January 6, 2022 5:02pm
I’d be BUYING 52-week lows as the sector sinks, again <see below>
Pre-open Indication results: 9 HITs and 3 MISS
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.
Who else is tracking a broad representative of cell and gene therapy equities – with facts supported by real numbers?
Reviewing the "first" week of 2022 is it an indicator of the year to come - look closely at the numbers and their flow?
The Dow closed DOWN 170.64-points (-0.47%); the S&P closed DOWN -4.53 points (-0.10%) while the Nasdaq closed DOWN -19.31 points (-0.13%)
Economic data Docket: New unemployment claims rose but remained near a 52-year low last week, with the weekly pace of new claims holding below pre-pandemic levels as the labor market sees job openings near a record high.
- Initial jobless claims, week ended Jan. 1: 207,000 vs. 195,000 expected and a revised 200,000 during the prior week
- Continuing claims, week ended Dec. 25: 1.754 million vs. 1.678 million expected and a revised 1.718 million during the prior week
Indexes were mixed Thursday as traders tried to recover following a sell-off in the previous session.
As investors digested the minutes Thursday, the 10-year Treasury yield pushed as high as above 1.75%, after ending last year at 1.51%.
RegMed Investors’ (RMi) pre-open: “riding the waves in which direction after two (2) sessions of carnage? Be prepared for any upside spikes in the cell and gene therapy sector stocks.” … https://www.regmedinvestors.com/articles/12245
RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened …
- Thursday opened negative at 15 up/17 downs, 2 flats and 1 acquired, quickly dived (10 a.m.) to 2/31, 1 flat and 1 acquired, stayed negative at the mid-day at 9/22, 3 flats and 1 acquired, ending with a negative close of 8/22, 4 flats and 1 acquired;
- Wednesday opened negative at 12 up/21 downs, 1 flat and 1 acquired, stayed negative at the mid-day at 3/31 and 1 acquired, ending with a negative close of 4/30 and 1 acquired;
- Tuesday opened negative at 4 up/30 downs and 1 acquired, stayed negative at the mid-day at 5/29 and 1 acquired, ending with a negative close of 29/5 and 1 acquired;
- Monday opened positive at 16 up/13 downs, 5 flat and 1 acquired, stayed positive at the mid-day at 27/5, 2 flats and 1 acquired, ending with a positive close of 32/0, 2 flats, and 1 acquired;
Pre-open indication results: 9 Hits < Biostage (OTCQB: BSTG -$0.00), Homology Medicine (FIXX -$0.08), Global Blood Therapeutics (GBT +$0.74), Sage Therapeutics (SAGE +$3.58), uniQure NV (QURE +$0.08), Ultragenyx (RARE -$4.17), Alnylam Pharmaceuticals (ALNY -$4.09), Intellia Therapeutics (NTLA +$1.22), -Editas Medicine (EDIT -$0.19)> 3 MISS < AxoGen (AXGN +$0.56), Ionis Pharmaceuticals (IONS +$0.49), bluebird bio (BLUE -$0.11)
IBB a 52-week low of 140.87
XBI a 52-week low of 104.01
Pluristem (PSTI) hit a 52-week low of $1.40
CRISPR Therapeutics (CRSP) a 52-week low of $66.38
Adverum Biotechnologies (ADVM) a 52-week low of $1.67
Homology Medicine (FIXX) a 52-week low of $3.56
Solid Biosciences (SLDB) a 52-week low of $1.57
Precigen (PGEN) hit a 52-week low of $3.21
Applied Genetic Technologies (AGTC) hit a 52-week low of $1.80
uniQure NV (QURE) a 52-week low of $19.30
Editas Medicine (EDIT) a 52-week low of $24.37
Cellectis SA (CLLS) a 52-week low of $7.54
Sangamo Therapeutics (SGMO) a 52-week low of $6.18
- Thursday - Sector volume was MODERATE with 4 of the 8-upside having higher than the 3-month average volume MODERATE with 10 of 22-downside having higher than the 3-month average volume;
- Wednesday - Sector volume was WEAK with 2 of the 4-upside having higher than the 3-month average volume INCREASED with 15 of 30-downside having higher than the 3-month average volume;
- Tuesday - Sector volume was WEAK with 2 of the 5-upside having higher than the 3-month average volume with LOW volume of 8 of 29-downside having higher than the 3-month average volume;
- Monday - Sector volume was WEAK with 8 of the 32-upside having higher than the 3-month average volume with NADA volume of 0 of 0-downside having higher than the 3-month average volume;
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Thursday the IBB closed down -0.06% and XBI closed up +0.02%
- Wednesday the IBB closed down -3.64% and XBI closed down -4.84%
- Tuesday the IBB closed down -2.68% and XBI closed down -3.47%
- Monday the IBB closed down -0.16% and XBI closed up +3.09%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Thursday was down -0.12 points or -0.61% at 19.61
- Wednesday was up +2.49 points or +14.73% at 19.14
- Tuesday was up +0.26 points or +1.57% at 16.86
- Monday was down -0.65 points or -3.77% at 16.57
Jumping with share pricing momentum (8 of 8):
- Sage Therapeutics (SAGE +$3.58 after Wednesday’s -$2.76, Tuesday’s -$1.38 and Monday’s +$1.05),
- Intellia Therapeutics (NTLA +$1.22 after Wednesday’s -$10.19, Tuesday’s -$5.45),
- Global Blood Therapeutics (GBT +$0.74 after Wednesday’s -$1.66),
- AxoGen (AXGN +$0.56),
- Ionis Pharmaceuticals (IONS +$0.49),
- Cellectis SA (CLLS +$0.12),
- uniQure NV (QURE +$0.08),
- Bellicum Pharmaceuticals (BLCM +$0.01),
Hammered in today’s market (10 of 22) – yesterday’s heroes are down and, in the mud, today:
- Ultragenyx (RARE -$4.17 after Wednesday’s +$0.37),
- Alnylam Pharmaceuticals (ALNY -$4.09 after Wednesday’s -$10.14, Tuesday’s -$8.68 and Monday’s +$4.33),
- ReNeuron (RENE.L -$3.00 after Wednesday’s +$7.50, Tuesday -$1.50 and Monday’s $0.00),
- Fate Therapeutics (FATE -$2.48 after Wednesday’s -$4.04, Tuesday’s -$4.34 and Monday’s +$1.77),
- CRISPR Therapeutics (CRSP -$1.83 after Wednesday’s -$4.24, Tuesday’s -$5.99 and Monday’s +$3.46),
- BioLife Solutions (BLFS -$0.59 after Wednesday’s -$442.93, Tuesday’s -$1.57),
- Sangamo Therapeutics (SGMO -$0.29),
- Editas Medicine (EDIT -$0.19 after Wednesday’s -$1.80, Tuesday’s -$1.23 and Monday’s +$1.08),
- Regenxbio (RGNX -$0.16 after Wednesday’s -$2.34, Tuesday’s -$2.25 and Monday’s +$1.61),
- Chinook therapeutics (KDNY -$0.15),
- 4 – Biostage (BSTG), Voyager Therapeutics (VYGR), Vericel (VCEL), Adverum Biotechnologies (ADVM) - 1- Stemline Therapeutics (STML) – acquired
- Thursday closed negative with 8 incliners, 22 decliners, 4 flats and 1 acquired
- Wednesday closed negative with 4 incliners, 30 decliners and 1 acquired
- Tuesday closed negative with 5 incliners, 29 decliners and 1 acquired
- Monday closed positive with 32 incliners, 0 decliners and 1 acquired
The BOTTOM LINE: Proven RIGHT yet again …
Algorithms are punishing the cell and gene therapy stocks as valuations “creeped” up.
As I stated yesterday, “I am NOT changing my position, “Brace for more choppiness heading into the start of the year.”
- The volatile nature of cell, gene and biotech stocks is a double-edged sword, meaning these stocks can produce gains but, sustainability or lack thereof has been a factor through 2021 that I believe will continue into 2022.
- Boom or bust as many miss end-points incurring weighty losses if a drug trial fails to perform or comes to market without any following.
- Risks are also due to the possibility that many products under development may never make it to market. Share pricings were NOT maintained in 2021, begetting dropping of many company’s pricings as months wore on.
- Early January 2022 can deliver some gains but also generate algorithmic based losses.
I say today what others won't, so you can do what others can't whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors
Reiterating from last year, 2021, “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” … 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.