July 1, 2022 8:21am
First day of the new quarter as July begins with more weakness
Pre-open indications: 3 Negative Indications, 4 Positive Indications and 1 Puff/Pump/Promote
News: Happy July 4th early, be safe as my birthday cake (and my bro Jim's) has more than a lot of candles
RMi outlines a daily bell ringing 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 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.
The 8:30 A.M., ET edition
Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session.
Dow futures are DOWN -0.38% or -118 points), S&P futures are DOWN -0.44% (-16 points) and NASDAQ futures are DOWN -0.61% (-70 points) early in the pre-open – so far,
U.S. stock futures slip Friday morning
European markets were slipping and sliding directionless,
Asia-Pacific markets reversed gains and fell on the first session of Q3
Economic Data Docket: ISM manufacturing index and construction spending numbers set for release at 10 a.m. ET.
Henry’omics:
TGIF, asThursday marked the end of June, Q2 and the 1H (first half) of the year.
For the quarter, the Nasdaq -22.4% pushing it down nearly 32% from an all-time high set in November. It’s also down 29.5% year to date.
Economic Data Docket: point to slightly cooling inflation, jobless claims trending higher and consumer spending coming in weaker than expected. Last Monday, the Atlanta Fed cut its Q2 GDP estimate to -1% versus its earlier outlook for 0.3% growth.
RegMed Investors’ (RMi) closing bell: “cell and gene therapy sector trended upward with the pathway was percentage mixed” … https://www.regmedinvestors.com/articles/12494
Ebb and flow –
Q3/22 – first session
Q2/22 –
June – 1 holiday, 9 positive and 11 negative closes
· May - 11 positive and 10 negative closes
· April - 1 holiday, 6 positive and 13 negative closes
Q1/22:
· March – 13 negative and 10 positive closes
· February stats: 11 negative, 8 positive closes and 1 holiday
· January stats: 2 holidays, 1 neutral, 13 negative and 6 positive closes
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS are tricky but I'd be happy with ANY movement toward a discernable bottom ...
Negative Indications:
Verve Therapeutics (VERV) closed down-$0.22 to $15.28 <52-week low of $10.70> with a negative -$0.36 or -2.36% pre-open indication,
Global Blood Therapeutics (GBT) closed down -$0.33 to $31.95 after Wednesday’s +$2.44 <52-weeekof $21.65> with a negative -$0.55 or -1.72% pre-open indication,
Intellia Therapeutics (NTLA) closed down -0.67 to $51.76 after Wednesday’s +$0.40 <52-week low of $37.08> after Tuesday’s -$1.37 with a negative -$0.75 or -1.45% pre-open indication,
Positive Indication:
Avrobio (AVRO) closed down -$0.09 to $0.92 with a +$0.08 or +8.70% pre-open indication – still under Nasdaq listing requirements of $1.00,
bluebird bio (BLUE) closed down -$0.44 to $4.14 after Wednesday’s +$0.54 <52-week low of $2.87> with a positive +$0.11or +2.66% pre-open indication. Just waiting for an offering announcement.
Caribou Biosciences (CRBU) closed down -$0.13 to $5.43 with a positive +$0.27 or +4.97% pre-open indication,
Beam Therapeutics (BEAM) closed down -$1.71 to $38.71 <52-week low of $27.77> with a positive +$0.54 or +1.39% pre-open indication, after Wednesday’s +$0.02, Tuesday’s -$2.69, Monday’s +$0.58 and last Friday’s +$0.94,
Puff/Pump and Promote: Maintaining SELL
Biostage (OTCQB: BSTG) closed flat with 1 share traded after Wednesday’s+$0.15 to $4.65 with 1,015 shares traded after Tuesday’s +$0.20 with 372 shares traded, Monday’s $0.00 again and Friday’s flat with 0 shares traded.
WARNING: “Earnings” will represent a VERY SAD picture of a company’s status without U.S investors and reliance on non-U.S. Chinese investors.
BSTG seems to always finagling a finagle and NOTHING is CLEAN and STRAIGHTFORWARD; is it the ONLY avenue to finance to utilize non-U.S. Chinese investors?
· WATCH and be ready for a BIG reverse of shares to enable offering from multiple private placements
The BOTTOM LINE: The cell and gene therapy sector is limping into July and the 2H (second half) of the year amid widespread concerns over whether this market can remain can face the costs of inflation and the Fed's aggressive response to slowing inflation.
The cell and gene therapy sector, already under pressure, lost further ground in a volatile Thursday session to end June and Q2.
This is not a good time to be long in this market cycle with multiple pressures, it's not a good time to be making new buys or holding more than token exposure.
Summer doldrums are upon us … at some point this aggressive selling is going to dissipate but it doesn't seem like it's going to be anytime soon.
Cell and gene therapy equity investors remain closely attuned to deceleration of share pricing.
With quarterly corporate earnings season set the pick-up in the next few weeks, the focus will soon shift to how companies have been “dimed” (i.e., 10%) percentage down navigating persistent conviction issues alongside softening sentiment.
Expectation … In the next few weeks, expect a slew of companies warning or missing on earnings or guiding low. At some point, the sector will price in the lost negative pricing -post earnings release hoping for ANY positive news, but that could be a slow timed process.
There will always be a few pick-up stocks – remember, sustainability will be their “tell”.
Investors may want to at least consider taking partial profits – when they can; we are approaching earnings season, no sooner did we finish than we start again.
I STILL haven’t heard the bugle sound of a sustainable advance or rally … rising rates and slowing economic growth are not a supportive environment for investors.
This continuing state of volatility confirms fears that I have been expressing in these daily and weekly posts.
I have NOT seen ANY step-up of declining company investments by ANY CEOs and their management teams – WHY NOT?
I try to keep it simple … and short!
There is VALUE out there however, it’s about playing or betting the timing of the sector.
We are left with choosing to hang on to “our” portfolio position as it is a given that the sector shifts from fierce, sudden sell-offs to gaining altitude or ascending not to its value but, better than it was.
Whether information or intelligence is good, bad or somewhere in between; 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.
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.
All investments are subject to risks. Investors should consider 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 securities referred to in this publication.
