February 3, 2022 5:25pm

Bruised from a cruising through obstacle course without the confidence needed

Pre-open Indications: 7 Hits and 3 Miss

News: Intellia Therapeutics (NTLA -$0.86) acquired Rewrite Therapeutics, Inc., a private biotechnology company focused on advancing novel DNA writing technologies. As part of this transaction, NTLA will pay the Rewrite shareholders $45 million in an upfront payment and an additional $155 million in pre-specified research and regulatory approval milestones through a mix of common stock and cash.

If I have learned one thing as a former research analyst, venture and public fund investor then 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 grouping of cell and gene therapy equities – with facts supported by real numbers?

The Dow closed DOWN -518.17 points (-1.45%); the S&P closed DOWN -111.94 points (-2.44%) while the Nasdaq closed DOWN -538.73 points (-3.74%)

 

Henry’omics:

U.S. indexes fell on Thursday as Losses deepened by the afternoon.

Thursday’s declines come after the major averages notched a four-day win streak during the regular session Wednesday. Investors bought and further sold dips in stocks after shedding their positions throughout January as they braced for potential rate hikes from the Fed.

 

New (from the title): Intellia Therapeutics (NTLA) …

Rewrite has developed promising new tools for genome editing, including DNA writing via CRISPR/Cas9-guided polymerases. Founded by pioneering scientists Shakked Halperin, Ph.D., and Professor David Schaffer, Ph.D., of the University of California, Berkeley and backed by Civilization Ventures and Prefix Capital, Rewrite’s DNA writing technology may enable a range of precise editing strategies.

  • These strategies include targeted corrections, insertions, deletions, and the full range of single-nucleotide changes, which could provide new ways to edit disease-causing genes and broaden the therapeutic potential for genomic medicines.
  • Rewrite also has developed an approach that could improve the efficiency of genome editing in non-dividing cell types, a key challenge for some existing editing platforms.
  • Rewrite’s technology could potentially be delivered using NTLA’s lipid nanoparticle (LNP) technology and adeno-associated virus (AAV) vectors.

 

Economic Data Docket: U.S. jobless claims came in at 238,000 for the week ending Jan. 29, the Labor Department reported Thursday, slightly fewer than expected.

  • Those numbers followed the release of ADP’s surprisingly downbeat private payrolls data Wednesday. Investors are still looking forward to Friday’s release of nonfarm payrolls data. Consensus estimates see a gain of 150,000 jobs, but the actual tally will be far lower, with one estimating a loss of 400,000 jobs in January.

 

RegMed Investors’ (RMi) pre-open: “market’s anxiety spills over after disappointing earnings releases. The cell and gene therapy sectors earnings season has yet to start; also, an indication is not always a prescription to sell but, to signal the potential of performance” … https://www.regmedinvestors.com/articles/12284

 

52-week lows:

  • Verastem (VSTM) reached $1.33
  • Precigen (PGEN) reached $2.29

 

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

  • Thursday opened negative at 7 up/26 downs, 1 flat and 1 acquired, stayed negative at the mid-day at 7/26, 1 flat and 1 acquired, ending with a negative close of 5/27, 2 flats and 1 acquired;

 

Pre-open indications: 7 Hits < Alnylam Pharmaceuticals (ALNY -$2.75), Applied Genetic Technologies (AGTC -$0.00), BioLife Solutions (BLFS -$1.77), Biostage BSTG -$0.00), CRISPR Therapeutics (CRSP -$1.72), Editas Medicine (EDIT -$0.25), Intellia Therapeutics (NTLA -$0.86)> 3 MISS < Homology Medicine (FIXX -$0.06), Fate Therapeutics (FATE -$1.75), Voyager Therapeutics (VYGR +$0.07)>  

 

The Biostage (BSTG) Chronicles: shows how the “pimp/pump and promote” works with the shares flat (-$0.00) with 3 shares traded after Wednesday’s down -$0.53 with 502 shares traded, Tuesday’s +$0.40 with 1,088 shares after Monday’s 11 shares traded after Friday’s +$0.05 with 3,225 shares traded after Thursday’s +$0.24 with 10,073 - double the mornings 5,030 shares traded after last Wednesday’s diving to -$0.00 with 7,796 shares trading after appreciating +$0.35 (after dropping mid-day -$0.07 – such sarcasm after miraculous jump) and the previous Tuesday’s +$0.31 with 2,794 shares traded.

 

Key Metrics:

  • Thursday - Sector volume was LOW with 1 of the 5-upside having higher than the 3-month average volume with LOW volume of 6 of 27-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 -2.08% and XBI closed down -2.62%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was up +2.26 points or +10.23% at 24.35

 

Jumping with share pricing momentum (5 of 5):

  • ReNeuron (RENE.L +$0.50 after Wednesday’s -$2.90, Tuesday’s +$0.50 and Monday’s -$0.50),
  • Sage Therapeutics (SAGE +$0.37),
  • Chinook therapeutics (KDNY +$0.30),
  • Voyager therapeutics (VYGR +$0.07),
  • Pluristem (PSTI +$0.04),

Hammered in today’s market (10 of 27):

  • Alnylam Pharmaceuticals (ALNY -$2.75 after Wednesday’s +$0.33, Tuesday’s +$7.33 and Monday’s +$5.51),
  • Ultragenyx (RARE-$2.30 after Wednesday’s -$2.13, Tuesday’s +$2.11 and Monday’s +$3.93),
  • BioLife Solutions (BLFS -$1.77 after Wednesday’s -$1.03, Tuesday’s +$0.54 and Monday’s +$2.34),
  • Fate Therapeutics (FATE -$1.75 after Wednesday’s -$1.52, Tuesday’s -$0.40 and Monday’s +$4.88),
  • CRISPR Therapeutics (CRSP -$1.72 after Wednesday’s -$3.41, Tuesday’s +$1.78 and Monday’s +$4.75),
  • Vericel (VCEL -$11.06 after Wednesday’s -$1.57),
  • Intellia Therapeutics (NTLA -$0.86 after Wednesday’s -$4.4, Tuesday’s +$5.23 and Monday’s +$8.55),
  • Global Blood Therapeutics (GBT -$0.83 after Wednesday’s -$1.23, Tuesday’s +$0.48 and Monday’s +$1.43),
  • uniQure NV (QURE -$0.57),
  • Ionis Pharmaceuticals (IONS -$0.43),

Closing Flat:

  • 2 – Applied Genetic Technologies (AGTC), Biostage (BSTG) and 1 - Stemline Therapeutics (STML) – acquired

 

February, Q1/2022:

  • Thursday closed negative with 5 incliners, 27 decliners, 2 flats and 1 acquired
  • Wednesday closed negative with 1 incliner, 33 decliners and 1 acquired
  • Tuesday closed positive with 26 incliners, 7 decliners, 1 flat and 1 acquired

 

The BOTTOM LINE: Nothing has changed, as I stated yesterday, “Are we here for the money or the losses? I keep saying SELL at the highs so one can come back as bottoms emerge after Q4 and FY21 numbers resound.”

I learned very early (military), if you weren’t 5 minutes early for a meeting, you were 10 minutes late – be early in portfolio deliberations

Q4 and end-of-year earnings are about to be made aware of” more than even I thought.

  • Alnylam Pharmaceuticals (ALNY) reports Q4 and FY21 on Thursday, 2/10
  • AxoGen AXGN) – 2/22, Tuesday
  • Ultragenyx Pharmaceuticals (RARE) - 2/10, Thursday

Algorithms, hedge funds and traders continue to punish and … then push the cell and gene therapy stocks as valuations “creep” up.

  • Early January 2022 has delivered fewer gains but also generated algorithmic based losses.

WHY do I keep analyzing Biostage (BSTG): I WAS there to experience the harassment and saw the decay of transparency and more; 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.