August 1, 2022 7:57am
Maybe, I might be proven wrong as earnings season is usually a range breaker
Earnings this week: Sage Therapeutics (SAGE) on 8/2; and AxoGen (AXGN), Editas Medicine (EDIT), Fate Therapeutics (FATE), Regenxbio (RGNX), MiMedx (MDXG) and Vericel (VCEL) on Wednesday, 8/3, Agenus (AGEN) and Intellia Therapeutics (NTLA) and Sangamo Therapeutics (SGMO) on 8/4 before week’s end Cellectis SA (CLLS) on 8/5 Friday
Pre-open indications: 1 Negative Indications, 1 positive Indications, 1 Sell into Strength and 1 Puff/Pump/Promote
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.
I DEVOTE a HUGE amount of time to “reckoning” the geography of my coverage group - it’s more than opinion, I deal in the facts and numbers that back them up.
The 8:00 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 UP +0.03% or (+9 points), S&P futures are DOWN -0.05% (-2 points) and NASDAQ futures are UP +0.03% (+4 points) early in the pre-open – so far,
U.S. stock futures are falling on Monday
European stocks were muted
Asia Pacific markets were mixed
Henry’omics:
Friday, the Dow closed UP +315.50 points (+0.97%); the S&P closed UP +57.86 points (+1.42%) while the Nasdaq closed UP +228.10 points (+1.88%)
Also, all major indexes gained on Friday, posting winning weeks and capping off the best month of the year … so far. The Dow gained 6.7% in July, while the S&P 500 added 9.1% and the Nasdaq rose 12.4%. For each index, July’s performances were the best since 2020.
Economic Data Docket: Friday comes with nonfarm payrolls report from the Bureau of Labor Statistics will give more insight into the strong labor market.
- China’s Caixin/Markit manufacturing Purchasing Managers’ Index for July stood at 50.4, compared with the 51.5 predicted in a Reuters poll. In June, the reading was 51.7. Still, the reading was better than China’s official Purchasing Managers’ Index data released over the weekend, which showed a contraction in factory activity.
RegMed Investors’ (RMi) closing bell: “cell and gene therapy sector tumbles” … https://www.regmedinvestors.com/articles/12541
Ebb and flow –
Q3/22 – August – first session
July -1 holiday, 10 negative and 10 positive closes
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
Positive Indications:
Ionis Pharmaceuticals (IONS) closed down -$1.43 to $37.56 with a negative +$1.01 or -2.269% pre-open indication,
Sell into Strength:
Fate Therapeutics (FATE) closed down -$1.62 to $30.53 after Thursday’s -$1.02 after Wednesday’s +$1.79, Tuesday’s +$0.64 and last Monday’s -$0.30 with a positive +$0.47 or +1.54% pre-open indication.
Negative Indication:
Ultragenyx (RARE) closed up +$1.40 to $53.28 after Thursday’s +$1.07 with a negative -$1.60 or -3% pre-open indication,
Puff/Pump and Promote: Maintaining SELL
Biostage (OTCQB: BSTG) closed flat with 0 shares traded after Thursday’s up +$0.50 with 600 shares traded, Wednesday’s -$0.05 with 545 shares traded, Tuesday $0.00 with 0 shares traded and last Monday’s down -$0.45 to $4.95 with 974 shares traded <3 mo. Average = 1,269 shares>
· BSTG seems to have the ONLY avenue to finance to utilize non-U.S. Chinese investors?
· How much lipstick is a lot on this pig with an almost 4-year-old IND and NO clinical trial initiation?
· WATCH and be ready for a BIG reverse of shares to enable offering from multiple private placements as it tries to facilitate an offering with Newbridge Securities
The BOTTOM LINE: I try to keep it simple … and short!
Earnings season ramps-up this week …
Sector equity pricing are trending in a roller coaster fashion, currently being at the mercy of electronic trading, inflation, interest rates and earnings.
Sector expectations are really low.
We are up, down, up and down – it gets tiring! Portfolios are wailing, not crying.
We always need a … villain and they are multiplying – low volume as “Earnings’ season is coming, investors NEED to focus on LPS (loss-per-share), trial status, product revenues, collaboration revenues and cash positions i.e., runways”.
Upcoming earnings announcements: Global Blood Therapeutics (GBT) on 8/8 followed by Ionis Pharmaceuticals (IONS) on 8/9, Ionis Pharmaceuticals (IONS) and Brainstorm Cell Therapeutics on 8/15, Monday… to date.
So be extra cautious for the next few days. If you do make new purchases, look for early buying opportunities and try to buy as close to those entries as possible. <IBD>
I’m known to be candid, sometimes at the expense of people’s feelings, (and for not having an inferiority complex). A fair trade, I say. You want a sycophant, buy a dog. You want an economist who bars no holds, call Summers. But there’s maybe more value in having advisors/strategist who call them like they see them.
As I have written, “It’s STILL “nice to be RIGHT” about the direction of the sector … more investors should read as I DEVOTE a HUGE amount of time to “reckoning” the geography of my coverage group.”
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.
