December 13, 2021 5:11pm
The start of a new week, a new game of pick-up-sticks after emptying the can
Pre-open indication results: 8 HITs, 1 MISS
Who else is tracking a broad representative of cell and gene therapy equities – with facts supported by real numbers?
If I have learned one thing as a former research analyst, venture and public markets investor to a journalist; it is that your life and your bank account are largely tied to your questioning of price movements and targets.
The Dow closed DOWN -320.04points (-0.89%); the S&P closed DOWN -43.05 points (-0.91%) while the Nasdaq closed DOWN -217.32 points (-1.39%)
Henry’omics:
The Dow, S&P and Nasdaq all were lower as the Omicron variant is raising concerns with added factors of higher inflation, and volatility to reiterate the risks of this week.
Traders will be watching the outcome of the Fed's two-day monetary policy meeting, which starts Tuesday and wraps up Wednesday. Fed officials have indicated the Fed may need to speed up tapering of bond purchases as inflation heats up. (IBD)
Note: Moderna (MRNA) shares rose 5.81%. Pfizer (PFE) rallied 4.59% and its partner BioNTech (BNTX) rose 7.97%.
- Israeli researchers at the Sheba Medical Center and the Health Ministry’s Central Virology Laboratory concluded on Saturday that the three-shot course of the Pfizer-BioNTech Covid-19 vaccine was effective against the new omicron variant.
- PFE on Monday said it agreed to acquire Arena Pharmaceuticals (ARNA) for $100 per share, valuing Arena at about $6.7 billion. That's nearly double ARNA's closing price of $49.94 Friday. Arena stock soared 84% early Monday.
RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what’s happening …
- Monday opened positive at 21 ups/12 downs, 1 flat and 1 acquired, flipped negative at 11 a.m. at 10/22, 2 flats and 1 acquired, the mid-day was negative at 11/22, 1 flat and 1 acquired, ending with a positive close of 16/15, 3 flats, and 1 acquired;
- Friday opened positive at 26 ups/7 downs, 1 flat and 1 acquired, flipped negative at the mid-day at 10/24 and 1 acquired, ending with a negative close of 8 up/25 downs, 1 flat and 1 acquired;
RegMed Investors’ (RMi) pre-open: “an attempt to scale the upside as sector breadth remains a concern after a mixed week” … https://www.regmedinvestors.com/articles/12222
Pre-open indication results: 8 HITs: CRISPR Therapeutics (CRSP -$0.63), Global Blood Therapeutics (GBT +$1.47), bluebird bio (BLUE +$0.55), Biostage (BSTG -$0.00), Editas Medicine (EDIT +$0.25), Intellia Therapeutics (NTLA +$0.24), Regenxbio (RGNX +$0.69), Verastem (VSTM +$0.005)> 1 MISS: Alnylam Pharmaceuticals (ALNY +$12.77),
Key Metric - volume
Sector volume INCREASED with 8 of the 16-upside having higher than the 3-month average volume with INCREASED volume of 9 of 15-downside having higher than the 3-month average volume;
New 52-week lows:
- Sangamo Therapeutics (SGMO) at $7.61
- Global Blood Therapeutics (GBT) at $24.83
- Pluristem (PSTI) at $2.19
Jumping with share pricing momentum (10 of 16):
- Alnylam Pharmaceuticals (ALNY +$12.77 after Friday’s +$1.18),
- Ultragenyx (RARE +$1.73 after Friday’s -$0.59),
- Global Blood Therapeutics (GBT +$1.47 after Friday’s -$1.36),
- Ionis Pharmaceuticals (IONS +$0.70 after Friday’s -$1.93),
- Regenxbio (RGNX +$0.69 after Friday’s +$0.44),
- Sage Therapeutics (SAGE +$0.66),
- bluebird bio (BLUE +$0.55 after Friday’s -$0.42),
- uniQure NV (QURE +$0.46 after Friday’s +$0.22),
- BrainStorm Cell Therapeutics (BCLI +$0.38),
- Editas Medicine (EDIT +$0.25 after Friday’s -$1.52),
Hammered in today’s market (10 of 15):
- ReNeuron (RENE.L -$1.50 after Friday’s -$2.00),
- Vericel (VCEL -$1.07 after Friday’s -$0.62),
- CRISPR Therapeutics (CRSP -$0.63 after Friday’s -$1.83),
- MiMedx (MDXG -$0.45),
- Sangamo Therapeutics (SGMO -$0.44 after Friday’s -$0.41),
- Mesoblast (MESO -$0.40),
- Chinook therapeutics (KDNY -$0.35),
- Fate Therapeutics (FATE -$0.18 after Friday’s -$4.09),
- Precigen (PGEN -$0.15),
- AxoGen (AXGN -$0.15),
Closing Flat:
- 3 – Biostage (BSTG), Verastem (VSTM), Bellicum Pharmaceuticals (BLCM) and 1 - Stemline Therapeutics (STML) – acquired
Stats:
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Monday the IBB closed up +1.47% and XBI closed up +0.81%
- Friday, the IBB closed down -1.52% and XBI closed down -1.67%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Monday was up +1.62 points or + 8.67% at 20.31
- Friday was down -2.89 points or -13.39 % at 18.69
December, the second month of Q4/21:
Monday (12/13) closed positive with 16 incliner, 15 decliners, 3 flats and 1 acquired
Friday closed negative with 8 incliner, 25 decliners, 1 flat and 1 acquired
The BOTTOM LINE: The sector rolled into a positive but, take the profits as they come this month!
High-profile and upside stocks like Alnylam Pharmaceuticals (ALNY), Ultragenyx (RARE) and Global Blood Therapeutics (GBT) spiked leaving us with NO choice but, to SELL into strength.
Small caps were under pressure again, with the Russell 2000 down 1.5%. The small-cap index looks the worst out of all the stock indexes. After gapping below the 200-day line in early November, the Russell 2000 hasn't been able to muster much of a rally attempt. (IBD)
Headline flow was busy with Editas Medicine (EDIT); bluebird bio (BLUE); Sangamo Therapeutics (SGMO); Intellia Therapeutics (NTLA) pushing the “rock uphill” but, will they roll back down?
Despite gains for the stock indexes last week, market direction is still unclear. But historically, December has been a strong month for the stock market.
In any case, I have continued to write … don’t ramp exposure at the current levels.
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.
