May 5, 2022 5:07pm
There are just so many cross-currents as animal spirits are unleashed with clinical trial catalysts desperately needed. My job is to make sure that the right news gets to the right people, which is a win-win for investors.
Pre-open indications: 6 HITs, 1 MISS and 1 pimp/Pump/Promote
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 -1,063.09 points (-3.12%); the S&P closed DOWN -153.30 points (-3.56%) while the Nasdaq closed DOWN -647.16 points (-4.99%)
Indexes suffered their worst day of the year on Thursday, pulling back sharply and completely erasing a rally from the prior session in a stunning reversal that deepened the market’s losses for 2022.
The declines put the Nasdaq on track for one of its worst days since the pandemic began.
The CBOE Volatility index, also known as the fear gauge, climbed to 31.73 points slowly dropping to 31.43.
The focus now shifts to the U.S. Labor Department's closely watched monthly employment report on Friday for clues on labor market strength and its impact on monetary policy.
- Solid Biosciences (SLDB) at $0.52,
- Precigen (PGEN) at $1.26,
- Fate Therapeutics (FATE) at $26.84,
- AVROBIO (AVRO) at $0.87,
- Regenxbio (RGNX) at $23.80,
- Applied Genetic Technologies (AGTC) at $0.87,
RegMed Investors’ (RMi) pre-open: “where do investors go from here? I’d be “skimming” some of the pattern highs and limiting BUYs” … https://www.regmedinvestors.com/articles/12423
RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened …
- Thursday opened negative at 4 up/30 downs and 1 flat, stayed negative at the mid-day to 4/31 ending with a negative close of 5/30,
Pre-open Indications: 6 HITs <Beam Therapeutics (BEAM -$6.17), Fate Therapeutics (FATE -$3.50), Sage Therapeutics (SAGE -$2.89), Alnylam Pharmaceuticals (ALNY -$6.69), CRISPR Therapeutics (CRSP -$4.28), Ionis Pharmaceuticals (IONS -$1.53)> 1 MISS <Global Blood Therapeutics (GBT -$2.56)> 1 Pimp/Pump/Promote< Biostage (BSTG +$0.49)>
- Thursday - Sector volume was LOW with 3 of the 5-upside having higher than the 3-month average volume with MODERATE volume of 13 of 30-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 was down -3.69% and the XBI was down -6.02%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Thursday was up +6.01 points or +23.64% at 31.43
Jumping with share pricing momentum (5 of 5):
- AxoGen (AXGN +$1.51),
- Biostage (BSTG +$0.49 after Wednesday’s -$0.22, Tuesday’s -$0.12 and Monday’s $0.00),
- Brainstorm cell Therapeutics (BCLI +$0.27 after Wednesday’s +$0.085),
- Homology Medicine (FIXX +$0.06),
- Cellectis SA (CLLS +$0.02),
Hammered in today’s market (10 of 30):
- Alnylam Pharmaceuticals (ALNY -$6.69 after Wednesday’s +$0.54, Tuesday’s +$3.84 and Monday’s +$5.62),
- Beam Therapeutics (BEAM -$6.17 after Wednesday’s +$3.16, Tuesday’s -$0.75 and Monday’s +$3.25),
- Intellia Therapeutics (NTLA -$5.67 after Wednesday’s +$3.92, Tuesday’s +$0.17 and Monday’s +$2.58),
- Ultragenyx (RARE -$4.50 after Wednesday’s -$0.54, Tuesday’s -$0.82 and Monday’s +$1.60),
- CRISPR Therapeutics (CRSP -$4.28 after Wednesday’s +$3.00, Tuesday’s +$0.64 and Monday’s +$2.36),
- Regenxbio (RGNX -$4.24),
- Fate Therapeutics (FATE -$3.50 after Wednesday’s +$1.91, Tuesday’s -$0.99 and Monday’s +$1.21),
- Sage Therapeutics (SAGE -$2.89 after Wednesday’s +$1.41, Tuesday’s +$0.19 and Monday’s +$1.08),
- Global Blood Therapeutics (GBT -$2.56),
- Vericel (VCEL -$2.53 after Wednesday’s -$0.31, Tuesday’s +$1.40 and Monday’s +$1.46),
- Thursday closed negative with 5 incliners and 30 decliners
The BOTTOM LINE:
Bang, shot down in the “street”.
The broad nature of the cell and gene therapy sector’s losses are concerning as they revolve back to April’s chaos.
The stock market gave up Wednesday's gains that came after the Fed’s Powell's press conference. The Nasdaq was getting hit the hardest, falling almost 5%. Small caps were crushed, with the Russell 2000 falling 4%.
Cell and gene therapy sector equities are coming off a brutal month. April was the worst month since March 2020.
As I continue, “State the obvious, investors are NOT in control of daily market driven sector appreciation or downward dives.”
Sentiment is negative, it comes and goes with algorithms not investor input; we need to see more than algorithm bursting to the upside or downside and find some real support from other than electronic trading.
I maintain MY concerns of a contrarian view and a right-on actuality of “our” universe” as represented by an outlook of anxiety, striking a more cautious tone on cell and gene therapy stocks for the short and near-term.
So, I think we have to keep in mind the alternating risks of earnings’ season in mind as the numbers explain.
I try to keep it simple … I don't think we've seen the bottom yet. We haven't had that big sell off yet where we have huge volumes.
Earnings’ season is upon us as Ultragenyx Pharmaceuticals (RARE) and Intellia Therapeutics (NTLA) on 5/5, BioLife Solutions BLFS) on 5/9.
Don’t hold your breath after a few up sessions, algorithms are lurking under the surface of minimal sentiment
I stick to my view of anticipating the risks – as my careers focus has been “warning analysis”.
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.