February 4, 2022 7:48am
Pointing to a reversal of some cell and gene therapy equity losses
Pre-open indications: 2 BUYs and 1 PUMP/PROMOTE
What I provide is an intelligence daily. RMi outlines a daily bell weather of “indications” about what you need to know; it’s what could happen or materialize after the opening and what might happen during the session.
Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session.
Only the facts … I ask questions and note the probabilities
Dow futures are DOWN -0.33% (-116 points), S&P futures are UP +0.01% (+1 points) and NASDAQ futures are UP +0.55% (+79 points) - so far ...
Stock futures are mixed Friday after the Nasdaq experienced its worst day in more than a year,
Europe markets turned negative as investors digested key updates from both the Bank of England and the European Central Bank.
Asia-Pacific markets were trading higher, Hong Kong returned to trading after being closed for most of this week due to the Lunar New Year holidays; mainland China, markets remain closed on Friday for the holidays.
Economic Data Docket: January jobs report set at 8:30a.m; economists surveyed expect a gain of 150,000 jobs, though some expect losses as large as 400,000.
Henry’omics:
Thursday was another losing session for the cell and gene therapy sector after Wednesday’s dive and Tuesday’s positive sector close.
On Thursday, the Nasdaq fell 3.7% for its worst daily performance since September 2020, the S&P 500 dropped -2.4%, its worst day in nearly a year; while The Dow fell 518.17 points.
- Market breadth was terrible on Thursday. Breadth also was poor Wednesday, especially on the Nasdaq. While the major indexes rose that day, small caps and highly valued growth stocks sank. <IBD>
If you didn’t remember what happen at Thursday’s close, you won’t be prepared for today’s session:
RegMed Investors’ (RMi) closing bell: “another wild run. Bruised from a cruising through obstacle course without the confidence needed” … https://www.regmedinvestors.com/articles/12285
Ebb and flow –
February stats: 2 negative and 1 positive closes
January stats: 1 holiday, 1 neutral, 13 negative and 6 positive closes
Companies in my headlights – It’s your decision; I provide an idea and context:
Probabilities/ Potentials pre-open share pricing indication moves:
BUY:
Verastem (VSTM) closed down -$0.11 to $1.34 with a positive +$0.09 or +6.72% pre-open after reaching a 52-week low of $1.33.
Precigen (PGEN) closed down -$0.12 to $2.21 with a positive +$0.07 or +3.175 pre-open indication after reaching a 52-week low of $2.29
Pump and Promote:
Biostage (OTCQB: BSTG) closed flat $0.00 with 3 shares traded after Wednesday’s -$0.53 with 502 shares traded after Tuesday’s +$0.40 with 1,088 shares traded, Monday’s flat with 11 shares traded, Friday’s +$0.05 to $3.90 with 3,362 shares traded and last Thursday’s +$0.24 to $3.85 with 10,073 shares traded. WHO is BUYING these shares of a company with a 2-year-old IND and NO clinical trial initiation?
The BOTTOM LINE: Investors maybe should add some modest risk exposure … I still like 52-week lows.
As I have stated, “I learned very early (in the military), if you weren’t 5 minutes early for a meeting, you were 10 minutes late – be early in portfolio deliberations.”
Pay attention to volatility, most times the effect of dramatic upside moves after multiple downsides weekly “plays” could end-up being BUYs – in my view.
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
Earnings’ reporting:
- Ultragenyx Pharmaceuticals (RARE) – 2/10, Thursday
- Alnylam Pharmaceuticals (ALNY) – 2/10, Thursday
- AxoGen AXGN) – 2/22, Tuesday
Investors should focus on forward-looking guidance, last year’s operating losses i.e., spending and cash positions or runways!
I am NOT changing my position, “Brace for more choppiness as we move further into the month and the beginning of Q1/22 waiting for Q4 and end-of-year numbers”.
- 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
So, my bottom of the Bottom Line, Investors should be extremely cautious about adding any new exposure.
- RMi’s daily report is a primer that may say little or a lot; yet it serves as insurance that all indications are being examined and evaluated.
WHY do I keep reporting on Biostage (BSTG): I WAS there to experience what occurred and saw the decay of transparency and more; it takes courage, resolve and patience to stay the course of asking the questions without response!
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 their investment objectives.
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.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in FATE, CRS, securities referred to in this publication.
