November 17, 2021 5:18pm

Uncertainty as earnings drag share pricing and revenues drag as runways remain static

Pre-open indication results: 6 HITs, 0 MISS

The Biostage (BSTG) Chronicles: closed $0.00 with 2,889 shares traded after pumping the share price with NO clinical trial from a one (1) year old IND and a negligence rejection of reimbursement in a terminal death suit. What’s there to invest in, the “Sword of Damocles” hanging over the companies non-going operations?

If you’re looking for sector intel, ideas and facts or Insight in a volatile climate, RMi defines the extenuating factors of share pricing. Who else is tracking a broad representative index of cell and gene therapy equities – the facts are supported by real numbers?

If I have learned one thing as a former research analyst, venture and public markets investor to a journalist and pundit; it is that your life and your bank account are largely tied to your questioning

The Dow closed DOWN -211.17 points (-0.58%); the S&P closed DOWN -12.23 points (-0.26%) while the Nasdaq closed DOWN -52.28 points (-0.33%)

 

Henry’omics:

Indexes fell on Wednesday as investors weighed strong earnings reports from big-box retailers against lingering inflation concerns and continued digesting better-than-expected retail data.

Applied Genetic Technologies (AGTC) reached a 52-week low at $2.30 to spurt $0.28 to $2.65 or +11.81%

While strong retail data this week showed that a rise in inflation has not stifled economic growth so far, investors feared that further increases in prices could hurt growth and push the Federal Reserve into tightening policy ahead of schedule. <Yahoo Finance>

 

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

  • Wednesday opened negative at 4/28, 2 flat and 1 acquired, stayed negative at the mid-day at 8/25, 1 flat and 1 acquired, ending with a negative close of 6/25, 3 flats and 1 acquired;

 

RegMed Investors’ (RMi) pre-open: “what’s to see today – a fog surrounds sector equities. Stagnation in sector equities and stagflation in the economy affecting the markets.” …  https://www.regmedinvestors.com/articles/12187

 

Pre-open indication results: 6 HITs: < Biostage (BSTG +$0.00); BUY: Mesoblast (MESO +$0.23); SELL into Strength:  Athersys (ATHX -$0.10), BioLife Solutions (BLFS -$0.48), Fate Therapeutics (FATE -$2.01), Sage Therapeutics (SAGE -$0.52)> and 0 MISS

 

The Biostage (BSTG) Chronicles: Wednesday closed flat $0.00 with 2,889 shares traded after Tuesday’s +$0.39 with 2,687 shares traded following Monday closed flat with 35 shares traded after Friday with 0 shares traded. Where is the SEC and Nasdaq monitoring?

 

Key Metric - volume

Sector volume LOW with 1 of the 6-upside having higher than the 3-month average volume with LOW volume of 5 of 25-downside having higher than the 3-month average volume;

Outstanding Upside Volume:

  • Applied Genetic Technologies (AGTC) +$0.28 with 2.253 m shares traded
  • Brainstorm Cell therapeutics (BCLI) +$0.10 with 443.34 K shares traded

Outstanding Downside Volume:

  • Athersys (ATHX) -$0.10 with 2.215 m shares traded

 

There are clear winners and losers

Jumping with share pricing momentum (6 of 6):

  • Vericel (VCEL +$1.23 after Tuesday’s -$0.33),
  • Applied Genetic Technologies (AGTC) +$0.28),
  • Chinook Therapeutics (KDNY +$0.26 after Tuesday’s +$0.17),
  • Mesoblast (MESO +$0.23 after Tuesday’s -$0.67 and Monday’s +$0.82),
  • Voyager Therapeutics (VYGR +$0.12 after Tuesday’s -$0.13 and Monday’s +$0.04),

Hammered in today’s market (10 of 25):

  • Intellia Therapeutics (NTLA -$2.90 after Tuesday’s +$3.97),
  • Fate Therapeutics (FATE -$2.05 after Tuesday’s +$1.76 and Monday’s -$2.12),
  • Ultragenyx (RARE -$1.45 after Tuesday’s -$1.44 and Monday’s +$0.01),
  • uniQure NV (QURE -$1.08),
  • AxoGen (AXGN -$1.68),
  • Global Blood Therapeutics (GBT -$0.51 after Tuesday’s -$0.30 and Monday’s +$1.16),
  • CRISPR Therapeutics (CRSP -$0.50 after Tuesday’s +$1.50 and Monday’s -$3.85),
  • Sage Therapeutics (SAGE -$0.45 after Tuesday’s +$0.33 and Monday’s -$1.18),
  • BioLife Solutions (BLFS -$0.44 after Tuesday’s +$2.95 and Monday’s +$2.59),
  • Regenxbio (RGNX -$0.39),

Closing Flat:

  • 3 – Biostage (BSTG), Bellicum Pharmaceuticals (BLCM), ReNeuron (RENE.L) 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 +0.03% and XBI closed down -1.27%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Wednesday was up +0.74 points or +.52% at 17.11

 

November, the second month of Q4/21:

Wednesday closed negative with 6 incliners, 25 decliners, 3 flats and 1 acquired

 

The BOTTOM LINE:  After session this week following a whipsaw week, yet another negative action follows after four (4) new net losses …

Focus on stocks that showed strong relative strength during the recent stock market weakness – I’m NOT seeing many just few ... if any!

Investors are sitting out these sessions as electronic trading and algorithms do most of the damage; be cautious about substantially adding exposure, especially in sector names.

It's not surprising that after what has been a bad run of negative closes – nine (9) is an unusual run for the sector undergoing an earnings proctology examination.

  • Q3 earnings reporting season began the tug-of-war between share pricing that is softer than usual and the usual LPS (loss-per-share) to be less than estimates and expectations.

Reiterating, “the stem, cell and gene therapy sector is still seen as vulnerable to extreme low volume moves in either direction, as share pricing risk stimulates their 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.