August 12, 2022 7:53am
The Biostage (BSTG) Chronicles: Several Chinese state-owned enterprises will voluntarily delist from exit. That comes amid an ongoing U.S.-China dispute with the SEC threatening to delist Chinese firms if they don't comply with U.S. auditing rules. Will BSTG be another? Tom Farley, X-head of NYSE states this dispute could eliminate financial offerings of Chinese controlled companies? The Communist party is your partner in Chinese funded/listed companies re ownership <CNBC live TV>
Pre-open indications: 1 Sell into Strength, 1 Negative Indication, 3 Positive Indications 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 +0.27% or (+91 points), S&P futures are UP +0.29% (+12 points) and NASDAQ futures are UP +0.30% (+40 points) early in the pre-open – so far,
Stock futures rose on Friday
European markets cautiously higher,
Asia-Pacific markets were mixed.
Thursday, indexes struggled for direction from the previous session as fresh evidence of cooling inflation further cemented hopes of a smaller rise in interest rates.
The Dow closed UP +27.16 points (+0.08%); the S&P closed DOWN -2.97 points (-0.07%) while the Nasdaq closed DOWN -74.89 points (-0.58%)
The Dow is up 1.6%, the S&P 500 is up 1.5% while the Nasdaq is 1% higher for the week.
Economic Data Docket: import prices and consumer sentiment data
RegMed Investors’ (RMi) closing bell: “sector pricing is waning a.k.a. dumping. Algos, electronics and traders are taking profits as the short-term direction is questionable as valuations are vulnerable after a totality of LPS (loss-per-share) earnings’ reports.” … https://www.regmedinvestors.com/articles/12559
Ebb and flow –
Q3/22 – August – 5 positive and 4 negative close
July -1 holiday, 10 negative and 10 positive closes
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
· 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
Regenxbio (RGNX) closed down -$1.54 to $33.12 with a negative -$0.62 or -1.87% pre-open indication,
BioLife Solutions (BLFS) closed down -$0.57 to $23.60 after Wednesday’s +$3.82 and Tuesday’s -$0.91 with a positive +$0.31 or +1.31% pre-open indication.
CRISPR Therapeutics (CRSP) closed down -$1.41 to $77.46 after Wednesday’s +$3.74 after Tuesday’s -$6.26 with a positive +$1.05 or +1.36% pre-open indication,
uniQure NV (QURE) closed up +$0.16 to $19.69 after Wednesday’s +$0.51 with a positive +$0.10 or +0.51% pre-open indication,
Maintain Sell into Strength:
Verve Therapeutics (VERV) closed up again +$1.86 to $33.79 after Wednesday’s +$3.59, Tuesday’s +$1.17 and Monday’s +$0.50 with a negative -$0.36 or -1.07% pre-open indication,
Puff/Pump and Promote: Maintaining SELL
Biostage (OTCQB: BSTG) closed flat again on Thursday after Wednesday’s $0.00 after Tuesday’s -$0.45 to $4.55 after being flat on Monday with 92 shares traded after last Friday’s flat <3 mo. Average = 964 shares>
· Its BOD approved on 7/28 amending and restating their Certificate of Incorporation to affect a reverse split of the issued and outstanding common stock at a ratio of not less than 1-for-1.25 and not greater than 1-for-5. What about all those PPM (private placements) as an offering follows?
· BSTG seems to have the ONLY avenue to finance to utilize non-U.S. Chinese investors? Are we in favor of Beijing funding and continue to control BSTG in our own country? Another question, makes one wonder, Newbridge Securities?
· 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!
I expouse getting-off the roller-coaster at least partially ... if able to profit from ascending share pricing "bent" by electronic trading, NOT investors - Bada Bing - emphasize that something will happen effortlessly and predictably!
ALL reporting sector companies … to date have reported net losses, lagging revenue estimates although AGEN, AXGN, BEAM, BLFS, CRBU, FATE, RGNX and NTLA beat on revenues generating forward motion while ATM use is up.
Sector equity pricing are trending in a roller coaster fashion. Also, consensus expectations are low.
We always need a … villain and they are multiplying – low volume as “Earnings’ season is here and now, investors NEED to focus on LPS (loss-per-share), trial status, product revenues, collaboration revenues and cash positions i.e., runways”.
This week: Brainstorm Cell Therapeutics on 8/15, Monday … to date.
As I have written, “It’s STILL nice to be RIGHT” about the direction of the sector having “DEVOTED 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.