May 31, 2022 5:47pm

More than frequently right as I watch the sector, so investors can find the answers to portfolio questions asked

News: Agenus (AGEN +$0.055) has entered into 3 new clinical collaborations with Targovax, Oxford BioTherapeutics, and Immunogenesis, doubling its current number of clinical collaborations. These 6 collaborations span a range of Agenus’ clinical assets, including botensilimab (Fc-enhanced anti-CTLA-4), balstilimab (anti-PD-1), zalifrelimab (anti-CTLA-4), and QS-21 STIMULON™. MiMedx Group (MDXG) received a $4.6 Million award to evaluate PURION® processed Dehydrated Human Amnion Chorion Membrane (DHACM) as an advanced treatment option for wound and burn care.

Pre-open indications:  12 HITs and 2 MISS

WHY and HOW is this market affecting the cell and gene therapy sector … “The Bottom Line” underlines the framework of share pricing actions.  Who else is tracking a broad grouping of cell and gene therapy equities – can you afford to not read facts supported by real numbers?

It’s a quick read to understand the ebb and flow of the session in one site

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 -222.84 points (-0.67%); the S&P closed DOWN -26.09 points (-0.63%) while the Nasdaq closed DOWN -49.74 points (-0.41%)

 

Henry’omics:

After a holiday break on Monday, cell and gene therapy equities are coasting down, I believe eaten by algorithmic “Pac Men” wrapping up a roller-coaster May.

Indexes closed down on Tuesday as investors look to close out a rocky month of trading that saw the Nasdaq added and lost momentum amid inflation and recession fears.

The Nasdaq had added -2.1% in the month while being off by 25.5% its high.

Tuesday’s market action underscored fears that high inflation is weighing on economic growth.

News (continued): MDXG

  • The award from the Medical Technology Enterprise Consortium (MTEC), a 501(c)(3) biomedical technology consortium collaborating under an Other Transaction Agreement (OTA) with the U.S. Army Medical Research and Development Command, is sponsored and will be managed by the Naval Medical Research Center (NMRC) to advance medical treatments for combat wounds and burns.

 

RegMed Investors’ (RMi) pre-open: Snap, crackle and a non-pop. A short week, the last session of May and a jobs report as we head into the summer doldrums and recessionary pressures” …  https://www.regmedinvestors.com/articles/12451

 

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

  • Tuesday opened negative at 6 up/25 downs and 3 flats, stayed negative at the mid-day to 9/26, ending with a negative close of 7/28.
  • Monday was a market holiday,
  • Friday opened positive at 32 up/2 downs and 1 flat, stayed positive at the mid-day to 29/3 and 3 flats, ending with a positive close of 33/1 and 1 flat.

 

Pre-open Indications: 12 HIT < Biostage (BSTG -$0.22 with 330 shares traded), Beam Therapeutics (BEAM -$0.89), BioLife Solutions (BLFS -$1.01), CRISPR Therapeutics (CRSP -$0.29), Fate Therapeutics (FATE -$0.48), Global Blood Therapeutics (GBT -$1.21), Global Blood Therapeutics (GBT +$1.21), AxoGen (AXGN -$0.05), Caribou Biosciences (CRBU -$0.22), Editas Medicine (EDIT -$0.29), Homology Medicine (FIXX +$0.04), Sangamo Therapeutics (SGMO -$0.03)> 2 MISS < Agenus (AGEN +$0.06), Avrobio (AVRO +$0.013)>

 

Key Metrics: review the disparities between daily sessions …

  • Tuesday - Sector volume was LOW with 2 of the 7-upside having higher than the 3-month average volume with LOW volume of 17 of 28-downside having higher than the 3-month average volume;
  • Monday – holiday  
  • Friday - Sector volume was LOW with 6 of the 33-upside having higher than the 3-month average volume with HIGHER volume of 1 of 1-downside having higher than the 3-month average volume;

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Tuesday, the IBB was down -2.37% and the XBI was down -3.25%
  • Monday- holiday
  • Friday, the IBB was up +3.20% and the XBI was up +3.83%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was down -0.35 points or -1.32% at 26.19
  • Monday – holiday
  • Friday was down-1.78 points or -6.47% at 25.72

 

Jumping with share pricing momentum (7 of 7):

  • Applied Genetic Technologies (AGTC +$0.099),
  • MiMedx (MDXG +$0.08),
  • Agenus (AGEN +$0.06),
  • Verastem (VSTM +$0.01),
  • Voyager therapeutics (VYGR +$0.01),
  • Adverum Biotechnologies (ADVM +$0.0094),

Closing down (10 of 28):

  • Intellia Therapeutics (NTLA -$2.61),
  • Alnylam Pharmaceuticals (ALNY -$1.97),
  • Ultragenyx (RARE -$1.74),
  • Global Blood Therapeutics (GBT -$1.21),
  • BioLife Solutions (BLFS -$1.01),
  • Sage Therapeutics (SAGE -$0.97),
  • Vericel (VCEL -$0.92),
  • Beam Therapeutics (BEAM -$0.89),
  • Regenxbio (RGNX -$0.74),
  • uniQure NV (QURE -$0.54),

 

May, Q2/2022: month’s end

  • Tuesday closed negative with 7 incliner, 28 decliners
  • Monday was a market holiday,
  • Friday closed positive with 33 incliner, 1 decliner and 1 flat
  • Thursday closed positive with 27 incliner, 6 decliners and 2 flats
  • Wednesday closed positive with 20 incliner, 14 decliners and 1 flat
  • Tuesday closed negative with 6 incliner, 26 decliners and 3 flats
  • Monday closed negative with 7 incliner, 25 decliners and 3 flats
  • Friday closed positive with 20 incliner, 14 decliners and 1 flat
  • Thursday closed positive with 25 incliner, 8 decliners and 2 flats
  • Wednesday closed negative with 3 incliner, 31 decliners and 1 flat
  • Tuesday closed positive with 30 incliner, 3 decliners and 2 flats
  • Monday closed negative with 15 incliner, 19 decliners and 1 flat
  • Friday closed positive with 32 incliner, 2 decliners and 1 flat
  • Thursday closed positive with 28 incliner, 5 decliners and 2 flats
  • Wednesday closed negative with 0 incliner, 34 decliners and 1 flat
  • Monday closed negative with 1 incliner and 34 decliners
  • Tuesday closed positive with 29 incliner, 5 decliners and 1 flat
  • Friday closed negative close of 5/30,
  • Thursday closed negative close of 5/30,
  • Wednesday closed positive close of 28/6 and 1 flat,
  • Tuesday closed positive close of 21/14,
  • Monday closed positive close of 30/3 and 2 flats,

 

The BOTTOM LINE: WHY is “our” universe of cell and gene therapy sector slipping, it goes beyond algorithms “raping” share pricing …

The week began with downbeat “misses” -- A missed primary endpoint in new top-line results from a Japanese trial with the stem cell therapy for stroke MultiStem hits Athersys (ATHX) and Japanese partner (Helios) hard, casting a shadow over ongoing studies. While the FDA is delaying BioMarin’s (BMRN) hemophilia A quest as gene therapy frets simmer -- two years after the FDA turned back BMRN’s push for a landmark accelerated approval of their hemophilia A gene therapy valrox, regulators are asking for still more info on the therapy — and once again delaying any prospective launch, this time into next year.

The continuing state of volatility confirms fears that I have been expressing these daily and weekly posts.

As I have written, change is an epidemic as the cell and gene therapy sector is so volatile – we are LUCKY these last few days; while investors have become accustomed to significant downside and upside moves in sector equities, which are so common during times of tremendous uncertainty.

Again, as have I written (repeatedly), “There's a battle in the cell and gene therapy sector between which or what breaks first: share pricing resilience or tumbling into yet another downturn as fear remains beneath the strength of any positive close” …

Investors NEED a blossoming of catalysts to strengthen their capacity to get beyond the “rules” of algorithms as these CONTROL the sector’s movement.

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.

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.

I stick to my view of anticipating the risks – as my careers focus has been “warning analysis”.

 

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.