April 18, 2022 5:05pm
More downside “correction” or as I say sentiment infection or rejection
Pre-open indications: 3 HITs and 6 MISS
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.
Who else is tracking a broad grouping of cell and gene therapy equities – can you afford to not read facts supported by real numbers?
If I have learned one thing as a former research analyst, venture and public fund investor now a journalist; it is that your life and your bank account are largely tied to your knowledge of price movements and questioning pricing targets.
The Dow closed DOWN -39.54 points (-0.11%); the S&P closed DOWN 0.90- points (-0.02%) while the Nasdaq closed DOWN -18.72 points (-0.14%)
Indexes bounced down, up and around the bend again - down after the 10-year Treasury yield on Monday reached its highest level since late 2018, trading at 2.8884% at one point. The yield was at 1.71% to begin March.
The Dow edged up after being down most of morning and early afternoon while the Nasdaq edged up as the S&P 500 also followed. The small-cap Russell 2000 index was the laggard, down 0.3%. Volume fell on Nasdaq compared with the same time on Thursday.
Good quote, “Volatility in the bond market is simply too high right now, keeping investors that would otherwise capitalize on the recent increase in long term bond yields on the sidelines,” Zachary Hill, head of portfolio management at Horizon Investments, told CNBC. “Until bond market volatility subsides, we expect mega cap tech and the most expensively valued growth sectors of the equity market to remain under pressure.” <CNBC>
- Avrobio (Avro) at $1.09
- Adverum Biotechnologies (ADVM) at $1.14
- Sangamo Therapeutics (SGMO) at $5.04
- Homology Medicine (FIXX) at $2.05
- Beam Therapeutics (BEAM) at $45.60
- Intellia therapeutics (NTLA) at $55.89
- Precigen (PGEN) at $1.76
Unusual volume spike:
- Verastem Oncology (VSTM) +$0.06 with 5.505 M shares after Thursday’s +$0.24 to $1.77 with 30 M shares traded
RegMed Investors’ (RMi) pre-open: “the cell and gene therapy sector is ailing. What goes … as future aren’t much help as the sector and market suffered further losses last week and not looking up this new Monday” … https://www.regmedinvestors.com/articles/12392
RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened …
- Monday opened negative at 3 up/30 downs and 2 flats, stayed negative at the mid-day at 4/30 and 1 flat, ending with a negative close of 4/31,
Pre-open Indications: 3 HITs: <Biostage (BSTG -$0.48 with 2,383 shares traded), CRISPR Therapeutics (CRSP -$3.45), Fate Therapeutics (FATE -$2.29)> 6 MISS: Agenus (AGRN -$0.26), AxoGen (AGNX), AVROBIO (AVRO -$0.06), Beam Therapeutics (BEAM -$2.42), uniQure NV (QURE -$1.43), Voyager Therapeutics (VYGR +$0.09)
- Monday - Sector volume was LOW with 4 of the 4-upside having higher than the 3-month average volume with LOW volume of 8 of 31-downside having higher than the 3-month average volume;
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Monday, the IBB was down -2.87% and the XBI was down -4.76%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Monday was down -0.53 points or -2.33 % at 22.17
Jumping with share pricing momentum (4 of 4):
- Voyager Therapeutics (VYGR +$0.09 after Thursday’s +$0.20),
- Verastem (VSTM +$0.06 after Thursday’s +$0.24),
- MiMedx (MDXG +$0.06),
- Ionis Pharmaceuticals (IONS +$0.04 after Thursday’s +$0.33),
Hammered in today’s market (10 of 31):
- Alnylam Pharmaceuticals (ALNY -$10.66 after Thursday’s -$1.00),
- Ultragenyx (RARE -$9.96 after Thursday’s +$0.82),
- CRISPR Therapeutics (CRSP -$3.45 after Thursday’s-$3.65),
- Intellia Therapeutics (NTLA -$3.31 after Thursday’s-$3.07),
- Beam Therapeutics (BEAM -$2.42 after Thursday’s -$5.12),
- Fate Therapeutics (FATE -$2.29 after Thursday’s-$1.16),
- Vericel (VCEL -$ after Thursday’s-$1.22),
- uniQure NV (QURE -$1.60 after Thursday’s -$1.36),
- Sage Therapeutics (SAGE-$1.43 after Thursday’s -$0.72),
- Global Blood Therapeutics (GBT -$1.42),
- Monday closed negative with 4 incliner and 31 decliners
- Friday was a holiday
- Thursday closed negative with 7 incliners, 27 decliners and 1 flat
- Wednesday closed positive with 32 incliners and 3 decliners
- Tuesday closed negative with 10 incliners, 24 decliners and 1 flat
- Last Monday closed negative with 1 incliner, 33 decliners and 1 flat
The BOTTOM LINE: What did I write last week, “curb your enthusiasm” as “dramatic sector appreciation after a walloping, becomes quite suspect as news pricing lacks support?
State the obvious, investors are NOT in control of daily market driven sector appreciation or downward dives.
I try to keep it simple …
We are getting close to Q2 reporting season … yet, I can’t write away my misgivings about the daily sessions.
Earnings’ season is upon us as Alnylam Pharmaceuticals (ALNY) reports Thursday,4/28 followed so far by AxoGen (AXGN) on 5/4.
To expect a payday - SELL; volatility and low volume are part of the equation enabling a downdraft as the week closes early due to Good Friday.
As I stated in last Friday night’s post, “What justifies the share pricing, it’s NOT investor advocacy? The short-term and near-term pricing “shades” the long-term price targets.”
Volume again was also barely there … as earnings might get even more ugly.
I am more than worried about investment bank pricey analyst valuations that (in my mind’s eye) have NO basis.
I stick to my view of anticipating the risks – as my careers focus has been “warning analysis”; risk to growth now takes center stage for how long separation of sentiment lasts and how deep the oversold dive.
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.