

There are a lot of headwinds out there as we embark on corporate earnings, and traders will be looking at “runways”, clinical advancements and any indications of guidance.

Reiterating, “the stem, cell and gene therapy sector is still seen as vulnerable to extreme moves in either direction, overbought and oversold categories as risk stimulates the susceptibility!”

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!”

WHY do I keep analyzing Biostage (BSTG): When one sees an inextricable wrong and morally repulsive scenario; it takes courage, resolve and patience to stay the course of asking the questions without response!

Who is defining the metrics for investors and keeping you notified of the sector and market fluctuations?  What I provide is a trusted source of share pricing intelligence – it’s more than opinion, I deal in the facts and numbers that back them up.

 

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.